A Yorkshire Euro-MP has once again issued a warning to traders - beware of the so-called "European City Guide".
Richard Corbett, Labour MEP for Yorkshire and the Humber, warned businesses to read the small print carefully before they responded to a direct mail from this organisation.
The organisation works by sending a form directly to businesses across Europe. The form appears to be asking for info rmation and prominently displays the phrase 'cost free', but hidden in the small print is a notice that returning the form will lead to costs of almost €3000 per year.
Richard said:
"Since the year 2000 I have received complaints every year recently about the activities of this organisation. It is targeting Yorkshire businesses again - and I myself received a mailing today.
"My advice to anyone who receives a mailing from the European City Guide is to throw it away!"
He added:
"The European City Guide concentrates on small businesses and individuals, and once it has obtained a signature by deception it pursues a strategy of intimidation and bullying to try and extract payment.
"The company has previously been pursued vigorously by Trading Standards and the Office of Fair Trading. It was eventually traced to the Catalan region of Spain. In 2003, a Spanish court fined the company heavily and shut it down for a year.
"It now seems to have switched bases and is operating from Valencia. But its unscrupulous methods are the same."
A website has been set up which gives up-to-date info rmation and support for victims of the scam. The address is www.stopecg.org .
Richard is also supporting a petition to the European Parliament for legislation to deal with this issue.
• Businesses who are victims of the scam should consult the detailed advice at www.stopecg.org in the first instance or contact Richard Corbett's office directly for advice.
• The Financial Services Authority advises companies on how to avoid scams. Its website is www.fsa.gov.uk/consumer/scams .
• The Control of Misleading Advertisements Regulations 1988, which implemented a European Directive, seeks to protect consumers and traders from the effects of misleading advertising. Under these Regulations, the Office of Fair Trading can seek a court injunction to put a stop to advertisements which are against the public interest. However, effectively using these powers against businesses that are based abroad is difficult. Therefore, in this instance, the OFT sought the co-operation of the Catalan authorities. On 28 March 2002, the Catalan authorities ruled that European City Guide was guilty of infringing Spanish laws on misleading advertising. The Ruling Magistrate in Barcelona upheld the original ruling following an appeal from European City Guide. The judgement described ECG's mailshot as "deceitful" and "misleading" and said that it "led those reading it to believe that by signing it they would incur no economic liabilities of any kind".
more information
Press enquiries: Contact Toby Wardman, Press & Communications Officer for Richard Corbett MEP
- phone 0113 245 8987
- e-mail toby@richardcorbett.org.uk
© 2003-2006 Richard Corbett MEP