Coming Week: Another Cut?
Street.Com - That’s what the markets are saying after the Federal Reserve’s 75 basis-point cut in its target federal funds rate this past week. Wall Street is looking for more from the Fed, which meets this Tuesday and Wednesday. Just how much more the central

Wall Street ends erratic week with sharp drop
Nashville Tennessean - NEW YORK — Wall Street ended a tumultuous week with a sharp decline Friday, backtracking after two days of stunning gains as investors turned cautious and cashed in some of their winnings. The Dow Jones industrial average still managed to record

Paris shares close lower, stocks turn negative after Wall Street open
CNBC - (Updates with full market report) PARIS (Thomson Financial) - Share prices ended lower after turning negative in afternoon trade following Wall Street’s open, with financial sector losses wiping out morning gains on the back of strong corporate

Wall Street crash
Guardian Unlimited - Captain Marc Elliot was under orders not to touch his own set of controls unless I either passed out or was in danger of smashing into the earth. We’d taken off from Manhattan 10 minutes earlier, after a long evening that had spiralled way out of

Kerviel, Societe Generale Rogue Trader, Held in Paris (Update1)
Bloomberg - Societe Generale missed several opportunities to cease Kerviel, Jean-Pierre Mustier, who runs the bank’s investment- banking unit, told the Wall Street Journal in an interview published this day. Mustier, called on his cell phone, wasn’t immediately

N.J. weighs new way to pay for roads
USA This day - This is a very tough lift for the Legislature, so we’ve to break each piece down to a level where Wall Street is understandable to Main Street,” said Senate Majority Leader Stephen Sweeney, D-Gloucester. “Obviously, we’re not there yet.” Among

A Fool Looks Back
MSNBC - Despite a healthy quarter, Apple’s near-term outlook fell short of Wall Street’s expectations. If Apple is being dubbed unhip, what hope do the dweeb-driven tech companies have? CEO Meg Whitman is stepping down at eBay (Nasdaq: EBAY), and just in time

Two cheers for Wall Street
International Herald Tribune - There’s roughly a 100 percent chance that we’re going to spend much of this year talking about the subprime mortgage crisis, the financial markets and the worsening economy. The only question is which narrative is going to prevail, the Greed

It’s still a man’s world at the Davos forum
Reuters India - DAVOS, Switzerland (Reuters) - Women might be smashing glass ceilings on Wall Street, but a walk down the crowded corridors of the World Economic Forum would have you fooled. Organisers state female delegates make up 17 percent of the hundreds of

U.S. markets plunge, then recover
Baltimore Sun - NEW YORK - An unusual emergency interest rate cut by the Federal Reserve gave Wall Street a partial rebound this day from a precipitious early decline — and perhaps the first steps toward a long-term recovery. The rest of the comeback, for the economy

Wall Street on a long-term ‘rollercoaster ride,’ says analyst
One News Now - It has been a rollercoaster week for the stock market, but mutual funds manager David Spika states that’s the nature of the market.   After a swing of more than 600 points in the Dow one day this week, the Associated Press reports analysts are calling

PRESS DIGEST - Wall Street Journal - Jan 25
Reuters - Last: Jan 25 (Reuters) - The following were the top stories in The Wall Street Journal on Friday. Reuters has not verified these stories and does not vouch for their accuracy. * The economy is the top campaign issue for 2008, replacing last year’s

What’s $34 Billion on Wall Street?
New York Times - UNDER the stewardship of Dow Kim and Thomas G. Maheras, Merrill Lynch and Citigroup built positions in subprime-related securities that led to $34 billion in write-downs last year. The debacle cost chief executives their jobs and brought two of the

Make way for the trophy toy boy as rich older women turn the tables
Daily Telegraph - Wall Street life A fourth wave of feminism has arrived, with a new twist - cash-rich, time-poor, middle-aged women seeking the love and attention of good-looking young men. Rather than hanging around outside model agencies, or chatting up out-of-work

Wall Street, even Goldman, faces ‘08 slowdown
Reuters - UPDATE 1-Goldman Sachs says to cut 5 pct of workforce NEW YORK (Reuters) - Wall Street banks battered by mortgage and credit losses survived 2007 only to face an even more massive challenge: a U.S. economy on the edge of recession. Tougher conditions mean

