Daily Record – Updates – State sues job placement company
Mar 9th, 2006 | By Bill | Category: Employment NewsDaily Record – Updates – State sues job placement company
The state Attorney General’s Office and Division of Consumer Affairs have filed suit against Phoenix Executive Group, a career consulting firm with offices in Parsippany, accusing the company of charging clients thousands of dollars in fees for services it failed to provide.
The suit also claims that PEG misrepresented its ability to place clients in high-paying jobs.
PEG is a registered career consulting organization with offices in Parsippany, Iselin and Princeton. The company found clients through ads, job fairs and by contacting people who posted resumes online.
Before the suit was filed in Superior Court, Middlesex County, the Consumer Affairs division identified 28 clients as victims. The state seeks restitution for victims, civil penalties and reimbursement of costs and fees.
The state’s complaint alleges that PEG:
• Misrepresenting that its network of contacts provides it with access to a “hidden” job market not available through other sources;
• Falsely promising or guaranteeing the provision of temporary employment until permanent employment is obtained;
• Falsely promising or guaranteeing job offers and/or permanent employment within a specific time frame;
• Falsely promising or guaranteeing a minimum salary and/or hiring or sign-on bonus;
• Requiring clients to pay thousands of dollars up front as a “retainer” before any services and/or products are provided; and
• Failing to provide refunds when contracted services are not provided and failing to inform clients of any refund policy.
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