Rumford Energy of Concord abruptly closed its doors yesterday, leaving customers without oil - even those who paid in advance. Customers first learned the company had closed when they called for service yesterday and found the phones disconnected.
The company's owners, Tim and Tracey Ferns of Concord, could not be reached for comment at the office, their home or through family members. They opened Rumford Energy about six years ago, and according to their landlord and competitors, have been having financial trouble for some time.
They are behind on their rent, according to landlord Tom Avallone, as well as their yearly dues to the Secretary of State's office. Owners of other oil companies said Rumford customers have been calling them for three or four weeks because they've not been able to get Rumford to fill their oil tanks.
The problem, several oil experts said yesterday, was that Rumford Energy offered its oil too cheaply in an effort to attract customers and then couldn't stay afloat. Something similar happened in 2000, when the Berlin based J.L. Oliver Enterprises offered cut-rate prices on its oil and then folded, leaving 5,000 customers stranded. State officials successfully prosecuted that company.
A sign on Rumford Energy's North State Street door appeared midday yesterday reading, "Due to difficult circumstances Rumford Energy has been forced to discontinue operations." There was no other information. Customer Lisa Tibbetts was there when Tim Ferns hung it up, according to her husband, Joe Tibbetts.
"She asked him how he could do this," said Joe Tibbetts, who figures his family is owed several hundred dollars for pre-paid oil. "The owner said, 'I'm sorry,' got in his car and drove off."
Sarah Bartlett of Concord also went to the company's office when she couldn't get through on the phone. She pre-paid her oil for this year, and then in January paid Rumford Energy $1,100 for next year's oil. "I spoke to (Rumford staff) just last Friday, and there was no indication they were closing," Bartlett said. "To leave people high and dry . . ."
The consumer protection bureau of the state attorney general's office heard from several unhappy Rumford Energy customers yesterday, said bureau chief Lauren Noether. She advised customers to file a written complaint, either at her office or online, and to quickly make arrangements with another oil supplier.
Other local oil companies were responding yesterday by putting extra staff on duty over the weekend to handle calls for oil and service. John Rymes, owner of Rymes Heating Oils of Concord, said his company heard from a Rumford customer yesterday who had set up and paid for a budget plan with Rumford Energy as recently as Thursday.
Rymes said he learned nearly a month ago that the company was struggling and called Tim Ferns to offer help. Rymes said Ferns never called back. Both Rymes and Tom Prescott, owner of Johnny Prescott and Son Oil in Concord, said they've heard for weeks that Rumford Energy has been only partially filling oil tanks.
"They've been getting only 10 to 40 gallons, not a full tank" Prescott said. "We've had a lot of calls about that."
It appears some customers didn't realize they were getting less than a full tank until they unexpectedly ran out of oil. Joe Tibbetts was one of them.
He said he saw the Rumford Energy truck at his house three or four weeks ago. He assumed the company had filled his tank and didn't think much about it when the driver left no receipt. Tibbetts suspects now that he didn't get a full tank because he ran out of oil today.
"I wish they would have at least had the integrity to send out a letter to current customers to say, 'We will be ceasing oil deliveries and you should find another means of getting you oil,' " Tibbetts said. (next page »)
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