San Diego Consumer

The National Ethics Bureau

Background Checks
By Mark S. Burgess
Posted on Mon, May 7th, 2007
Last updated Mon, May 7th, 2007

As a San Diegan, do any of these names sound familiar? J. David Dominelli. The Airplane Game. The First Latino Group. Edmundo Rubi and Knight Express.

If not, consider yourself lucky. Most of the people who recognize those names do so with some pain and are usually either federal prosecutors or people who lost money through unethical and fraudulent business practices promulgated by those individuals or organizations. And San Diego seems to be a hot bed for scam artists.

(from left) Jeffrey Kopitz (President),

Allison Cristian(Principal),

Steven McCarty(Chairman)

Copyright©2007 sandiego.com, Inc.

So, it’s a natural place for something called the National Ethics Bureau (NEB) to be founded. Two entrepreneurs with experience in the financial services industry saw the need for some sort of accreditation that went beyond the simple checks performed by the Better Business Bureau or credit agencies. The two founders, Jeffrey Kopitz the President and Steven McCarty the Chairman, started the company as the National Verification Agency in 2001. Realizing that it was more effective to provide individuals with the ability to demonstrate their ethical standards and history rather than try to reach consumers directly with a way to validate someone’s claims, they renamed the business to be the National Ethics Bureau and added additional checks to their own basic background investigation.

Today, the firm claims membership of over 2,000 individuals – businesses cannot be certified, only the people that run them. At a rate of $235 per year, “We have a 73% renewal rate,” according to Mr. Kopitz.

Steven McCarty pointed out that the NEB has worked out all of the complicated channels required to get access to some records it would take the consumer “hours and hours of work, if they figure it out at all”, he said.

Once an individual applies, the team at the NEB goes to work to compile their history which takes ten days to two weeks to complete. Once certified, the member is encouraged to display the certification symbol on their marketing and other materials to invite investigation by their prospective customers.

Through the website (www.ethicscheck.com), consumers can review a member’s profile and even order a check on someone that is not a member. The site also contains a running list of relevant events in the Scam Report. The NEB provides a Verification Hotline for consumers, as well.

“We’re one of the best kept secrets in San Diego,” Kopitz said. He went on to talk about how careful they are to ensure the checks they do match the profession being investigated. He said they want to grow and they face a myriad of ways to grow, but they want to be sure to retain their own integrity and keep their own business processes solid. As both founders came from the insurance and financial services industry, that is where they’ve set the company focus. They have plans to expand into real estate and other markets where consumers rely on professional advice.

More by this author.

Subscribe to Consumer

 · 

Comments

Posted by Sharie Sneddon	Thu, May 10th, 2007
The need for the National Ethics Bureau is long overdue and I, personally, can not wait to see the expansion of their services to include other service areas where the consumer can have a better feel for the people they are relying on and where they are spending their hard-earned money. As NEB opens up service lines, every service related company in America should make their employees members so they will know they are hiring quality individuals and to help protect their company's reputation. Independent service providers will benefit from NEB's services too because it will weed out the bad seeds in each industry and drive more business to the responsible and reputable individuals and companies.

Posted by Jill Brown	Fri, May 11th, 2007
I think this service is fantastic for anyone wanting to know about the services there. I live out of state and I wish my area had a site like this. I am in the aviation business and we have areas on the internet pilots can go and leave comments about the different FBO at airports and this is a excellent way for pilots to see what type of business to go and stop at. You can print good and bad comments but they have to be correct. This company should go a long way and should spread across the nation. Good luck guys.

Posted by Kathy Gagliardi	Fri, May 11th, 2007
I believe the National Ethics Bureau definetly has a place in all business practices and the private sector too. So many times, you wish that you had acquired necessary information on potential clients and employees. There are many reputable companies and people out there, but, I truly feel they are out-weighed by unscrupulous people and business's. Most of the time it comes down to time and as we all know time is money. The fact that their is a reputable company out there who is able to do all the footwork, makes it easier and less time consuming, which in turn comes full circle back to time and money. Eventually this comes back to the consumer via ethical business practices and employees.

Posted by Capt. James Williams	Tue, Jun 5th, 2007
I came across this article while visiting the internet. I can see a long future for this organization, as well as being long overdue!! Just for the record....."I would rather be Yachting"

Posted by Chris Vardon	Thu, Jan 3rd, 2008
I'd love to believe that certification by this company means something, but from personal experience it does not. I am in the financial services industry, and I receive marketing materials constantly urging me to join organizations such as this one. Pay the money, get a sticker, enjoy! The truth is: It is just a scam. Sure, they may check the backgrounds of the member candidates, but that doesn't guarantee your not doing business with a crook. I recently visited an NEB-certified annuity salesperson, and didn't bother telling him I was a financial advisor with a major Wall Street firm. The annuity he tried to sell me was one of the most predatory products I've ever come across. When I asked about surrender charges, he - utilizing his white board & markers - went about showing me how if I surrenderred my contract within the first year I'd actually make $500 on a $100K annuity contract! Oh, and the first year surrender charges? 20%!!! I've heard stories like this from the elderly, but had to see it for myself. Please protect those you love - check out who they're talking to and what they're selling!

Posted by Carole McMullin	Fri, Sep 12th, 2008
I am trying to evaluate this company and am confused by it's seeming tie to the financial person being checked. Within ten minutes of my calling NEB to check on a sales person, that sales person called me and said NEB was required to notify him. Sounds odd to me.

Posted by HR	Sat, Dec 6th, 2008
The National Ethics Bureau gave it's man of the year award to Evan Beecham a guy who is involved with Larry Ira Klein of Javelin Marketing and NFCOM. Klein has been fined by the NASD for over $300,000 and had his license revoked for scamming elderly clients and for having unlicensed security sales in his office. Beecham is now involved with Klein's CRFA -a marketing course designed to help advisors attract senior clients (and likely get the kind of advice that lead to Klein's "inappropriate investment recommendations" fine from the NASD and SEC). NEB supposedly supports full disclosure- so how about telling everyone about Beecham's link with Klein?

Posted by J. Withheld	Wed, Jan 7th, 2009
How Ironic that an ethics outfit would offer a professional liability policy to its members that provides only a shared policy limit with only a $10mil policy aggregate and not explain to prospective buyers what this means. Should one question how much of the premium $$$ goes to the founders pockets? Maybe none but would it be ethical to disclose?

Posted by LM Grayson	Tue, May 12th, 2009
I would have to second the last four negative comments. This company appears to have recognized a market opportunity and while they may certainly not be engaged in illegal activity, one has to question the net value of their "certification".

Posted by Carol	Fri, Jun 19th, 2009
I believe on another ethics topic - the owner of Angelo's Kars should be investigated. When a sailor comes there because there's a sign that says, "Military Mom is here" and believe they can trust them, then buy a car that needs a new transmission and clutch within the 3 mo / 3,000 mile warranty and they won't stand behind it - thats despicable. The salesman said they wouldn't do anything about it, and the owner hung up on me when I said I would have to take further action if he wouldn't stand behind his product.

(1)sandiego.com, Inc. invites comments in which readers can respond freely and anonymously if they wish. Comments submitted by readers will be rejected that are deemed by the editors to be damaging to the future of this web site.
(2)Comparison is made from the IP Address identity of the computer placing the posts. Some networks share these addresses between users.