Before the Public Utilities Commission of the State of California

In the matter of the Order Instituting Investigation and Order to Show Cause on the Commission's own motion into the operations and practices of Stanley King Chee Wong and Xiu Ping Cui, a partnership doing business as K & T Moving Co. and KW Moving, K & T Moving/K.W. Moving Inc., a California corporation, its Agent for Service of Process Stanley King Chee Wong, and ABC Moving, Inc., a California corporation, its President Su Fen Wu and its Manager Stanley King Chee Wong, Applicants/Respondents.

FILED PUBLIC UTILITIES COMMISSION APRIL 1, 2004 SAN FRANCISCO I.04-04-002

ORDER INSTITUTING INVESTIGATION AND ORDER
TO SHOW CAUSE WHY RESPONDENTS' APPLICATION
SHOULD NOT BE DENIED WITH PREJUDENCE

The California Public Utilities Commission (Commission) is the agency responsible for regulating the intrastate transportation of used household goods, personal effects and furniture, pursuant to Article XII of the California Constitution, the Household Goods Carriers Act (Act) (Public Utilities Code §§ 5101 et seq.),¹ the Commission's Maximum Rate Tariff 4 (MAX-4), and Commission General Orders (GOs) 100-M, 136-C, 142, and others. These statutes and regulations require, among other things, that household goods carriers operate only in a responsible manner in the public interest; procure, continue in effect, and maintain on file adequate proof of public liability/property damage, cargo, and workers' compensation insurance; and observe rules and regulations governing: (1) acknowledging and handling claims for loss and damage, (2) issuing estimates, (3) executing and issuing documents, (4) training and supervising employees, (5) maintaining equipment and facilities, and (6) rates and charges. The Commission is the primary agency responsible for enforcing these and other statutes and regulations governing household goods carriers. These other statutes and regulations include general consumer protection and public safety provisions of other California Codes such as: theft, fraud, bait-and-switch, unfair and unlawful business practices and unsafe or unlawful operation of vehicles.

We have directed the Consumer Protection and Safety Division (formally in D.92-05-028) to use all tools at its disposal to enforce the laws and regulations against illegal operations - both carriers operating without a permit, and permitted carriers not in compliance with the law, and our rules and regulations - and to bring cases to district attorneys and us for prosecution as appropriate. In response to our directives, staff has brought such investigative proceedings before us as Starving Students [I.92-11-029], Best Move [I.91-11-002], Nice Jewish Boy/Father and Son [I.90-12-010], Reginald Duncan [I.90-09-009], Dave's Quality Movers [I.91-10-011], Ronald Zammito [I.91-01-011], and Harrington Brothers, Inc. [I.94-03-022] - cases with patterns of aggravated violations.

Consumer Protection and Safety Division (CPSD) investigators (Staff) advise us, through the declarations supporting the initiation of this investigatory proceeding, that, as part of the permit application process, it conducted a criminal background check of these applicants. In addition, Staff became aware of unlawful operations and advertising for moving services by K & T Moving Co. and KW Moving. Staff then initiated an investigation into the business practices of Stanley King Chee Wong and Xiu Ping Cui dba K & T Moving Co., and KW Moving, (hereinafter K & T), CPUC File T-189,587, which operates a moving and storage business in San Francisco County. Staff's investigation of K & T found numerous alleged violations of the Household Goods Carriers' Act and Commission rules and regulations, including operations and advertising during an extended period when it neither had public liability insurance on file nor a permit from the Commission authorizing those operations. Although K & T filed an application for operating authority on July 3, 2003, it failed to meet the requirements for a household goods carrier (HHG) permit. The criminal record check mandated by Section 5135 of the Public Utilities Code (PUC) disclosed five misdemeanor convictions on K & T's Co-Partner, Stanley King Chee Wong (Wong). Court documents and records maintained by the California Department of Justice (DOJ) show that in 1978 Wong was convicted of disorderly conduct (prostitution) in Los Angeles County. More recently, in 1995 and 1998 respectively, court records in San Mateo County show Wong was convicted of false impersonation of another, petty theft, and driving with a suspended California driver's license. Court records in San Francisco County show Wong was convicted of driving without a valid license in 2000. Staff further found Wong might have perjured himself by his failure to disclose material facts to the Commission on his permit application concerning his five misdemeanor convictions and crimes involving moral turpitude.

On October 2, 2003, K & T Moving/K.W. Moving, Inc. filed Articles of Incorporation with the California Secretary of State under Corporation Number C2554112. The corporation's Agent For Service of Process is King Wong, 1029 Geneva Avenue, San Francisco, CA 94112. ABC Moving, Inc. also filed Articles of Incorporation with the California Secretary of State on October 2, 2003 under Corporation Number C2554110. Subsequently, on October 16, 2003, ABC Moving, Inc. (ABC) filed an application for a HHG Permit with the Commission License Section.