AG's office investigates power supply company after complaints over questionable tactics

FOX UNDERCOVER (MyFoxBoston.com) -- Rising electricity rates are hitting all of us in the wallet here in Massachusetts and there are more and more companies claiming to offer the cheapest price, but one of those competitive suppliers is now under investigation by Attorney General Maura Healey's office.

Liberty Power started selling electricity to residential customers in Mass. about a year ago and tens of thousands of people have already signed up. But our investigation found a pattern of complaints against the people being hired by Liberty Power to sell electricity. We even talked to someone who used to be a former salesperson who says it's not about saving you money on your energy bill, it's about making a $30 dollar commission for every customer you sign up.

We got a confession from someone who worked on the inside.

"We're not asking for your bill to see what you're paying, we're asking for your bill because we want to see who your provider is," Mario Cruz said.

For about a month, he went door to door trying to get customers to switch their electric supplier to Liberty Power. It seemed like a legitimate business opportunity, until he says he started to feel pressure to switch customers.

"I felt like I was doing something illegal, I felt like I was doing something wrong, something that wasn't honest," he said.

Cruz contacted FOX25 because he says he wanted to warn consumers about the dishonest tactics used by door to door salesmen like him claiming to lower your electric bill. He tells us he worked for an independent sales company that was contracted to sell for Liberty Power. He says they would meet daily at a Wendy's in Lawrence. Cruz says they would consistently target large apartment buildings regardless if there were signs posted that said no soliciting.

Adolf Ebner of Tewksbury filed a complaint with the attorney general's office saying he felt tricked into signing up with Liberty Power, and he's not the only one to complain. FOX25 obtained more than 40 complaints filed with the attorney general and 37 of them were filed in the last year.

Mark Shiffer of Somerville filed one of the complaints and he says the Liberty Power rep told his wife she was from NStar. When Shiffer arrived at home, the sales rep was on the phone in the middle of switching their electric supplier. When he found out she was actually from Liberty Power, he decided to research the company online.

"And she said if I was going to look them up she was going to leave," he said.

We looked up Liberty Power online and found more of the same. The Better Business Bureau gives the company a C minus rating with 140 complaints filed around the country in the last 3 years.

Multiple complaints filed with the Better Business Bureau and the attorney general are from people saying they were switched over to Liberty Power without their consent, something Cruz admits he's witnessed.

"You give me your bill, all I need from you is three things. Your name, your address, and your account number. I don't need you to make the confirmation call, I can have somebody else make the confirmation call," he said.

The attorney general is warning people in Mass. about sharing their electricity bill with people.

"If somebody comes to your door and asks to see your electric bill, don't share that with them," Attorney General Maura Healey said.

She went on to say that the company is on her office's radar.

We reached out to Liberty Power and received a lengthy statement that reads in part: "We have been diligent in performing our obligations and ensuring full compliance with all Massachusetts consumer protection laws. Despite our strong quality program, we have had a small number of cases where an agent has represented our product or company in a way that is not consistent with our training."

This isn't just an issue with Liberty Power. Earlier this year, the attorney general's office reached a $4 million settlement with Just Energy. The company was accused of using third party agents who engaged in deceptive marketing and sales, misleading customers into thinking they'd get cheaper rates only to end up paying more.