The Virginian-Pilot
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NORFOLK
Three local job-assistance companies must pay about $865,000 in penalties and refunds to about 300 consumers who paid for but never received help finding work, a Norfolk Circuit Court judge has ruled.
The Virginia attorney general's office sued Virginia Employment Services Inc., Virginia Personnel Inc. and New Beginnings Employment Inc. in July. It accused the businesses of false advertising of jobs and misleading job-seekers with guarantees of employment in exchange for a $365 fee. The suit also claimed the companies took money out of customers' bank accounts without authorization, costing them overdraft fees and other bank charges.
No representatives from any of the companies came to court to defend themselves or responded to the state's requests for more information, and the attorney general's office received default judgments against all three. Karla and James O'Leary Jr., listed at two addresses in Virginia Beach, were officers or directors of the three businesses.
Judge Charles E. Poston last week ordered the companies to pay about $50,000 to refund consumers any amounts they had paid and any overdraft or other bank fees. The state also was awarded $815,000 in penalties for the companies' violations of the Virginia Consumer Protection Act, plus $6,400 in attorneys' fees and court costs.
Whether and how the state will collect that money remains unclear. In late August, Virginia Employment Services emptied its office at 870 N. Military Highway in Norfolk, where it had replaced Virginia Personnel. New Beginnings Employment was located at 291 Independence Blvd. in Virginia Beach.
The registered agent for the businesses, Virginia Beach attorney J. Roger Griffin Jr., wrote in August in his answer to the state's lawsuit that Virginia Personnel and New Beginnings are no longer in business. After filing that answer, Griffin withdrew as the lawyer representing VES, and no one replaced him.
The state did not name the O'Learys as defendants in the suit. It showed that they were served copies of the judge's order at both their business and home addresses - "to make them aware of their obligations," said Courtney Malveaux, the assistant attorney general handling the case.
"We are hopeful that these three companies will comply" with the order to pay refunds, penalties and attorneys' fees, he said.
In addition to seeking money back for consumers, the suit also intended to stop the companies from continuing their fraudulent practices, which it accomplished, Malveaux said.
The judgment in this case, however, wouldn't stop the O'Learys from starting a new company to offer the same services.
In late 2005, the Norfolk commonwealth's attorney sued Jobs Plus Inc., another employment-assistance company that the O'Learys operated at the same Military Highway address. That suit also alleged that the company misrepresented work opportunities and made guarantees about employment.
Jobs Plus signed an agreement to stop those and other practices, but the company shut down soon after that, and Virginia Personnel opened in its place.
Carolyn Shapiro, (757) 446-2270, carolyn.shapiro@pilotonline.com
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O'Leary
Evading payment...should attach all the vocational school receipts that they charge thousands of students each year. And the airplanes and huge air hangar/field that they own in Pungo. They live large on the money they get from those in need of their services. Eventually the whole house of cards will collapse upon them.
For what it is worth ...
I have known Karla O'Leary for many years. Not well, but she and I have talked and have worked together on a cheerleading project or two, years back. I haven't seen too much of her in the past few years, but it was my understanding that was because she is always working. Frankly, I like her. Her husband, who I know enough to chat with at Cheerleading comps & practices, seems like a genuine nice guy. From what I have seen, he is always working too. Even at Cheerleading comps. Folks, in the For What It Is Worth department - the O'Leary's have raised some fantastic kids. So, while I don't know the details of their businesses and what they have done, or have not done, for their clients; I can tell that the two of them have clearly done an admirable job raising their children. Their kids are very hard working, determined, and focused athletes who, because of their strong character, have become accomplished All Star Cheerleaders. You can learn a lot about parents from observing the behavior of their kids. - - For what it is worth.
Employment Agencies
These people that run the job services "ARE" blood sucking leaches. The blood sucking leaches should be jailed for their trickery. You and I would be jailed.
job services
These people that run the job services are not blood sucking leaches... they are just taking advantage of the stupidity of people who never learned that you don't have to pay someone to find a job. This only one that made out on this was the state....
They are
Legitimate business is done in good faith. These people are clearly trying to take money from desperate people and provide nothing for it.
Job Businesses
These sleazy companies should be shut down and the owners jailed. They are blood-sucking leaches who prey on the ones who need a job. They shoildn't be able to open the next day under a new name.....shameful for the legislatures.
best thing is to leave hampton roads
Because there are so many exiting miltary wanting to stay here when they leave active duty service, this area has a very tight and underpaid job market. So many people here are way underemployed that they are desperate enough to use these phony job service places for non-existant jobs. Smart ambitious people leave this area and relocate elsewhere where job and career prospects are better. This explains why for many years more people have been leaving Hampton Roads than moving to it. The only reason we see a small uptick in population numbers is that births outnumber deaths. It's a shame that most people with any ambition who have grown up here have to leave to find a decent job and career.
Please...go
Please...go...so we don't have to hear the complaining and excuses anymore.
Where does the penalty money
Where does the penalty money go?
I Presume..
..that the money would go to the state's general operating fund? Not sure of that myself! The real fun part is how the state will collect the fines. The attorney who represented them was never replaced and the parties involved never showed up in court. While I applaud the court's decision, it still remains "how" and "when" the parties involved will pay. These so called "companies" operating in little strip malls leave a bad taste on a person's psyche.