This week, the New Jersey Division of Consumer Affairs cited 26 unlicensed HHG carriers for performing intrastate and interstate moves and violating federal regulations.
“Operation Mother’s Attic” was led by the states Consumer Affairs department. The undercover sting focused unlicensed companies that advertised intrastate moves within New Jersey.
In total, 26 companies each received $2,500. In addition, the FMCSA has filed additional penalties against two of the companies for performing interstate moves.
Operation Mother’s Attic took place from November 19 to 22. In the days leading up to the sting, state Consumer Affairs investigators posed as customers seeking to move.
All 26 unlicensed carriers made arrangements with the undercover investigators at a self-storage facility where they were confronted by Consumer Affairs investigators, the FMCSA, U.S. Immigration and Customs Enforcement and the New Jersey State Police.
“The goal of this undercover operation is to bring these moving companies into compliance with the law, or keep them out of our State – to protect New Jersey’s consumers, and to ensure a competitive playing field for New Jersey’s 290 duly licensed moving companies,” Director Kanefsky said. “In addition, we have become one of the first states to join with the U.S. Department of Transportation in a partnership that will enable the Division of Consumer Affairs to enforce federal laws pertaining to interstate movers.”
Under New Jersey law, all HHG carriers must be licensed by the New Jersey State Division of Consumer Affairs. In addition, the companies must carry liability insurance, workers’ compensation insurance and bodily and property damage insurance.
“Unscrupulous movers that attempt to evade consumer protection regulations are often as likely to disregard safety requirements that serve to protect everyone traveling on our highways and roads,” FMCSA Administrator Anne S. Ferro said. “We are pleased to be a partner with the state of New Jersey’s Attorney General’s Office to bring the weight of state and federal consequences upon rogue movers that run outside the rules of law.”
Some statistics from the sting operation from the New Jersey Division of Consumer Affairs:
The 26 companies have been ordered to meet with Consumer Affairs investigators and face Notices of Violation of civil penalties. The $2,500 penalty will be reduced to $1,250 for any company that applies for state licensure within 30 days.
“The following moving companies are alleged to be unlicensed, and face State civil penalties as a result of the operation. The companies have an opportunity to request a hearing before the Director of the Division of Consumer Affairs, if they dispute the allegations against them,” Consumer Affairs stated.
Cardinal Moving and Shamrock Moving & Storage also face $25,000 Federal civil penalties.