Retail Supplier to Pay Nearly $150,000 to Settle Georgia Investigation

MXenergy Inc. would pay nearly $150,000 to resolve a Georgia PSC Staff investigation into 136 allegations of unauthorized switches, under a stipulation between the company and Staff.

Per the stipulation, MXenergy would pay $735 to each of 136 consumers, "that have been identified by Staff as having been slammed" (totaling $99,960). The stipulation provides that although MXenergy disputes the number of allegations and assertions of purported slamming violations, any liability or wrongdoing, or any of the findings of Staff's investigation, MXenergy fully recognizes the seriousness of the allegations and the need to prevent slamming violations. In order to close the investigation and for purposes of settling this matter, MXenergy accepts Staff's 136 cases of alleged slamming.

Additionally, MXenergy would make a payment of $50,000 in a manner to be determined by the Commission.

The slamming allegations arose from an MXenergy door-to-door marketing campaign which began in late 2011.

To the extent MXenergy has not already done so, MXenergy shall pay to each of the natural gas consumers that were identified by Staff any and all switching fees, reconnection fees, disconnection fees, early termination fees, and/or deposits assessed by their preferred providers in order to resume their natural gas service. MXenergy shall refund to each of these consumers any and all monies that they may have paid for natural gas service, including, but not limited to the commodity sales and interstate transportation service, that was provided by MXenergy as a result of being slammed.

MXenergy shall provide each affected customer with a letter offering to switch the customer to their preferred marketer with all costs of doing so being incurred by MXenergy.

For a period of one year, MXenergy shall file with the Commission for its review and comments campaign information for proposed door-to-door marketing campaigns at least 30 calendar days prior to implementation of such marketing campaign.

The stipulation requires PSC approval.

The stipulation provides that nothing contained in the stipulation may be taken as or construed to be, an admission of any violation of law, regulation or any other matter of fact or law by MXenergy.