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PRINTING INDUSTRY CREDIT BUREAU 
(847) 265-0400
ISSUE # 13
NOVEMBER  2012
CREDIT TIP LOGO

Did you know: why the Wizard warned Dorothy to 'pay no attention to the man behind the curtain'? Similar to con-men, the Wizard created an illusion of power in-order to maintain his control over others. He knew, had Dorothy exposed the truth about his wizardry he would be powerless.

 

There are three primary elements to all criminal behavior: motive, opportunity, & justification. While we can do little to eliminate motive or justification because those are traits of the psyche, we can however control opportunity by the choices we make. When we simply make smart and practical choices that are based upon truth and fact 'opportunity' is greatly diminished and in many situations eliminated.

 

How did an insurance company lose $300,000 in paid but unearned commissions to a new sales-agent who wrote more than a 1000 policies in under 90 days? How did a number of printing companies, over a decade, lose millions to a Canadian Con-Man that specifically targeted U.S. printers because they were seen as 'easy targets'?  And how did Madoff manage to go undetected by the authorities for decades while running the largest Ponzi scheme in US history? 

 

All these victims relinquished their control over 'opportunity' by falling for the wizard's illusion of big profits and they were blinded by fraud and chicanery.

 

Had the insurance company been more like the Scarecrow after he found his brain, they would have understood the statistical improbability of a newly licensed agent's ability to write in excess one-hundred (or more) policies each day, for 90 consecutive days.  With just a little more thought the agent's scheme would have failed making him evil, flying monkey prey!

 

'When a man's an empty kettle he should be on his mettle' sang the Tin Man to Dorothy when they first met. She was a stranger, and he had a goal: he was really thinking 'can she help me find a heart' or 'is she in my way?'  Imagine! Had the printers accepted this same logic they could have saved themselves from huge financial losses, but sadly,  many instead, fell forever asleep in the Poppy Field having believed the customer's hocus-pocus!

 

Had Madoff's victims been more courageous like the cowardly lion after he found his courage they would have simply thrown water on Madoff and watch him slowly melt, melt away into obscurity and without their money!

 

So what lesson did Dorothy learn in Oz that can help you?

Always have the courage to look, despite fear of loss, because what you ultimately see may save you from disaster!

 

 

PRINTING INDUSTRY CREDIT BUREAU

JUST CLICK THE LINKS TWICE FOR SAFE PASSAGE HOME!

 

 

COLLECTION SERVICES: PICB is the Graphic Art Industry's dedicated credit and collection agency.  With more than 35 years of experience helping printers get paid from slow and non-paying customers our expertise will earn your respect and gain your trust. Our rates are below industry averages but our results are superior.

 

RESOURCES: PICB's web portal to government websites that provide real-time, free information that can be helpful when determining a customer's stability or viability.  These sites provide users an ability to verify business registrations, civil records, lien information and much more.

 

DUE DILIGENCE REPORTS: When you don't have the time to review the information provided by the customer, PICB will do it for you. Our reports are compiled the old fashion way of 'hands on' extensive research while using the 21st  century tools to maximize results.

 

RISKEE BUSINESS: PICB's free service that provides unlimited access into our extensive database to determine if a potential customer is already known to PICB. 

 

WWW.PICB-US.COM

 

 DEWEY CHI'TING
LARSON  NY 
NOVEMBER CARTOON
ORIGINAL ARTWORK BY MARC.ART, INC.
mob5948@aol.com 
 
ASK AN ATTORNEY

 

Q

What is the best and most economical way of verifying if equipment is encumbered by liens or not, and what is the best way for purchasers to protect themselves from false and/or misrepresentations?

 
 
A: Most states Motor Vehicle Division has a set of statutes and forms to check on the status of liens on vehicles.  The other way is to check with the County Clerk and the Secretary of State for UCC1's etc.  Some states even have website to give you the information.  One other way is to find the last person or institution who claimed a security interest in the goods and get a copy of their report on the title or ownership insterest.

