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Retail Supplier Discloses Pending Investigations From State Attorney General, Consumer Agency; Investigations Under Broader Consumer Laws

December 2, 2019

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Copyright 2010-19 EnergyChoiceMatters.com
Reporting by Paul Ring • ring@energychoicematters.com

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In a recently filed Ohio natural gas license renewal application, Verde Energy USA Ohio, LLC disclosed several investigations into the supplier that had not previously been publicly disclosed.

Several of the investigations are notable because they involve agencies other than the state's utility regulator (PUC, etc.), and investigations brought under broader consumer protection statutes, rather than retail energy-specific rules or statutes.

Verde Energy USA Ohio, LLC disclosed that it is subject to an investigation by the Ohio Attorney General concerning an alleged violation of Consumer Sales Practice Act, Ohio Rev. Code Sec. 1345.01. Verde Energy USA Ohio, LLC did not disclose specifically which subpart of Sec. 1345 under which the AG was investigation (.01 relates to definitions), but Sec. 1345 includes a provision relating to the required, "Prior, verified consent required to switch natural gas or public telecommunications service provider," in addition to provisions addressing generally "unfair or deceptive acts or practices" an "unconscionable consumer sales acts or practices."

Verde Energy USA Ohio, LLC also disclosed that affiliate Verde Energy USA New York, LLC is subject to an investigation by the New York State Department, Division of Consumer Protections (DCP), concerning, as described by Verde, alleged "Telemarketing DNC violations."

Verde Energy USA Ohio, LLC also disclosed that Verde Energy USA New York, LLC has received a Notice of Apparent Failure from the New York Department of Public Service relating to, as described by Verde, "regarding the erroneous inclusion of a monthly service fee (that was calculated on a daily basis, resulting in monthly service fees 30 times the contract rate)."

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