State investigators say New York City based third-party electric supplier Palmco used verbally abusive tactics to gain some of its customers.
The Public Utility Regulatory Authority launched its investigation amid 26 complaints accusing Palmco agents of misrepresenting themselves as Eversource employees before presenting Palmco sales materials. Some also complained those agents threatened that their electric service would shut off if they did not sign Palmco’s contracts.
Consumer Counsel Elin Katz told NBC Connecticut these are some of the worst allegations she has ever heard.
“In my opinion, one of the most egregious things is [Palmco’s tactics] kept happening,” said Katz. “They kept sending certain agents back into the field after they’ve been accused of this.”
A spokesperson representing Palmco released the following statement:
"PALMco is a family owned and operated business committed to quality customer service. PALMco takes very seriously any allegation that its third-party sales representatives engaged in unauthorized actions and is cooperating fully with the Public Utilities Regulatory Authority’s investigation. In fact, when the issue was first brought to PALMco’s attention earlier this year, PALMco voluntarily and immediately stopped all door-to-door marketing practices in Connecticut. Furthermore, the investigation into PALMco’s sister company in New York found no wrongdoing and there has been no finding of wrongdoing in New Jersey. PALMco stands with customers’ legal right to choose their source of power supply and is committed to fully participating in this investigation to ensure that all its marketing practices are in compliance with Connecticut law."
Meanwhile, Palmco has more than 3,500 customers in Connecticut.
Both Katz and Pura urge all Connecticut Palmco customers who feel deceived to attend their public hearings on December 15 and 16. The details are as follows:
9:00am, December 15, 2015
10:30am, December 16, 2015
Ten Franklin Square
New Britain, CT