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YTB Settles With Illinois Attorney General for $150,000April 13, 2011 By: George Dooley Travel Agent
Multi-level marketing firm YTB International, Inc. reported that it has reached a settlement agreement with the Office of the Illinois Attorney General related to its civil action complaint filed in May 2009 for allegedly violating Illinois' unfair competition and advertising laws. YTB said it settled without admitting or denying any allegations in the complaint.
YTB said it complied with the Office of the Illinois Attorney General for all requests of information and agreed to enter into a final judgment and consent decree by the court without trial or adjudication of any issue of fact or law.
As part of the settlement, YTB agreed to make a civil restitution payment of $150,000. The Office of the Illinois Attorney General will determine eligibility for restitution.
“It has always been company policy to issue refunds immediately upon requests that fall under the appropriate refund guidelines,” YTB said.
J. Scott Tomer, chairman of YTB said, "We're pleased to have this matter behind us and be able to move forward, focusing on the future."
YTB also announced, on March 25, that it had closed on the sale of its corporate headquarters office to an unaffiliated third party for $7,100,000. The transaction was a sale/leaseback, allowing YTB to lease space from the buyer while improving its working capital.
Robert Van Patten, CEO of YTB commented on the sale: "Improving the company's working capital has been a major focus as we work to solidify our business fundamentals and increase our active subscribers. The number of new subscribers in the fourth quarter is a promising sign and we're confident the increase in the number of featured stores, the expected increase in active Subscribers, and the continued introduction of new direct sale products will result in increased revenue in both product sales and commissions in 2011."
YTB, based in Wood River, IL, provides e-commerce business solutions for individual consumers and home-based independent representatives in the U.S.,Bermuda
, the Bahamas andCanada
. The company operates through two subsidiaries: ZamZuu, Inc. (formerly YTB Marketing, Inc. and YourTravelBiz.com, Inc.) and the YTB Travel Network, Inc.