| A company promoted by state Republican Chairman Kris Warner once sought to bring jobs to Calhoun County is being sued by the Federal Trade Commission.
PowerTel, a company belonging to Community Affairs, was interested in locating in Calhoun County in 1999 and 2000 in the old Calhoun High School complex, after its successes were promoted by Warner in a project he developed at the old Kyser High School.
Warner negotiated with Calhoun County officials and persons interested in trying to help the community.
The deal never happened.
Warner told the Charleston Daily Mail that too many of the job seekers were women and implied local businessman Shirley Fitzwater was a stumbling block with his organization.
Fitzwater said he was willing to do whatever it took to help the county, including selling the old county high school at a bargain basement price.
Later, Fitzwater offered to donate the school property provided there would be some kind of guarantee of bringing jobs to Calhoun.
"PowerTel does quite a bit of work with state police agencies," Warner said at the time. "Men will do better on raising money for a state police agency or volunteer fire department. Women will do better on children's issues, children's campaigns."
Dan McDonald, then the local economic development director, worked vigorously with the Calhoun Commission and dozens of local business people, to bring the company to the county, hoping it would bring jobs.
Hundreds of applications of willing workers were collected, but Warner implied the work force was not qualified to handle such an operation.
The company allegedly raised money for fake charities and kept between 75 percent and 90 percent itself, according to the lawsuit.
The charities, according to the suit, spent most of the remaining money for administration, and beneficiaries received virtually nothing.
The telemarketers posed as state troopers and firefighters to drum up business.
The company pulled out of the state overnight in October, 2003, leaving employees holding the bag, owing hundreds of workers.
Warner was the broker that promoted at least three sites for the company.
He claims he was not aware the telemarketing company was being sued by the FTC, or that other states had complained about alleged fraudulent practices, although the company had a checkered past.
Jon Hunter, D-Monongalia, whose district includes two of the call centers, said Warner should have known. "I really do believe the Warners sold us all a bill of goods in bringing this rogue company in," he said. Warner's has business centers in Keyser, Philippi and Morgantown.
The New Jersey Division on Consumer Affairs sued the company months before Warner helped the company expand to Philippi.
Warner convinced the Philippi Board of Trade to be the lead group which allowed the Broaddus Hospital Association to give its former building to the Warners for $1. Warner told them he agreed to create jobs and fix up the building.
Customers complained that they were being billed more than once for a donation. Federal investigators said the company charged 2,804 people more than once, and up to 22 times, in one seven-month period.
A company employee in Phillipi said if an employee didn't make enough money, their computers would be shut down and they would be sent home. If that happened three times, they would be fired.
The Florida-based Bradenton Herald-Tribune reported the charities gave out less than 8 cents of every dollar they raised. More than 80 percent went to telemarketers.
The West Virginia Division of Labor has filed a civil lawsuit against the company.
Warner claims his family is much a victim of Community Affairs as everyone else.
Warner has been upset about recent newspaper stories about how his business paid only $5 in property taxes on the Philippi building, even though a state tax official recently appraised it at more than $1 million.
The Phillipi building was never put on the books by the former Barbour County assessor, who left office in 2002 to avoid prosecution for misuse of county
funds.
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