Craig La Bree
Hobbs NM

  

A: Many states, like Missouri, have a dual filing requirement where UCC filing notices are recorded with both the recorder of deeds in the county where the property is located and with the office of the secretary of state corporation section.  Other states may have single filing requirements in either of those offices.  In any case, the burden is reasonably upon the business purchasing the asset to check with the appropriate office and see whether any filing exists which might impact the title or ability of a creditor to perfect a lien as to that collateral.

 

Jay Umansky

Saint Louis MO

 

A: If its mobile like a truck, you need to check the title.  If its stationary like a factory, UCC filings. In most states UCC notices are filed at the local town or county as well as with the state .  Often you can check them online.   Here we can check the UCC filings at the Secretary of States office, on the website.  You need to be careful of exact names to check, and check all variations and trade or d/b/a names. If the company has bank financing, it is likely to have UCC's filed, but not always.  

 

Mark Lindner

Lindner & Associates PC

Needham MA

 

 

 A: First and foremost, a UCC lien search should be conducted by a title company.  If you are taking equipment as collateral, you need to find out if it is pledged to anyone else.  The UCC will determine priority.  Typically, while a debtor is located in a particular jurisdiction, the local law of that jurisdiction will govern perfection of the lien and priority.  Thorough due diligence on the front end of a credit arrangement will lead to better return on the back end.  Most financial institutions will have placed a lien on all equipment so it is essential to determine if the debtor is encumbered.  A quick asset search can give a hint, but is not a replacement for a search backed by a title company. 

 

In order to protect your credit, getting a financial statement from the debtor and updates quarterly (annually at a minimum) can help.  Build this into your credit agreement and get a personal guaranty to also back up the credit.  If any fraud or misrepresentation occurs at the time of commencement of the credit or thereafter, it can be a basis for piercing the corporate veil or to prevent discharge in bankruptcy if needed later.  Recovery through a fraud action, however, is often cost prohibitive so it is best to simply conduct your due diligence up front, monitor the strength of the credit and the value of the collateral throughout, and be sure that you have a priority and perfected interest in the equipment.

 

Heidi L. Staloch

Manty & Associates, P.A.

Minneapolis MN


A: In Wisconsin, it is relatively easy to find out if there are any voluntary liens against equipment that is being purchased.  You can check with the Wisconsin Department of Financial Institutions, and they will show all of the liens that have been filed against the assets of the party that is selling the equipment.  A check of those liens will determine if the equipment that is being purchased has any recorded liens.  If there are judgments or other liens that have been obtained involuntarily, the party obtaining those liens must obtain possession of the equipment in order to perfect their lien.  Therefore, if the equipment is still in the hands of the seller at the time of your purchase and there are no filings with the Wisconsin Department of Financial Institutions, the equipment should be free and clear.

 

When purchasing equipment, there should be some sort of contract setting forth rights and obligations.  Included in the contract should be a warranty by the seller that it has unencumbered ownership of the equipment at the time of sale.  There also should be a hold harmless agreement, holding the purchaser harmless from any claims of third parties, and requiring the seller to pay all attorneys fees for defending such claims.  If the seller is a corporation or limited liability company, the purchaser should require a personal guaranty by the principal of the seller in reference to all of the above obligations.

 

William Rinehart

Rinehart, Scaffidi & Mathews

Milwaukee WI

 

A: To determine whether personal property has liens recorded (perfected) against it, the prospective purchaser (or anyone contemplating taking a security interest in the equipment, as security for repayment of an obligation), the best way of verifying status of liens is to run a UCC lien search.  Liens against equipment (personal property) would generally be perfected by a secured party recording a UCC1 with the Secretary of State.  Many services/vendors offer this service of potential creditors.  The most common example is Parasec, a third party service that will run a UCC search for you.

