Consumer Fraud 1448 articles

Morgan Keegan buys investment bank

Today The Birmingham (Ala.) News reported that Morgan Keegan & Co., the investment arm of Regions Financial Corp., has purchased an investment bank, Burke Capital Group, based in Atlanta. The sale price was not released. Regions Financial Corp. is based in Birmingham. According to its company web site, Burke Capital Group is an independent investment banking firm that provides “superior corporate finance and mergers and acquisitions advisory services to financial institutions and middle market companies.” The company was founded in 1995. In 2006, the SNL Financial’s Bank M&A Scoreboard listed Burke at No. 1 among the Top Southeast regional financial ... Read More

Financial columnist fills RMK stocking with coal

Chuck Jaffe, a senior columnist for MarketWatch, put Regions Morgan Keegan on his 13th annual Lump of Coal Awards list, which points out those companies and individuals who he believes should be on Santa’s “naughty” list in the world of investment funds. The list was published today on SFGate, an online publication of the San Francisco Chronicle. Jaffe placed RMK in the category “Not knowing when to quit,” citing the investment company’s insistence on keeping funds tied to high-risk subprime mortgages active even after they suffered losses topping 80 percent. The columnist already had named RMK’s manager James Kelsoe as ... Read More

Holiday chaos brings long hours for retail workers

With the holidays bringing a time of togetherness and giving, it also brings a time of bargain shopping and the craziness of holiday sales. It’s a shopper’s dream, but a retail worker’s nightmare.  Black Friday begins the Christmas shopping rush and stores extend their hours to accommodate the last-minute shopper, right up until Christmas Eve.Many stores all over the country opened their doors at the wee hours of the morning for Black Friday, offering sales and “doorbuster” prices. Some stores opened as early, or late depending on which way you look at it, at 12:01 a.m. and stayed open throughout ... Read More

Baseball hero, sportscaster McCarver lost funds to RMK investments

The New York Post reported an exclusive item on Sunday, saying former Major League Baseball catcher and current sports broadcaster Tim McCarver has entered an arbitration case against Morgan Keegan & Co. for losses totaling about $1 million. The Post says McCarver’s broker represented the investment funds as conservative, similar to CDs and bonds, but instead put his money in high-risk funds tied to the mortgage market. When other funds suffered losses topping out around 6 percent, McCarver’s fund dropped between 70 and 90 percent, the paper reports. It is estimated that industry investor losses in the Regions Morgan Keegan ... Read More

Timberlake employee among growing number of FLSA abuses

Working for Justin Timberlake’s posh “Southern Hospitality” does not exempt you from unfair treatment and pay. According to an article from Fox News, the former Southern Hospitality bus boy, Felipe Ramales, filed a lawsuit against Timberlake’s restaurant for not compensating him for the overtime he accumulated while there. “Southern Hospitality” is not the first to be sued over overtime hours, and it certainly won’t be the last. Ramales is one of many who are suing companies over unfair compensation of the amount overtime worked. The Fair Labor Standards Act (FLSA) requires overtime to be paid to employees who work over ... Read More

Obama bill seeks to clarify contractor employee classification

A bill introduced to the U.S. Senate on Sept. 12, 2007, by Sen. Barack Obama, S.2044, commonly called the Independent Contractor Proper Classification Act of 2007, would amend the Revenue Act of 1978. Goals of the bill are to require employers to treat workers misclassified as independent contractors as employees. According to the bill’s summary, the proper classification of these workers would ensure they are treated correctly in relation to employment tax purposes upon a determination of misclassification by the Secretary of the Treasury; repeal the ban on Treasury regulations or revenue rulings on employee/independent contractor classifications; and eliminate the ... Read More

FLSA lawyers-fair labor standards attorney and lawsuits

The Fair Labor Standards Act (FLSA) was created by the United States government in 1938. This act was set to protect the rights of workers and encourage ‘fair play’ between the management and labor. This act established a national minimum wage, created overtime pay and installed regulations for minors in the workplace. Because of the diverse nature of the American workforce, there is special consideration given to various groups such as children working on farms. Selected terms were given for people in executive and administrative positions as well as thousands of other special cases who are able to claim exemptions ... Read More

They pitch sales in their pajamas

At one moment, Jeanine Brown is selling Ronco knives. Five minutes later, she’s answering questions about the secrets of getting rich from real estate foreclosures. Brown is an agent for LiveOps, a company based in Palo Alto, Calif., with a national network of 16,000 operators who work from home answering the phone for TV infomercials. Brown, who lives in Houston, works in her pajamas and never knows what she’ll be selling until the script pops up on her computer screen. “You have to learn to be relaxed,” Brown said. LiveOps is on a hiring spree, ramping up to handle all ... Read More

Court decertifies class in Dollar General wage and hour lawsuit

GOODLETTSVILLE, Tenn. — Dollar General Corporation (NYSE:DG) announced today that the judge in the collective action lawsuit pending against the Company in the United States District Court for the Northern District of Alabama issued a ruling during the trial decertifying the class which had consisted of approximately 2,500 individuals. The case, styled Edith Brown, on behalf of herself and others similarly situated v. Dolgencorp, Inc. and Dollar General Corporation, CV02-C-0673-W, asserts claims under the Fair Labor Standards Act. The judge is allowing the 12 named plaintiffs in the lawsuit to proceed with their case. The Company plans to continue to ... Read More

UnumProvident federal trial in progress

UnumProvident’s trial has begun in federal court in Boston. The insurance conglomerate has been accused of fraudulently sticking the federal government with several million dollars in disability claims. Some of the allegations made against the UnumProvident include an apparent cost-cutting scheme in which the company directed its claimants to file for Social Security disability insurance benefits first, knowing that they were completely unqualified for such benefits. Claimants who failed to follow this procedure by not filing a claim with Social Security first had their benefits cut. Eligibility for Social Security disability is much more narrowly defined and harder to receive ... Read More