The Wisconsin Department of Justice Obtains Judgment Against Florida Resident for Fraudulent Marketing of Attic Insulation Product to Wisconsin Homeowners
MADISON – March 24, 2014 – (RealEstateRama) — Attorney General J.B. Van Hollen has announced that his office has obtained a judgment ordering the seller of attic insulation to Wisconsin homeowners to pay a total of $215,560.85 for violations of state consumer protection laws. The lawsuit, filed in Fond du Lac County Circuit Court in 2013, alleged that Mark Stitt, currently a resident of Panama City, Florida, through his business ES Technology, used fraudulent representations to sell an attic insulation product called ProGuard AB to Wisconsin homeowners, a number of whom were elderly.
According to the state’s complaint, Stitt and ES Technology marketed its product by sending postcards to Wisconsin homeowners inviting them to attend sales presentations at various locations. Stitt misrepresented to consumers that installing the product in their attic could cut their utility bills by up to one-third, and that ProGuard AB was used by NASA in the Space Shuttle. In reality, ProGuard AB is a thin, foil insulation product less than one-eighth of an inch thick, with an R-value of less than one.
At least 41 Wisconsin homeowners purchased ProGuard AB from Stitt and ES Technology, 12 of whom filed complaints with the state. The judgment requires Stitt and ES Technology to pay $100,000 for consumer restitution, $108,693.50 for forfeitures, and $6,867.35 to reimburse the state for the costs of investigation and prosecution. The complaint and judgment can be viewed at the following links:
“Wisconsin will not tolerate fraudulent sales practices, which are particularly reprehensible when seniors are targeted, as they were here,” Attorney General Van Hollen said. “My office will continue to take strong action against the perpetrators of scams such as this one.”
The Wisconsin Department of Agriculture, Trade and Consumer Protection (DATCP) investigated this matter, and referred it to the Department of Justice for prosecution. The state was represented by Assistant Attorney General John Greene.
