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Government Actions
On April 30, the State of NC filed a Temporary Restraining Order against Carolina Furniture and Henry R. Privette. Carolina Furniture & H.R. Privette are temporarily restrained and enjoined from:
1) accepting advance payments for goods or services prior to the delivery of goods or services to the consumer in satisfactory condition;
2) collecting payments for furniture orders previously placed by consumers until the furniture has been delivered to the consumers in satisfactory condition;
3) engaging in any collection activity against consumers in connection with any furniture order that the defendants have not completely and satisfactorily fulfilled;
4) violating the Mail or Telephone Order Rule, 16 CFR & 435, by failing to deliver furniture when promised or failing to notify purchasers of delays and giving them an opportunity to cancel their orders and provide them a full refund if requested;
5) transferring, withdrawing, concealing or encumbering any of defendants' assets without permission of the Court, except that permission from the Court shall not be required for reasonable business expenditures of the Corp.including salaries to employees or if the parties agree in writing to expenditures or transfer of assets, and except that defendants shall be permitted to deliver furniture ordered by consumers and defendant Privette shall be allowed to use his individual assets to pay his ordinary and necessary living expenses, including attorneys' fees; and
6) disposing of, destroying, or secreting any records or documents relating to their furniture businesses, including but not limited to financial records, customer contracts, invoices, correspondence, advertisements offering the sale of furniture (including advertisements as displayed on the Internet), and business records.
It is further ordered that defendants appear on Thursday, May 29 at 9:30am in Courtroom 10 B, Wake County Courthouse, Raleigh, NC if they wish to be heard on plaintiff's application for a preliminary injunction pursuant to NC Gen. Stat. 75-14. Per information received from Horry County Solicitors Office, on March 25,1999, Mr. Privette was indicted by the 15th Circuit Court of South Carolina on numerous counts alleging breach of trust with fraudulent intent. On May 26,1999, Mr. Privette pleaded no contest to all charges and agreed to a consent order which in part requires restitution to victims, liquidation of his business by January 1 and not to operate a furniture store in South Carolina.
Report as of 05/13
Copyright 2003 Better Business Bureau of Coastal Carolina, Inc.
Judy
Albany, New York
U.S.A.
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