On 19 August the ACCC's Adelaide Outreach team conducted the first of a new series of ACCC seminars that provide prospective franchisees with information about their rights and obligations under the Franchising Code of Conduct.
The seminar highlighted the importance of exercising due diligence and seeking expert advice in any decision to purchase a franchise or small business. A presentation by the Inner Southern Business Enterprise Centre provided the audience with additional business start-up advice.
The ACCC will be conducting seminars in venues across Australia over the coming months to assist prospective franchisees with their decision.
The following SCAMwatch Radar Alerts, distributed to almost 7000 subscribers, were issued in August 2008.
Casino survey telemarketing scam
SCAMwatch is warning consumers about a new casino survey scam.
The telemarketing survey focuses on casinos in various Australian cities, including Canberra. This appears to be the first step in a new scam that has been targeting Australian consumers.
The survey call is followed by another announcing that the consumer has won HK$350 000. A winner’s claim form and a raffle ticket are then provided via email or fax. The raffle ticket features a crowned logo, the address as Canberra, Australia (or possibly another capital city), a confirmation code and details of a related website. Cheques for large sums of money in Hong Kong dollars have also been sent to some participants. SCAMwatch believes that these cheques are fake.
To claim the prize, the winner’s claim form has to be returned to the telemarketers with proof of the participant’s ID. This can include a Medicare or driver’s licence number. In some cases participants have been asked for bank account details.
To date all the winning confirmation codes reported are KW99891. This code, once entered into the web address provided brings up a notification saying:
Congratulations, You won the second prize of our company promotion. It is cash cheque 350,000 HK Dollars. Please contact our company to process the procedure of claiming the prize soon.
The website features ornate gold graphics, a Hong Kong address and includes what appears to be a Canberra phone number. The address given when this number is contacted is for a genuine Canberra address, but not for this trader. SCAMwatch believes the Hong Kong address provided is also fake.
Requests for money via money transfer then begin. Excuses for upfront transfer requests include payment for tax certificates and other administration costs to claim the prize.
SCAMwatch warns consumers not to send money or provide personal details to people they don't know and trust.
Fake rental properties and shared accommodation listings
SCAMwatch is warning prospective tenants to be wary when responding to rental properties advertised on the net where the 'owner' makes various excuses as to why you can't inspect the property but insists on an upfront payment for rent or deposit.
Scammers will often use various shared accommodation sites to post these fake listings. They will go to great lengths to ensure that the offer looks genuine by including photos and real addresses of properties. However, photos and details of properties can be easily obtained on the internet. Once hooked, the scammer will request money, often via money transfer, or personal details upfront to 'secure' the rental property. SCAMwatch warns consumers not to send money or provide personal details to people you don't know and trust.
Airline ticketing scam emails which may cause computer viruses
SCAMwatch is warning consumers to beware of an airline ticketing scam that can download malicious software onto your computer.
The Australian Competition and Consumer Commission (ACCC) has received a number of complaints from consumers who were sent an email that claimed they were charged for an airline ticket.
The email claimed that the recipient's credit card was charged around $500 and contained an attachment that appeared to be the ticket and receipt. It was not a ticket and the recipient's card was not charged, but if the attachment was opened, malicious software may be downloaded into your computer.
Scammers use these programs to steal passwords such as online banking passwords. They may also use spyware to steal other personal information from you, such as documents that you have stored on your computer.
Anyone who receives an unexpected email should not open any attachments and should simply delete the email. Alternatively contact the airline to confirm if a ticket was purchased in your name. When doing so, make sure to use contact details that you have looked up yourself—DO NOT use any contact details provided in the email.
If you think you have opened an attachment, it would be wise to check the computer for malicious software.
Emails like this are a reminder to ensure you have up-to-date virus protection software and a good firewall for your computer.
Inheritance scam in your letterbox
Thompson & Lawyers, David T Duddias, Thomson & Associates, David Lopez—just some of the names being used by operators based in Spain in unsolicited letters currently landing in Australian letterboxes. The message:
I am contacting you in regards to a deceased client who died in an auto accident on the Madrid Highway in March 2005, he was a prominent client of mine. He happens to share the same LAST NAME with you.
Irrespective of what your surname is, the allegedly deceased person will have the same last name as you do. On offer is 50 per cent of $22 million ('22million$').
The personal and private nature of this letter has seen Australian consumers reporting significant losses to the ACCC, some up to hundreds of thousands of dollars each. Anyone responding to such letters tends to be provided with an official looking death certificate that shows the 'deceased' as having the same surname. After obtaining the certificate, they receive ongoing requests for money for various administration charges, taxes and certificates. They may even be invited to Spain (at their own expense) to verify the offer. Reports to the ACCC and SCAMwatch indicate that some Australian consumers have met with those behind the letters and were shown what appeared to be genuine documents and a large sum of money.
What to watch out for:
a plain white envelope or one with the picture of a woman holding up the scales of justice with the words 'Derecho Y Justicia'
Spanish postmark or stamp and possibly the word 'Correos'
the addressee on the envelope with no Mr, Mrs etc.
letterhead with the address Pintor Lorenzo Casanova, 66 or similar (this may change with different mailouts).
If you receive this type of correspondence, DO NOT RESPOND!
If you are unsure, discuss the matter with a lawyer—do not seek advice from anyone recommended by the people who have sent the letter.
Beijing Olympic Games tickets scams
SCAMwatch warned consumers to beware of Beijing Olympic Games tickets scams.
The Australian Competition and Consumer Commission (ACCC) is investigating allegations that several websites purporting to sell Olympic tickets such as (www.beijing-tickets2008.com) or (www.beijingticketing.com) are scams; taking consumers’ money without supplying any tickets.
These scams work by tricking consumers into believing that they are purchasing genuine games tickets. The websites can be sophisticated and look authentic by including things like the Beijing Olympic logos. Consumers have been caught out by these websites, losing their money without actually receiving any tickets.
The only authorised Australian ticketing agent for Beijing Olympic tickets was CoSports (www.cosport.com.au).
If you have purchased tickets through any agency apart from CoSport, you should this scam to SCAMwatch.
In August the Australian Competition and Consumer Commission (ACCC) and the Australian Communications and Media Authority (ACMA) issued their joint consumer fact sheet Your Consumer Rights: mobile phone premium services.
Both the ACCC and ACMA continue to receive complaints from consumers experiencing difficulties with premium services. These include cases of consumers being unaware that they have subscribed to an ongoing service, rather than a single download, and subsequently receive unexpectedly high bills. Other reported complaints include difficulties unsubscribing from premium services and receiving unsolicited messages.
The new fact sheet is aimed at increasing awareness and educating consumers about how to avoid, and resolve, problems they are experiencing with a premium service. The fact sheet informs consumers about what to look out for before requesting these types of services. This includes things like whether the service is a one-off download or an ongoing subscription, its total cost and how to cancel the service.
Often, information about these aspects of a premium service are contained in the fine print of the advertising. The ACCC is concerned that the inadequate disclosure of these important terms and conditions could result in consumer detriment, such as unwittingly subscribing to an ongoing service believing, for example, that it was a one-off download.
Suppliers should be clear and upfront about the terms and conditions that apply to these services. Where such information is inadequately disclosed, there are risks that the advertising may mislead consumers in breach of the Trade Practices Act.
The fact sheet also informs consumers about what to do if they receive unsolicited services, and how to resolve disputes about premium services.
