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Fasano: State Should Limit Truck Deposits To Cut Fraud

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By MARK  DOUGLAS | News Channel 8

Published: January 6, 2009

NEW PORT RICHEY - A state lawmaker said Florida should act to place restrictions on brokers like two Pinellas County companies that are accused of pocketing deposits made on big trucks and heavy equipment.

Republican state Sen. Mike Fasano of New Port Richey said he was outraged by News Channel 8 reports about the complaints against Global Funding and Landmark Leasing, which both have ties to Clearwater businessman Jeffrey Maricle.

More than 50 complaints have been filed against the two companies from as far away as California and Canada and the state Attorney General's Office is investigating.

"Until you brought it to my attention, I didn't even know this type of business existed in the state of Florida," Fasano told a reporter.

Fasano says he plans to do something about the problem when lawmakers convene in regular session March 3.

"I'm hoping to get something done in the legislative session that would not only have some oversight on these companies but also say the maximum you're going to get is an application fee and nothing more."

Unlike financial loans, equipment leases are largely unregulated in Florida and there is no prohibition on collecting advance lease payments like there is for loans.

Global Funding LLC, a self-described "single source heavy equipment leasing provider" owned by Maricle, collected more than a million dollars in advance fees during 2007 according to records subpoenaed by the Florida Attorney General's office.

Much of that money was supposed to cover payments for leases that never materialized, according to complaints filed with the state.

Landmark Leasing LLC operated under a similar business model and with many of the same employees as Global Funding.

In addition to the attorney general, the Florida Department of Financial Investigations is conducting a parallel criminal investigation and the Pinellas State Attorney's Office is also considering charges.

In October, a civil jury in Pinellas County found Global Funding committed fraud in one case and ordered Maricle to repay more than $18,000 to a customer from Indiana who operated as "The Crane Guy."

Fasano said he hopes to stop abusive leasing practices, in part by restricting advance payments.

"At the minimum these leasing middle people as you would call them should not be allowed to accept any dollars except for an application fee," he said.

A Palm Harbor attorney who sued Global Funding on behalf of a woman in Georgia said his client is a good example of why the reform proposed by Fasano is so necessary.

The woman sent $20,896 as advance payment for a lease on a harvesting combine she never received, said the attorney, Jeffrey A. Herzog. Because of the experience, he said, she has been evicted and lost the use of her cell phone.

"It's unfortunate this is happening to the poorest of people," Herzog said.

Said Fasano, "There's definitely a problem. It's outright fraud."

To find and contact your representatives in the Florida State Legislature, visit this site.

Mark Douglas can be reached at 727 536-9603 or Mdouglas@wfla.com

Reporter Mark Douglas can be reached at 727 536-9603 or Mdouglas@wfla.com

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