REFILE-European shares trim gains as Wall St loses ground
Reuters - FRANKFURT, Jan 25 (Reuters) - European shares trimmed some gains in late afternoon trading on Friday, tracking Wall Street where an early rally appeared to run out of steam. At 1545 GMT, Europe’s benchmark FTSEurofirst 300 index was up 0.5 percent at

Share This

Share This

(FranchisePick.Com)  Kudos to the PA Attorney General Tom Corbett & his staff.  Unlike Pure Weight Loss & Prez Vahan Karian, who have ducked the press and the customers they left stranded when they abruptly shut their 400 Weight Loss Centers, Corbett’s office HAS been available for comment.   Here’s the latest from the PA Attorney General’s office regarding the actions being taken against Pure Weight Loss and Pure Weight Loss President & Founder Vahan Karian.  Over 1000 consumer complaints have been filed with the PA AG, 200 of them yesterday alone.

Source:  PA Attorney General website.  Emphasis added to press release by FranchisePick.com.

January 25, 2008

Attorney General Corbett moves to freeze assets of the owner of Pure Weight Loss chain following filing of consumer protection lawsuit

HARRISBURG - The Attorney General’s Health Care Section has requested that Commonwealth Court freeze the assets of Pure Weight Loss Centers, based in Horsham, Montgomery County, along with company President and owner Vahan Karian.

Attorney General Tom Corbett said today’s application for preliminary injunctive relief follows the filing of a consumer protection lawsuit against the weight loss chain and Mr. Karian on Thursday, Jan. 24, 2008.  That lawsuit accused the company and Karian of unfair trade practices and deceptive acts in the marketing and sale of pre-paid contracts for weight loss products and services.

According to the court filing, Mr. Karian is accused of misappropriated consumer funds from Pure Weight Loss for his own benefit and diverted funds to other business entities. 

Karian is also accused of personally directing Pure Weight Loss to continue advertising special promotions on products and services, as well as continuing to accepting prepayment from consumers for products and services, even after issuing a statement that that all branch offices of the business would be closed on January 4, 2008.

Additionally, Corbett stated that prior to, and after, the announced closing of Pure Weight Loss in January 2008, Mr. Karian allegedly created liens on company inventory, equipment and accounts in an effort to place himself ahead of consumer claims against the company.

Corbett stated the application for preliminary injunction and asset freeze asks the court to preserve all funds which could be used to provide refunds to consumers for prepaid products and services they never received, including any assets that might have been wrongfully diverted from Pure Weight Loss.

The application also seeks a full record-keeping of assets and requests that the court prevent Mr. Karian from selling, transferring, concealing, withdrawing or taking other action involving any funds, personal property or other assets which might have been generated as the result of violations of Pennsylvania’s Consumer Protection Law.

A hearing on the request will be scheduled before Commonwealth Court in Harrisburg.

Corbett noted that the Attorney General’s Health Care Section has received more than 1,000 complaints from consumers across the country who prepaid for weight loss products and services they’ve not received.  Consumer payments ranged from several hundred to several thousand dollars, and consumer claims currently total nearly $500,000.

Pure Weight Loss operated more than 400 locations across the United Says, including 47 stores in Pennsylvania.  

Corbett encouraged consumers who prepaid for Pure Weight Loss products or services that they have not received to call the Attorney General’s Health Care Section Hotline at 1-877-888-4877 or file an online complaint using the Attorney General’s website. 

WHAT DO YOU THINK?  SHARE A COMMENT.

For free franchise information with none of the hype visit:

Visit FRANBEST: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and and business opportunities.

Top New Franchise: Who’s hot. Who’s not.

