A tipster (send in your tips here) just sent in the following email alleged to have been sent out by Preferred Financial Services that are impacting affiliates that sold debt relief services for them.
From: Amy Thompson
Sent: Monday, January 28, 2013
There has been concern about recent fee split changes to commissions. This move was made in two parts.
1. PFS can no longer service clients after giving up 200 Colorado Clients to settle with the state of Colorado. Mr. Thompson, and Mr. West are now unemployed. PFS had to figure a way to survive to keep some cash flowing going into all businesses instead of simply filing bankruptcy and having a trustee shut down the business.
2. After careful review of all Agreements our council recommended terminating all agreements and asking for back pay under 3.2 (a). So we thought to avoid lengthy legal headaches for everyone we would switch the splits and continue to operate.
PFS and OFG have settled with the state, but both owe them around 185k at this point. We have also sued, and been counter sued by Robert Kurhajian. We allege he wrote the faulty agreements which spawned this massive headache.
If one can prove per say, that they do not need a TSR license to operate in Florida, nor a Debt Management License as well, we will be open to negotiate a new split.
Furthermore, our Attorney Steve Csajaghy will be sending a more formal letter this week.
The Colorado Letter
It is unfortunate the required information was not able to be furnished to the State of Colorado.
Prestige Financial Solutions Can No Longer Service Clients. Terminates Agreements. by Steve Rhode
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