[Vision2020] To Avoid This Problem: Don't Die

[Art Deco]

Undercover funeral home sting turns up 'significant violations' - CNN.com
By Todd Sperry , CNN
updated 9:21 PM EDT, Thu April 19, 2012
 CNN.com
   [image: Federal investigators uncovered illegal practices being carried
out by numerous funeral homes across the country.]
Federal investigators uncovered illegal practices being carried out by
numerous funeral homes across the country.

Washington (CNN) -- An undercover investigation by the Federal Trade
Commission found funeral homes nationwide deceived customers into making
purchases they weren't required to make and failed to give up-front pricing
to customers.

Undercover FTC agents posing as customers found "significant violations" in
23 of the 102 funeral homes investigated, according to the FTC.

Operators violated key provisions of the "Funeral Rule," a 1984 regulation
the FTC put in place to prevent funeral home operators from forcing
customers to buy caskets or any other item as a condition of paying for a
funeral. Another provision of the rule requires funeral homes to provide an
itemized price list during the first in-person funeral arrangement meeting.

Nationally, Richmond and Fredericksburg, Virginia had the highest number of
funeral homes found with significant violations, according to the FTC's
report. Eight of the 19 funeral homes investigated in the two cities
committed significant violations. Columbia, South Carolina, was next with
five significant violations out of 10 funeral homes inspected.

Thirty-three funeral homes had what the FTC called minor compliance issues.
In those cases, the FTC contacted the funeral homes and required proof they
were addressing violations.

The FTC gives funeral homes an opportunity to right their wrongs before
they're hauled into court. A three-year program run by the National Funeral
Directors Association gives participants extra training and additional
compliance monitoring. Funeral homes that participate are allowed to make a
payment to the U.S. Treasury in place of a civil penalty. Civil penalties
can be up to $16,000 per violation, according to the FTC.

Jessica Koth of the National Funeral Directors Association says the "NFDA
takes compliance with the Funeral Rule seriously." Koth says the
organization encourages members to meet all obligations.

Since the annual undercover stings began in 1996, the FTC said
investigators have found fewer than 400 funeral homes with significant
violations. There are 19,680 funeral homes in the United States, according
to the NFDA.

FTC inspections during 2011 encountered varying levels of compliance:

-- In northwestern Indiana, one of 12 funeral homes inspected had
significant violations;

-- In Austin, Texas, four of 19 funeral homes inspected had significant
violations;

-- In Richmond and Fredericksburg, Virginia, eight of 19 funeral homes
inspected had significant violations.

-- 
Art Deco (Wayne A. Fox)
art.deco.studios at gmail.com
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/vision2020/attachments/20120420/3f5983e5/attachment.html>