SINGAPORE'S consumer watchdog has won a lawsuit against a local timeshare company that tricked and pressured customers into selling off their vacation digs.
But the victory against firm Global Europ might not be great news for dozens of clients who say they were swindled.
The six-year-old Singaporean company, which helps customers terminate their timeshare contracts, is winding up its timeshare business. The division was the subject of 52 complaints to the Consumers Association of Singapore (Case).
The watchdog slapped Global Europ with a lawsuit under the Consumer Protection Act last September after customers said the firm lied and pressured them into selling, said Case's executive director Seah Seng Choon.
The company threw in the towel on May 14 and reached a consent judgment with Case, admitting to unfair business practices and promising to desist and pay legal costs.
It also took out a notice in The Straits Times and Lianhe Zaobao yesterday to advertise the settlement.
Mr Seah said that consumers will still have to file a lawsuit against Global Europ to recover their money. But they will benefit from Global Europ's admission of guilt, he added.
At the time of the lawsuit, Case said total claims against Global Europ were $155,478.80.
Despite the time required to take errant companies to task, Mr Seah said: 'The effort is still worth it because it will stop them from engaging in more unfair practices.'
It will also send a signal to the industry that the consumer watchdog will not sit by and do nothing. This is the second time Case has brought a timeshare resale company to court - and won.
The first was Orion's Belt Network, in October 2006.
Global Europ could not be reached for comment, but The Straits Times understands that it is in the process of winding up its timeshare resale business. The company may retain the name for other business.
Timeshare and timeshare-related complaints remain at the top of Case's list of top consumer problems. Last year, 2,093 complaints were filed with Case.
This article was first published in The Straits Times on Jun 10, 2008