Share This

Share This

Share This

An empire from a tub of goo
Globe and Mail - Complicating the matter, of course, is the lingering memory of 1980, when Ottawa adopted the national energy program and wound up driving investment from Alberta. As a result, any federal effort now to restrain production to protect the environment

Asia Energy to build 1,000 MW Bangladesh power plant
Reuters India - We have received the proposal (for the power plant) through the board of investment, but before giving them any green signal, we need to get an approved national coal policy,” the government official stated. A committee appointed by the ministry of

No news is good news on Zumaya
Detroit News - The inference on Ordonez’s part, according to the Times (Ordonez has not responded to Detroit News inquiries), is that he would be named in the new book if he did not offer Canseco hush money in the form of an investment. Two thoughts occur: Drug

Local bank takes a hit
Baltimore Sun - Shares of Provident Bankshares Corp. fell 11 percent yesterday after the bank stated it will write off $28.9 million of its real estate investment trust portfolio, making it the latest victim of the nation’s declining housing and credit markets. In a

Specialist on crime became victim of a huge one
Boston Globe - Baldo identified himself as a certified financial adviser and stated he owned an investment firm called Freedom Financial. He encouraged people to liquidate assets and bank accounts and turn the proceeds over to him, Valera said. In exchange, he

The Super Bowl Economy
BusinessWeek - The investment could be well worth it: the Arizona Super Bowl Host Committee is projecting an economic impact between $400 and $500 million on the local economy. The crowds have already started to gather in and around Phoenix, and they look intent on

Turnaround expert stated to be in speaks for Ambac
Chicago Tribune - If the rumor is true, it’s apt to be good news,” said Robert Doll, chief investment officer of global equities at BlackRock Inc. in Plainsboro, N.J. “Many of these troubled properties will find someone’s arms to jump into at some price. We just

Key Dates in the Dulles Rail Project
Washington Post - 1994 Virginia and Metro officials initiate a “major investment study” to evaluate rail options for the corridor. 1996 The finished study says heavy rail, such as Metro, would be the ideal transit option to the airport. 1997 The project team, including

Consumers at Heart of Stimulus Plan
Newsday - I’d probably put something like that in a CD or another investment,” Galligos stated during her lunch break Friday. “It’s not often that I get a opportunity to save something.” The National Foundation for Credit Counseling urged consumers Friday to use

GOP, Dem candidates far apart on economy
San Francisco Gate - Republicans vow to preserve Bush’s tax cuts, arguing that they promote investment that boosts the economy and creates jobs. Democrats promise to reverse the cuts for upper-income taxpayers. They insist that the breaks mainly benefit the rich and

Economy dusts off gold prospecting
Baltimore Sun - The falling dollar, threat of a recession, political troubles in the Middle East and rising oil costs have raised the metal’s appeal as a safe investment. The heightened interest is nowhere near that of the famous 19th-century gold rushes in

H&R Block begins tax season in midst of company’s subprime, leadership
Seattle Times - Breeden, who replaced Ernst as chairman, had criticized the company’s strategy of branching out into mortgage lending, investment advice and banking, saying it took away from the core tax business. Bennett, who is serving until the company finds a

International Briefing
Miami Herald - The World Trade Organization concurred Friday to accept Ukraine as a member, giving President Viktor Yushchenko a new sales pitch as he sought more foreign investment while at the World Economic Forum. Membership will open new market opportunities for

Stretching benefits
Boston Globe - With health insurance premiums rising 15 to 20 percent annually, many companies view spending a fraction of that on wellness programs as a reasonable investment. Yoga is especially useful in terms of preventive care, said Dee Greenberg, owner of Om

Share This

Share This

Amgen 2008 Outlook Short of Forecast
Forbes - Biotechnology company Amgen Inc. stated Thursday its fourth-quarter profit topped Wall Street expectations, but it forecast earnings well short of expectations for 2008. The company earned $835 million, or 76 cents per share, compared with profit of

Amgen profit rises, but 2008 outlook shy of Wall Street expectations
Minneapolis Star Tribune - Biotech giant Amgen Inc. reported Thursday its fourth-quarter profits held steady despite government warnings about the safety of its popular anemia drugs, but it forecast earnings well short of expectations for 2008. The company saw a profit of $835

Microsoft profit rises 79 pct, outlook bullish
Reuters - SEATTLE (Reuters) - Microsoft Corp (MSFT.O: Quote , Profile , Research ) signaled confidence to a rattled stock market by raising its full-year profit outlook above Wall Street targets and reporting a 79 percent rise in quarterly profit on Thursday

Tokyo shares outlook - Higher on Wall Street’s sustained gains
Forbes - TOKYO (Thomson Financial) - Japanese shares are expected to open higher on Friday, tracking modest but sustained gains on Wall Street overnight after economic data suggested the job market remains largely intact. The Labor Department said that the

