More Developments in Mainstay Business Solutions / Blue Lake Rancheria Case

via StaffingTalk.com:

“California taxpayers could potentially be responsible for absorbing a $16.4 million lien, depending on the outcome of a case getting underway in the United States District Court Eastern District of California involving a sovereign nation.

The Blue Lake Rancheria Tribal Government, which operated staffing firm Mainstay Business Solutions, alleges that an attempt made by the California Employment Development Department to collect $16.4 million in unpaid taxes violates their tribal sovereign immunity.”

“Soon after the lien was issued, Mainstay announced it was forced to close after its financial partner backed out after learning of the lien.”

“Staffing Talk even tracked down a financial backer to Mainstay – Flexible Funding, a San Francisco-based company that provides funding to staffing agencies – and spoke with CEO Steven Elias.

According to Elias, his company did not force Mainstay to close.”

more, including employee interviews and a former employee facebook page:

http://staffingtalk.com/mainstay-business-solutions-funder-shut/

main article on this blog:

https://highboldtage.wordpress.com/2011/04/13/temp-agency-run-by-blue-lake-rancheria-shuts-down/

a pro-Mainstay essay:

http://savethetribe.org/2011/05/02/mainstay-business-solutions-who-was-right/

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One Response to “More Developments in Mainstay Business Solutions / Blue Lake Rancheria Case”

  1. Mainstay was wholly owned by Blue Lake Rancheria who should have paid us our final wages. Not only did they not pay us for work performed between April 1 through April 12, they also did not submit to respective companies the benefit monies deducted from our paychecks for 401(k), Health, Dental, and Vision Insurance from the check we received on April 5th for work performed March 16 through March 31. If that is not bad enough, any employee that participated in the 401(k) offered by Mainstay (no company contributions, fully funded by employee deductions) have been blocked from withdrawing their funds from the account because Eric Ramos, former CEO of Mainstay and current President of Business Operations for the Blue Lake Rancheria Tribe, will not sign the necessary paperwork needed to release our funds. Being a sovereign nation should not afford them the right to be thieves. I am disgusted.

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