Staffing Firms Named in Suit by Virginia Attorney General

By Staff Report

Jul. 30, 2009

Virginia Attorney General Bill Mims has filed suit against staffing companies in the state alleging that they defrauded consumers in the Hampton Roads area.

The companies involved are Virginia Employment Services, Virginia Personnel and New Beginnings Inc.

“The companies charged consumers hundreds of dollars in ‘membership’ fees in exchange for ‘guaranteed’ jobs, but then offered little or no assistance in finding employment,” according to the attorney general’s office, which filed the suit Wednesday, July 29. “The companies refused to provide refunds and made unauthorized charges to debit and credit cards, causing consumers to incur over-the-limit and overdraft fees.”

James and Karla O’Leary served as principals for each of the companies, according to the attorney general.

—Staffing Industry Analysts

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