DeVry 2Q net more than doubles, tops Wall Street estimate
CNBC - SAN FRANCISCO (Thomson Financial) - DeVry Inc. late Thursday reported fiscal second-quarter net earnings more than doubled, rising to $35.8 million, or 49 cents a share, and topping the 40-cent mean estimate of analysts polled by Thomson Financial

El Paso sees 2008 earnings below Wall Street view
Globe and Mail - Please let us know if this reader’s comment breaks the editor’s rules and is obscene, abusive, threatening, unlawful, harassing, defamatory, profane or racially offensive by selecting the appropriate option to describe the problem. Do not use this

NYC sees lower Wall St profits cutting tax revs
Reuters - NEW YORK, Jan 24 (Reuters) - New York City’s tax revenues could drop around $660 million because Wall Street profits have fallen sharply due to the “subprime turmoil/credit crunch,” Mayor Michael Bloomberg said on Thursday. The mayor slashed his

Compuware adjusted 3Q EPS misses Wall Street view, revenue beats
Forbes - NEW YORK (Thomson Financial) - Compuware Corp. reported late Thursday third-quarter adjusted earnings of $38.8 million, or 14 cents a share, missing the mean estimate of analysts polled by Thomson Financial of 18 cents a share. In the same period a

KLA-Tencor 2Q adjusted EPS beats street view; revenue in-line
CNBC - Revenue rose to $636 million, just above Wall Street’s consensus view of $635.5 million. In the same period a year earlier, the company earned $90 million, or 44 cents a share, on revenue of $649 million. Shares of the San Jose-based maker

Amgen earnings, sales beat forecast
CNN Money - NEW YORK (CNNMoney.com) — Biotech Amgen on Thursday reported an increase in earnings and a decrease in sales for the fourth quarter, beating Wall Street’s forecast. Amgen ( AMGN , Fortune 500 ), based in Thousand Oaks, Calif., said its adjusted net

Sun Micro Doubles Profit
Street.Com - SAN FRANCISCO — Sun Microsystems ( JAVA - Cramer’s Take - Stockpickr ) doubled its bottom line in its fiscal second quarter, beating Wall Street expectations by a penny. The Santa Clara, Calif., computer hardware and software vendor said it earned

Microsoft beats the street on Computer growth
CNN Money - Microsoft’s guidance for the coming year matched Wall Street’s view. For the fiscal third quarter, which ends March 31, Microsoft stated it expects to earn 43 to 45 cents per share on $14.3 to $14.6 billion in revenue. For the full year, it forecasts a

Bargain Hunters Might Dial AT&T
Forbes - Bargain shoppers should pick up AT&T ’s signal. Despite providing quarterly results in line with Wall Street’s expectations, shares of the country’s largest telecommunications company fell 3.1%, or $1.13, to $35.56, due to a larger drag on

US: Gold, agricultural futures surge on expected Federal Reserve rate
MSN UK News - US: Gold, agricultural futures surge on expected Federal Reserve rate cut, Wall Street recovery Commodities prices climbed broadly Thursday as expectations of another U.S. interest rate cut and rebounding global

Wall Street Builds on Gains
Street.Com - Wall Street was extending the previous session’s late-day rally Thursday — albeit modestly — amid a torrent of earnings releases and a rebound in foreign markets. The Dow Jones Industrial Average pared early gains but was still adding 23 points to

SunPower stock plunges after 1st-qtr profit outlook falls short of
CNBC - However, SunPower’s fourth-quarter profit report and full-year forecast rose above Wall Street expectations. Cowen and Co. analyst Robert W. Stone said there will be “ample opportunity” for the company to lift its targets. He also noted that its

Share This

Share This

(FranchisePick.com)   Pennsylvania Attorney General Tom Corbett announced the filing of a lawsuit against the Horsham, PA - based Pure Weight Loss chain, which closed abruptly on January 4, 2008.  Here’s the story as posted on the AG’s site this day.January 24, 2008

Attorney General Corbett announces consumer protection lawsuit over sudden closure of Pure Weight Loss chain; refunds sought for hundreds of consumers

Click photo to watch video of lawsuit announcement

HARRISBURG - Attorney General Tom Corbett today announced the filing of a consumer protection lawsuit against Pure Weight Loss, a national chain of weight loss centers based in Horsham, Montgomery County, along with company owner Vahan Karian, also known as Vahan Karabajakian. Corbett stated the lawsuit was filed against the company, as well as Mr. Karian personally, alleging deceptive marketing and sales of long-term contracts for weight loss supplements, pre-packaged food and weight loss counseling services.  According to the lawsuit, Mr. Karian, as President, sole owner and sole shareholder of the company, was a co-participant in this deception and shares a responsibility for consumer losses.

