Consumer Justice: Businesses Say Man Accused Of Taking Thousands Still At It

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DALLAS (CBSDFW.COM) - Customers say a man accused of taking thousands of dollars from small businesses in Texas is still at it.

The Better Business Bureau of Dallas reported new complaints from 2015 -- a year after the Texas Attorney General's office filed a lawsuit against Jeffrey Gibbens under the Texas Deceptive Trade Practices Consumer Protection Act.

♦ "That could ruin a small business."

David Frank owned the Warming Hut Ski Shop for 38 years before selling the business this year.

With a run that long, being open to change was key to his business surviving.

"Jeff came in the store and said 'hey, how about putting in an electronic sign'," said Frank.

Frank said the pitch by Jeff Gibbens of Promed signs made sense; a new electronic sign for the store on Central Expressway in Richardson.

"He's a great salesman, very personable, very nice," said Frank.

Documents show Frank agreed to pay $2,000 for the electronic sign and do $2000 in trade. "There was a monetary exchange and then there was a trade-out, that he took some product and went skiing," said Frank.

Frank never received that sign.

"It impacted our business from the drop off in marketing," said Frank. He said it started a snowball effect for his business.

The Warming Hut didn't have a new sign during a huge season -- the winter Olympics.

Frank said business dropped off and eventually he sold his company.

"Mostly it's the relationship with the employees, it's a big family. That's what I miss," said Frank.

Plano Dentist David Philofsky also felt good about the Promed pitch.

"A guy that was really looking to get business and he was working hard and I wanted to help him out," said Philofsky.

Dr. Philofsky said he paid Gibbens several thousand dollars for a new sign -- it took months longer than promised and when it was delivered, it was the wrong size.

"I paid him the other half and then all contact stopped," said Philofsky.

The Better Business of Dallas reports 12 similar complaints during the last three years.

"Businesses gave anywhere from $400 to $18,000," said Phylissa Landix of the BBB.

Court documents show Gibbens filed for bankruptcy in February of 2014.

♦ Government action

The BBB alerts consumers on the ProMed page that the business was subject to government action. According to the alert, on June 19, 2014, in the Dallas County District Court, the Texas Attorney General filed a law suit seeking civil penalties and injunctive relief against Jeffrey S. Gibbens and his businesses: General Design Co., Inc., d/b/a ProMed Signs, The Sign Doctor, SignDoc.com, LEDTronics, LLC and Professional Medical Signs, INC., respectively, for allegations of engaging in false, misleading and deceptive trade practices which violate the Texas Deceptive Trade Practices Consumer Protection Act.

The lawsuit outlines businesses that lost tens of thousands of dollars after signing contracts for new signs with Jeffrey Gibbens.

A Dallas furniture Store owner told Consumer Justice Investigator Cristin Severance they paid Gibbens $30,000 for a new sign, an auto leasing business confirmed they're out $29,000 and a doctor in Corinth is out $7,000.

The BBB of Dallas reported complaints from new businesses in Utah in 2015 -- a year after the state took action against Gibbens.

"Since we received complaints as recent as August, our biggest concern is whether or not they are still operating," said Landix.

♦ "Check your facts."

CBS11 tried to ask Gibbens about the lawsuit and new complaints but he walked off and told Consumer Justice Investigator Cristin Severance to check her facts.

Jeffrey Gibbens' attorney, Chris Neal, said Gibbens made mistakes but it wasn't done intentionally.

"He was optimistic that he was going to get himself out. It was situations where he made promises, he thought he could keep them but it went south," said Neal.

The Texas Attorney General's Office told CBS11 an agreement between the state and Gibben's was just reached where he will have to pay $200,000 in restitution.

Under the terms, Gibbens can't operate as Sign Doc but he can operate as his current business -- The Sign Doc.

A representative from the Attorney General's office said a judge still has to sign off on the agreement.

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