Posted on: Friday, December 17, 2004
2 indicted in vacation scam case
| • | How to verify a time-share deal |
By Andrew Gomes
Advertiser Staff Writer
Ads promoting $1,300 vacations to the "Island of Waikiki" might raise suspicion among kama'aina or repeat Hawai'i visitors, but would-be tourists from several Mainland states fell victim to apparent scam artists recently indicted in California.
The scam bilked more than $200,000 from at least 100 people — a number that's growing as awareness of the scheme spreads in Colorado, Nevada, California and other states, according to Better Business Bureau offices in Hawai'i and southern Colorado. "They hurt our economy and our image," said Anne Deschene, president of the Better Business Bureau of Hawaii, which helped investigate the suspected fraud.
Authorities arrested two people in Reno, Nev., suspected of operating the scam, which advertised discount travel packages for attending a time-share presentation from Vacation Properties International purportedly based in Waikiki.
No such company existed, according to the BBB, which said the bogus business also claimed to be a member of the nonexistent Hawaii Timeshare Bureau.
The packages, advertised in major newspapers in several states, also claimed to have endorsements from Hawaiian Travel Magazine and a Hawaii Trade Association, two other fake entities, the BBB said.
Consumers who paid for the packages did not receive the advertised goods, which included air travel, car rental, hotel accommodations, gift certificates and other services, the BBB said.
Checks and money orders sent to private post office boxes for the time-share promotion were traced to a California bank account that led authorities to two former residents of California and Nevada.
The suspects, Sheryl Denise Davis and Daniel Wallace Smith, were arrested in November.
They have pleaded not guilty.
Reach Andrew Gomes at 525-8065 or agomes@honoluluadvertiser.com. • Be wary of "great deals" and low-priced offers. Few legitimate businesses can afford to give away products and services of real value or substantially undercut other companies' prices. • Don't be pressured into buying. A good offer today will be a good offer tomorrow. • Ask detailed questions. Find out exactly what the price covers and what it doesn't. Be sure to ask about additional charges. • If you do decide to buy, get all information in writing. Once you receive the written information, make sure it reflects what you were told over the phone and the terms agreed upon. • Don't give your credit card number or bank information over the phone unless you know the company with whom you are working. • Don't send money by messenger or overnight mail. If you pay with cash or check instead of a credit card, you lose your right to dispute charges under the Fair Credit Billing Act. • When in doubt, say no. If you have any doubts about the trustworthiness of a company, trust your instincts. It's less risky to turn down the offer. • Before doing business with an unfamiliar or new company, check with the Better Business Bureau at 536-6956 or, toll-free, (877) 222-6551 or online at www.hawaii.bbb.org. Source: Better Business Bureau
HOW TO VERIFY A TIME-SHARE DEAL