Corbett stated that in December 2007 Pure Weight Loss suddenly announced plans to close approximately 400 stores across the country, including 47 locations in Pennsylvania.  The closure of the chain resulted in more than 850 complaints from consumers who had prepaid as much as $2,000 for food products and services that were never delivered.

“Taking money from consumers for goods that cannot be delivered is a clear violation of Pennsylvania’s Consumer Protection law,” Corbett said. “In this case, we believe that Pure Weight Loss continued to sell long-term contracts to consumers even after it was clear, or should have been clear, that those contracts couldn’t be satisfied.”

According to the lawsuit, Pure Weight Loss continued to aggressively market long-term contracts for weight loss services in the fall and winter of 2007, despite numerous financial difficulties, including tax liens, legal judgments and lawsuits against the company filed in several states. 

Additionally, Corbett stated that the company allegedly continued to sell contracts even after announcing plans to shut all of their stores.  According to consumer complaints received by the Health Care Section, Pure Weight Loss stores were accepting pre-payment from consumers as late as December 18, 2007, four days after the company posted a notice on their website that all of their stores would be closed.

Corbett said that consumers were allegedly encouraged to buy long-term contracts, many lasting a year or more, and were promised the regular delivery of weight loss products as they were needed. Consumers pre-paid for these services, often paying several hundred dollars in advance.  

Corbett said that following the closure announcement, consumers were instructed by Pure Weight Loss to pick up products from their stores prior to January 4, 2008, or file a claim for refunds - but the defendants failed to pay refunds to all consumers or provide all of the products or services which had been purchased. 

Corbett also noted that following the closure, the Pure Weight Loss website instructed consumers to contact other weight loss companies for “discounts” or other special offers - though none of those promotional offers constituted full reimbursement for the payments made by consumers. 

Additionally, the lawsuit claims that some of the “special offers” listed on the Pure Weight Loss website were misleading and deceptive.  Many of these offers provided little or no actual financial benefit to former Pure Weight Loss customers, and were essentially identical to offers those companies were providing to any consumer.

Corbett said that Mr. Karian, as the owner and sole shareholder of Pure Weight Loss, was aware, or should have been aware of the financial difficulties facing the company, as well as the apparent inability of the company to fulfill the contracts it was selling.  The lawsuit argues that Mr. Karian was a co-participant in this consumer fraud and shares a responsibility for consumer restitution. 

To date, Corbett said the Attorney General’s Health Care Section has received more than 850 claims from consumers approaching $500,000 for undelivered Pure Weight Loss products or services. The average claim by consumers is $880, though some consumers paid in excess of $2,000 for goods and services which were not delivered. 

The lawsuit against Pure Weight Loss and Mr. Karian seeks full restitution for all consumer claims, along with civil penalties of up to $1,000 per violation - or $3,000 for violations involving senior citizens.

Additionally, the lawsuit also asks the court to order Mr. Karian to forfeit all profits derived from these unfair and deceptive acts and to prohibit Pure Weight Loss from operating in Pennsylvania until all restitution, costs and penalties have been paid.

Corbett encouraged consumers to call the Attorney General’s Health Care Section Hotline at 1-877-888-4877 or file an on the internet complaint using the Attorney General’s website.

Corbett said the Attorney General’s Health Care Section is processing complaints from consumers across the country.  Consumers living outside Pennsylvania are encouraged to file on the internet complaints with the PA Attorney General’s Office as well as their own state consumer protection agency.

The lawsuit was filed in Commonwealth Court and will be handled by Chief Deputy Attorney General Thomas M. Devlin, along with Deputy Attorneys General Nicole L. VanOrder and Timothy E. Gates, from the Attorney General’s Health Care Section.