 

This is also the best way to protect from misrepresentations by a debtor, because if the debtor has already hypothecated his interest in the equipment that he now proposes to "sell" to you (or grant as "security" to you), it will most likely be revealed in the UCC search.

 

John D. Guerrini

The Guerrini Law Firm

Pasadena California

 

In This Issue
CREDIT TIPS
DEWEY CHI'TING
ASK AN ATTORNEY
KREDIT KARMA
Quick Links  



PRINTING INDUSTRY CREDIT BUREAU CONTACT INFO: 



ANDREA SCHLACK
PRESIDENT
andreas@picb-us.com

 

 

DENNIS ADAMS
VICE-PRESIDENT
COLLECTIONS MANAGER
dennisa@picb-us.com

 

 

RICK CRUZ
CHIEF RESEARCH 
OFFICER
rickc@picb-us.com


JANET DIENES
GENERAL MANAGER
janetd@picb-us.com

 

 

ROBBIE BURCH

DIRECTOR OF SALES AND SERVICE

robbieb@picb-us.com

 

 

 

   

KREDITKARMA

DON'T GET BITTEN TWICE

 ******************

UNCOLLECTED

JUDGMENTS AUGUST 2012

FOR A COMPLETE LIST

GO TO 

www.picb-us.com

  

 

 

EMORY LITHO OF NASSAU LLC 

NY

  

FIRST FRUITS BEVERAGE COMPANY  LLC 

VA

 

CHRISTOPHER NICHOLAS CAMPOS D/B/A CAMPOS SCHOOL PORTRAITS

AZ

 

 

JEFFERY SAMUEL PERRY D/B/A/ CHICAGO SALON & DAY SPA

IL

  

GREGORYS FURNITURE & MATTRESS LLC

 NJ

 

ALEC W BOWERS D/B/A DIAT CONCEPTS, LTD 
IL

 

CMY&K ADVERTISING

 NY

 

CMY&K PUBLISHING

 NY

 

DALE JASLOVE IND D/B/A HEALTHCARE CONSTRUCTION

 MI

  

FRANK FINOCCHIARO INDIVIDUALLY & T/A LBT SYSTEMS & LBT SYSTEMS INC.

 NJ

 

HI INDIA, INC.,

 IL

 

HIGHER STANDARD ENTERPRISES INC D/B/A I TOUCH PUBLIISHERS.COM
NC

 

HIP HOP WEEKLY
ENTERTAINMENT, INC
FL

 

HOME VIDEO STUDIO INC IN

 

HOMETOWN HEATING & COOLING INC AND RICHARD E FOX INDIVIDUALLY

 NY

 

INDIAN HILL SYSTEM INC AN IL CORP AND ROBERT KELLY D/B/A
IL

 

JILL MORGENTHALER FOR CONGRESS
IL

 

JIM WEEMS D/B/A
J PRINT SERVICES
ID

JOSEPH D RINDER INDIVIDUALLY AND D/B/A BELTONE HEARING AID CENTER

 NJ

 

KARRY MATHESON INDIVIDUALLY AND D/B/A MATHESON CUSTOM PRINT

UT

 

KENMAR STATIONARY

 NY

 

KRISTYS MOORE A/K/A KRISTYS WAGGONER D/B/A ORION PUBLISHING
CA

 

LESTER BAFIA INDIVIDUALLY AND D MEGA FORCE PRODUCTIONS, INC

 IL

 

LISA DOTE INDIVIDUALLY AND D/B/A G GRAPHICS AND D/B/A PRINT THIS

 IL

 

NORTHWEST 

BINDERY INC
MN

 

NEW YORK FURNITURE GALLERY, INC.

NY

 

PET ENTHUSIAST PUBLICATIONS INC
NE

 

PHILIP D CHRIST D/B/A GREAT IDEAS
NY

 

PHILIP BASILE D/B/A P&M GRAPHICS
NJ

 

PHILIP BASILE D/B/A MINK INC
NJ

 

PINATA GRAPHICS

 IL

 

  

 

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