As many are aware, Foreclosurepedia, for the second year running, initiated an Internal Revenue Service (IRS) 13909 Complaint against the National Association of Mortgage Field Services (NAMFS) in order to compel NAMFS to produce their IRS Form 990 which is what a non profit commonly refers to as its income tax form. It is available here, in part, free of charge. Additionally, we have waited over a year now for NAMFS to produce their Letter of Determination which Eric Miller, NAMFS Executive Director, states NAMFS has in its possession. For reasons other than the fact that IRS informed me last year that NAMFS does not have a Letter of Determination, I am fairly certain that there will be none forthcoming.
NAMFS spent nearly Seven Thousand Dollars on accounting for their latest reported Fiscal Year. Michael J Busta of Fairlawn, OH, was the Certified Public Accountant (CPA) retained by NAMFS to file the NAMFS IRS Form 990. In addition to Busta — and you can’t make up a name like that — Eric Miller, NAMFS Executive Director with Paul Magaha, NAMFS Treasurer, both attested upon Schedule O of the NAMFS IRS Form 990 that the,
Form 990 is reviewed by the Organizations [sic] Executive Director and the Treasurer prior to filing.
It was obvious that if any of that went towards preparing the NAMFS Tax Return; the NAMFS IRS Form 990, it was unwise. It is even more disconcerting that both the NAMFS Executive Director and the NAMFS Treasurer reviewed the document and yet, as you will read, the errors stretch as long as I – 70. I state this as several errors were noted in just a brief skimming of the document itself. Two of those are listed below which the first, is the misspelling on the road where NAMFS calls its location of the books for the company. Additionally, NAMFS failed to record the fact that one of their employees received over One Hundred Thousand dollars. Just a minor detail, I know.
The NAMFS IRS Form 990 was bittersweet in its revelations. First, it confirmed many of my allegations over the past year against Eric Miller, Executive Director of NAMFS. Miller is paid $120,215 per year. To comprehend this number one needs go no further than the fact that for the same period of time only $181,304 were brought in for Membership Dues. What this means is that Miller’s salary consumes 66.3 percent of all NAMFS Member Dues.
To fully comprehend the Comedy of Errors which NAMFS has become, one first needs to understand how the veritable tsunami of criminality flooding NAMFS originated. While many will continue to toe the party line with statements like, Consider this from a guy who spent a few years working with a great, smart, hard working family man named Eric Miller, when I served NAMFS as a full time volunteer 2000-2006 — Rob Sanchez —the reality is that they are seen for precisely what they are, Party Hacks. And by the way, Robb, before you shove fingers into people’s chest, make sure you have a clean bill of health. Robb Sanchez has himself listed on LiarsCheatersRUS. Why or why not is not of my concern. This is a shot across the bow to communicate that I won’t buckle.
Sanchez’s shit is trivial; we are dealing with critical issues pertaining to whether or not NAMFS is even entitled to IRS tax exempt status based, in part, upon compensation to Eric Miller and also due to the NAMFS Board of Directors refusing to allow the NAMFS Membership to vote for years now.
For many the belief that self regulation is far better than government involvement, the fact of the matter is that most of those whom meaningfully state such have the infrastructure developed to address all contingencies. The Mortgage Field Services Industry has little to no infrastructure dedicated to the wide array of Industry interactions as first and foremost, the Industry at its current level, has never existed.
In Part I of the NAMFS IRS Form 990, Line Item 4, we note that NAMFS has 15 “Independent Voting Members of the Governing Body.” This proves, beyond any shadow of a doubt, that Eric Miller is causing and has caused the NAMFS By Laws to be violated. What I mean is this,
The CPA, Miller and Magaha all stated in two separate and distinct areas and additionally manually entered names, titles and confirming check marks that NAMFS had fifteen (15) voting members. The names and their titles are clearly delineated on Part VII, Section A, Line Item 1a, Columns A and B. Two of those names are Matt Zoldowski and Mike MacCaull and are identified as (13) and (14) respectively on the NAMFS IRS Form 990 Part VII, Section A, Line Item 1a.
Zoldowski owns Property Preservation Wizard (PPW) and MacCaull is the Chief Operating Officer (COO) of BargainLocks. In accordance with the NAMFS By Laws (NBL), Section 2.1.3, Zoldowski and MacCaull are classified as Associate Members. In pertinent form, here is what NBL 2.1.3 states,
Associate members are non-voting members, and are not eligible to serve as directors or officers of the Association.
So, to clarify, Michael J Busta, CPA; Eric Miller, NAMFS Executive Director; and Paul Magaha, NAMFS Treasurer all attested to the veracity of the NAMFS IRS Form 990. In the very first set of questions in Part I a CPA, the Executive Director and Treasurer of NAMFS either all confirmed that NAMFS is violating its own By Laws or, in the alternative, they lied on the NAMFS IRS Form 990.
NAMFS reported revenues of $559,606 for Fiscal Year (FY) 2014 which was a $89,620 drop year-to-year (YTY). Many will recall that in FY2013, NAMFS reported losses of $50,787. Some may be happy to know that NAMFS reported just north of four thousand dollars to the good for FY2014.
The most shocking revelation, though, was the fact while NAMFS publicly preaches accountability, they actually refuse to police themselves. We actually have proof of that now which was attested to by Busta, the CPA and both the Executive Director and Treasurer of NAMFS.
Part VI, Section B of the NAMFS IRS Form 990, deals with the Governing Body and Management. On Line Item 12a and 12b IRS asks if NAMFS had a Conflict of Interest Policy and if NAMFS officials were required to annually disclose any conflicts. NAMFS answered YES on both Line Items.
On Part VI, Section B, Line Item 12c IRS asks, “Did the organization regularly and consistently monitor and enforce compliance with the Policy?” The National Association of Mortgage Field Services (NAMFS) answered NO.
NAMFS further confessed that they have no written whistleblower policy. In addition, NAMFS admitted that they DID NOT have a written document retention and destruction policy. It boggles the mind when one listens to Miller, et al., preach the necessity of all the bullshit they want done and done for free and yet they do nothing themselves but collect monies obtained, in part, based upon fraud.
Tomorrow, we begin to flesh out much of the hidden data in the NAMFS IRS Form 990. You really don’t want to miss that!