WHAT DO YOU THINK?  SHARE A COMMENT.

Visit FRANBEST: Unbiased franchise information, franchise interviews and detailed, searchable information on 400 franchise and and business opportunities.

Top New Franchise: Who’s hot. Who’s not.

Share This

Share This

Share This

SAVVIS Announces Fourth-quarter Investor Webcast on Monday, February 4
Forbes - SAVVIS, Inc. (NASDAQ:SVVS), a global leader in IT infrastructure services for business applications, this day announced it will host its fourth-quarter investor webcast and conference call on Monday, February 4, 2008, at 5:30 PM EST. Senior executives

Sun 2Q profit beats estimates
CNBC - The Santa Clara-based company’s results, released after the market closed, followed a rally fueled by investor optimism about the results. Sun’s stock rose $1.30, or almost 9 percent, to $16.12. And in after-hours trading, it gained another 23 cents

Movie Gallery wins Ch 11 extension
Boston Globe - In documents filed Dec. 11, Boards said its owner, Mark Wattles, was “a potential investor in connection with a possible competing reorganization plan.” But Wattles, who also founded Hollywood Video, stated in mid-December that he had no plans to file

China North East Petroleum Holdings Retains ICR to Provide Investor
MSN MoneyCentral - SONGYUAN, China, Jan. 24 /Xinhua-PRNewswire/ — China North East Petroleum Holdings, Limited (OTC Bulletin Board: CNEH)(”China North East”), a leading oil producing company in Northern China, this day announced that it has retained Integrated Corporate

Omnicell Schedules Fourth Quarter Earnings Call
Forbes - The webcast can be accessed at: http://www.omnicell.com/investor_relations/webcasts.asp How: Link to the Omnicell website 15 minutes prior to the call to download necessary audio software. Replay

US STOCKS-Wall St jumps with tax-rebate deal, Qualcomm
Forbes - After the closing bell, shares of Ambac Financial surged 15.1 percent to $13.05 after the UK’s Evening Standard newspaper reported that billionaire investor Wilbur Ross is in speaks to take over the bond insurer. The stock of another bond insurer,

Clearwire Investor Day: Access Info
Forbes - Clearwire Corporation (NASDAQ:CLWR) will host its 2008 Investor Day with financial analysts on Wednesday, January 30, in Portland, Ore. The event will begin at 1 p.m. Eastern Time (10 a.m. Pacific Time) and conclude at approximately 4 p.m. Eastern

MBIA, Ambac Fall as New York States Rescue Needs Time (Update2)
Bloomberg - A higher price reflects more investor doubt about a company’s capability to pay debts. Contracts on Ambac rose to 14.5 percent upfront and 5 percent a year, from 13 percent upfront and 5 percent a year yesterday, according to CMA Datavision

Quintiles Completes Previously Announced New Investor Partnership, Co
Forbes - RESEARCH TRIANGLE PARK, N.C., Jan. 24 /PRNewswire/ — Quintiles Transnational Corp. this day announced the completion of its previously announced new investor partnership to support the company’s continued growth under the leadership of founder and

Wilbur Ross in takeover talks with Ambac -report
Reuters - More Company News NEW YORK, Jan 24 (Reuters) - Billionaire investor Wilbur Ross is in takeover speaks with Ambac Financial Group Inc, (ABK.N: Quote , Profile , Research ) the UK’s Evening Standard reported on Thursday. The speaks are “serious and

Bond insurers fall after SCA downgrade
BusinessWeek - Investor worries about Security Capital were so strong in the wake of the Fitch downgrade that it was not possible Thursday for dealers to sell insurance on Security Capital’s debt, stated Mirko Mikelic, senior fixed-income portfolio manager with Fifth

SUPERVALU Outlines Building Blocks for the Future at Investor
MSN MoneyCentral - SUPERVALU INC. SVU today outlined its building blocks for the future at an investor conference. The building blocks include “raising the bar” on in-store execution, investing in the retail store network with the Premium Fresh & Healthy remodel

Treasurys fall as stocks rebound further
Houston Chronicle - The rallies were the result of investor bets on the likelihood of a significant economic slowdown and further rate cuts by the Federal Reserve. Investors often seek government-backed assets and stay away from risky investments when the economy

Share This

Share This