We use to have faith in large corporations, that, in the long run, it would all make sense, that these business people could not possibly be that bad, be so insensitive, corrupt, with such a disregard for anyone but themselves. Right? But messages from iBill to their clients (webmasters) have included the same empty promises of pending payments from unpaid accounts. Our sources tell us the problems originate directly from the president of the company and other corporate officers. There appears to be blatant mismanagement, on a massive scale, which is sure to land some of the corporate officers in debt, or worse, prison if what we have been told is true. The information on iBill's news website located at
http://www.ibill.com/about/ is hopelessly out of date. This is just about laughable. The strategy seems to be familiar if not juvenile; OUT OF SITE, OUT OF MIND.
From what we can tell, the problem was not First Data as iBill would claim. They gave iBill enough warning that they would not renew iBill's merchant account. But the problem with iBill goes all the way to the top, meanders like a dirty little snake to corporate officers like Greg May, Vice President in charge of iBill Sales. We have evidence suggesting Greg May has allegedly yet purposely given false information to clients in the hope of getting a few more dollars from his clients before they are forced to accept the inevitable: iBill will not pay their clients. We have copies of memos which highlight some rather nasty directions to lower staff.
Webmasters who call iBill, demanding payment and to simply talk to someone, are ignored by anyone at iBill who has any knowledge of what?s going on. Instead, the webmasters are sent to the same voice mail, or to Client Services. On behalf of one of our sources and with full knowledge of the what we were doing (the client was with us), we called iBill 32 separate times, insisting to speak with someone in the president?s office, or some officers, or someone who knew something. The client had not been paid. Their bank account was overdrawn because of iBill. Their very livelihood, their world was in jeopardy because iBill had not paid them for a long period. Each time we were sent to Client Services which means someone who has no information. On the way to Client Services, we were informed by a recording that Client Services would have no further information about payments not made to webmasters (website businesses). We were told to read the information in the CMI page. Unfortunately, there was no extra information on that page and the information which had been there earlier was wrong. Without any doubt, iBill was hiding from their creditors, refusing to talk to anyone about it. This is one of the most despicable acts any company can commit' first they steal your money, then they refuse to talk to you about it.
At Client Services, after insisting repeatedly that we needed more information, the poor employee, obviously reading from a prepared script, put us on hold and returned with a statement that the billing department had said that a check or wire transfer was on the way. Fine. What is the federal reference number? He had no idea. But we were told that the billing department would send an email to the customer within two hours which would include the CHIPS number.
It did not arrive. It never came. Nothing. More dead promises. More lies. We called the same Client Services rep and all he had to say was, ?I?m sorry, but they have gone home for the day.? (The next day we called for the same information but the same Client Services rep told us that apparently he was wrong and, obviously embarrassed, apologized. But true to his training, he said iBill had made yet another promise that that the money would be sent next week.)
On their website, iBill had yet again updated the date to pay their clients. Note that this was now the fourth date change! That means iBill had made three separate promises and failed each time to make payment. We called again. The receptionist refused to answer. During the middle of the day, their time, iBill turned off their switchboard and refused to answer any incoming calls! The continued for the rest of the day.
That week came and went, and yet more promises were made, not for payment this time, but that perhaps there may be more information soon. That same tune has been played over and over at iBill. It is laughable. There was no apology, just the blatant arrogance by Internet Billing Company
Our investigation shows that this example is not an isolated case. There are literally thousands of clients to which iBill has lied. The problem is not just financial. The problem is misrepresentation, malfeasance, negligence, and criminal acts. We make these statements with the full intention of backing them up in a court of law.
The problem is so intense that Internet Billing Company stock could move downward quickly. However, that is not our intention. Our desire is to help Webmasters find a solution with iBill, perhaps help iBill to communicate with the Webmaster instead of leaving them hanging or posting some useless statement on their website. There is no one at iBill willing to talk to the website business manager, give them the truth. Let's be clear about this. iBill is lying to their clients. iBill is ignoring their clients.
We asked First Data about the problem. Here is their reply:
iBill processes online website orders. First Data is a billion dollar company that gave notice earlier last year that we would not extend iBill?s merchant agreement. It seems that iBill sought court intervention to require us to continue processing after the expiration of iBill's agreement, in lake September 2004. The court denied iBill's request for a preliminary injunction against First Data. First Data has not processed payments for iBill since that date.
First Data did exercise its rights to increase its security by the amount of transactions processed by iBill between September 16 and September 22, 2004. In doing so, First Data acted in accordance with its rights under its agreement with iBill and all applicable law. To the extent that any funds remain after resolution of iBill?s obligations to First Data, those funds will be released. Given the contingent nature of these obligations, however, the timing and amount (if any) of such release will depend upon iBill?s compliance with contractual requirements and Master Card and Visa rules and regulations.
We gave iBill a chance to reply, to correct the problem or communicate. We even sent a letter to their president and to their legal department. They have not denied these charges, and they have made no attempt to defend themselves or offer excuses which quickly changed the next day. It seems the corporate officers running iBill understand what they have done but they are too ashamed to speak.
We urge appropriate law enforcement authorities to look into possible charges against Internet Billing Company for theft, gross incompetence, fraud, conspiracy to commit fraud, overcharging clients and possible Antitrust violations.
Of course, there is much more to this story which needs to unfold. We intend to follow and report it. In the meantime, we urge everyone to avoid Internet Billing Company. As difficult as it may seem, this problem will only get worse.