Dodgy Facebook travel agency exposed

Western Australia’s Consumer Protection agency has been unable to secure refunds for more than 200 complainants who paid over $200,000 between them for cheap flights or holiday deals from a Facebook travel agency.

Affected consumers either could not get plane tickets for their desired dates or were asked to pay extra money, and some flew to their destination but found they were not booked on return flights as expected.

Nicole Bromage and Jacklene Torr using the ABN 38605142917 and unregistered business names Travel 2 Go and No Frills Travel had made a commitment to pay back customers, during negotiations with Consumer Protection, but this has not happened.

Commissioner for Consumer Protection Penny Lipscombe said an investigation is now underway.

“In August 2019 Consumer Protection saw an increase in complaints from consumers who had purchased discount return flights – Perth to Bali for $99 for example – via a travel agent on Facebook, and then not been able to get seats on a plane,” Ms Lipscombe said.

“This escalated and Consumer Protection attended a public meeting of about 100 affected consumers in South Yunderup on 7 September 2019. We now have in excess of 210 complaints with a total dollar value of more than $200,000. This includes some people who have bought cruises or package holidays.

“Our conciliation officers have been working hard to try to achieve a satisfactory outcome for the complainants in this case, but it is not always possible to secure refunds and there is no guarantee goods or services will be provided. Whether or not Consumer Protection is successful in conciliation depends on factors including a trader’s willingness to participate in the process and the financial situation – funds may not be available.

“We are in the process of contacting all of the Travel 2 Go / No Frills Travel complainants to inform them that no refunds are forthcoming and to advise them of their option to go to the Magistrates Court to seek a court order for any money owed. We recommend customers do not pay additional money in a bid to secure flights or holidays.”

The Commissioner said it is disappointing but does not signal the end of the matter.

“If a business has allegedly made false and misleading representations or failed to provide goods or services as promised and within the timeframe specified, Consumer Protection can investigate potential breaches of the Australian Consumer Law (ACL). So, even though attempts to seek redress for consumers may not work out, we have investigators who can then take over and look at alleged non-compliance with the ACL.”

Affected consumers who have not yet lodged a complaint should still do so, using the online form at www.consumerprotection.wa.gov.au for Consumer Protection’s records.

Tips for buying travel

  • Consider paying with a credit card – it might attract a small percentage surcharge but could be worth it due to the ‘chargeback’ option if you don’t get what you paid for within the agreed timeframe, or if the business becomes insolvent. This option doesn’t exist for cash or direct bank transfer.
  • Use an accredited travel agent. While there is no licensing of travel agents (that ceased nationally in 2015), there are voluntary industry accreditation schemes, such as ATAS run by the Australian Federation of Travel Agents: www.atas.com.au.
  • Read the terms and conditions of any agreement, get a copy in writing and ask for a receipt. You may wish to check payments have been passed on to third party suppliers such as an airline. A voucher or itinerary does not secure your travel – insist on formal documentation or confirmation from the supplier(s) and verify its authenticity.

 

Have you ever been ripped off when purchasing a holiday? Did you manage to recoup your money?

5 comments

There is a lack of adequate retribution for people who effectively commit fraud like this. It should be treated as a criminal offence with a custodial sentence the end result. Slaps on the wrist for white collar crime is totally out of place. 

There is a lack of adequate retribution for people who effectively commit fraud like this. It should be treated as a criminal offence with a custodial sentence the end result. Slaps on the wrist for white collar crime is totally out of place. 

All of these multiple tiers of state and federal consumer agencies being paid millions of dollars of tax payer funds to do their well paid jobs, and yet the victims remain ripped off and just sent down the road with the job of getting their money back dumped in their lap with the scammers benefiting from the takings. I believe that this is also a massive rip-off with the gov collecting money and failing to produce a decent outcome. The gov has all of the power and controll and has no valid excuse for letting the scammers do this and continue to walk free in possession of people's money.

Oh come on a travel agency called No Frills? On Facebook?

No checked luggage, no meals, no beverages, no seat! They got what they paid for!

good one KSS

This is one of the major problems with social media. Some times it is hard to check on the company or business offering these deals or  "scams". There should be some way of verifying these offers to see if they are legit!  If they had a registered number on their site it would allow further checking. Other solution:- Don't use social media to book travel or other such deals, use a registered travel company.

5 comments



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