A reader has submitted what he believes to be another timeshare resale scam, this time operating under the business name of "Grand Luxe Management Solutions" and claiming to be operating out of Houston, Texas. The website registration shows the following:Domain name: grandluxemanagementsolutions.comCreation Date: 2011-12-24Expiration Date: 2012-12-24Registrant conatct: Name: Wesley R Company: Grand Luxe Management Solutions Email: weasleyr46@yahoo.com Address: 16225 Park Ten Place US - Houston ( zip: 77084 ) Phone : 0 - 713 893 4647 The address used is a Davinci virtual office "Park Ten Place Suites" and the phone number goes to a landline in League City, Texas. The reader sent in the following alert: "...I was contacted by cold call by a person claiming to be Jeff Lincoln of Grand Luxe Management Solutions in Houston Texas for the resale of my Platinum Access Program (another scam). He claimed to have a corporate buyer wanting to purchase my "weeks". I asked if I would need to send/pay any money up front for fees, taxes, commissions, etc. prior to me receiving the cash from the sale. He stated that I would not have to pay anything before receiving funds from the sale. He sent me a sales proposal for this transaction. Upon checking in on the company, the only mention of it through a Google search results in links to the company web site. They also claim to have been in existence since 1991. This is obviously another scam. I plan on playing along with this scammer and waste as much of his time and resources as possible (obviously no money will be sent his way)... We need to get a scam alert out for this new identity so that a Google search will get a hit to the highly probable fraudulent activity...." A copy of the proposal sent to the timeshare owner is attached below (the owner's personal information has been redacted). If you believe that you have been a victim of consumer fraud or a timeshare scam perpetrated by Grand Luxe Management Solutions, please take the time to report the crime to the Texas Attorney General by clicking HERE!
California DRE has issued a press release warning consumers to be wary of timeshare resale fraud.
Because the release contains some great information for consumers, I have posted most of the information here. You can read the document in its entirety by clicking the link above.. "Types of Scams While there are almost endless variations of timeshare resale fraud, the following are three of the common fraudulent practices that the DRE has seen: 1. Unlicensed, unregulated, and illegitimate timeshare reseller fraudsters pose as and use the identities of legitimate and licensed real estate brokers, thereby providing a false sense of security, and then demand the payment of monies up front (at times via wire transfer to accounts in a foreign country) in connection with the purported resales. No services of any kind are actually provided (see the discussion below regarding the requirement for the timeshare resale agents to be “licensed”). 2. Scammers target timeshare owners (a number of whom are senior citizen retirees) and falsely tell those owners that the "agent" has found a "ready and willing" buyer for their timeshares (which in some cases may not currently be listed for or be for sale). In certain cases investigated by the DRE, the scammers were operating from and based outside of California, but they were using a mailing address in California. Oftentimes, the address was simply a mail drop. Moreover, a number of timeshare owners have reported that some frauds have promised to sell the timeshares within a set period of time. 3. Fraudsters pose as timeshare buyers and use such advertising slogans as “Will Buy Your Timeshare for Cash”, “Timeshares Wanted”, or something similar, to lure timeshare owners, and then ask the owners for “a small amount of” money (which is often times $1,000 or more) up front to process the paperwork for the transfer. Once those monies are paid, the owners never hear from the scammers again. The false and misleading sales pitches in scams 1 and 2 above, which are typically made from telemarketing boiler rooms using scripts and smooth-talking fraudsters, usually tell the owners that the “resellers” will successfully sell the timeshare(s), and that the owners need only forward to the calling company modest "legal and processing" fees and "closing costs" which can be in any amount, but appear to fall in the average range of $1,000 to $3,000. Because of the anonymity of the Internet and mass marketers, a timeshare resale scam can be started and operated with a website anywhere in the United States or in other countries. Such a scam can be operated by a group of telemarketers who set up accounts for the receipt of payments from timeshare owners/sellers who are fraudulently enticed to authorize payments to the fraudsters. In addition to asking for and charging advance (non-refundable and upfront) fees for "legal and processing" matters and "closing costs", the frauds may ask for and charge advance fees for "advertising", "marketing", "escrow", "appraisal", or some other supposed services. Some Important Points Re: Licensure and "Advance Fees" in California. 1. Licensure -- In California, only licensed real estate brokers (or salespersons employed and supervised by the brokers) may list and sell "timeshares for resale". As noted above, in many cases unlicensed perpetrators of fraud, who promise success as a result of their timeshare resale services, ask for and collect monies up front, and simply pocket the monies paid in advance by the timeshare owners. No License Required for Pure Advertising -- it is important to note that no real estate license is required, and fees can be collected in advance, for pure advertising services. It is much like paying a newspaper or Internet advertising website for their services in "advertising" the availability of timeshares. 2. Advance Fees -- Advance fees for resale services may lawfully be collected by a real estate broker (or salesperson working with the broker) from a timeshare owner only where (i) a written Advance Fee Agreement – with necessary supporting materials -- has been submitted to and reviewed by the Real Estate Commissioner/DRE, (ii) a No-Objection Letter is issued by the department to the broker, and (iii) the advance fees are properly handled and accounted for as "Trust Funds" belonging to timeshare owners. A violation of the rules on advance fees constitutes grounds for disciplinary action against a real estate licensee, as well as grounds for criminal proceedings. Also, it should be noted that the issuance of a “no-objection” letter does not constitute the Department’s approval and/or endorsement of the advance fee agreement, supporting materials, or the services to be rendered. If a licensee were to suggest such approval and/or endorsement, that would be a misrepresentation. What You Can and Should Do to Protect Yourself and Avoid Becoming a Scam Victim. As a timeshare owner, you really need to always be wary and cautious when thinking about retaining the services of people and companies offering assistance in the areas of timeshare resales. Also, and importantly, you should request a copy of the reseller agent’s written contract that you will be required to sign and a written disclosure of all fees and costs, and you are wise to never pay for services or assistance in advance of the performance of services. It is extremely risky to do so. Check with the developer of your timeshare unit or interests and ascertain if they offer a resale or buyback program, or are associated/affiliated with a broker to handle resales. Further, you may be able to do some of the services yourself. If you choose to use the timeshare resale services of third parties for a fee, ask them questions, lots of questions, and then verify, verify, and still verify some more. Please see below for a list of suggested questions. Check them out on the DRE website, at www.dre.ca.gov. Make certain that they are licensed by the State of California. If they are licensed, see if they have been disciplined. Because of the first scam discussed above, where frauds are posing as legitimate licensees, get the name of the person calling or making the solicitation (e.g., the broker or salesperson they purport to be), look them up on the DRE website, locate a phone number for the licensee, call the licensee at that number, and verify that the person who contacted you actually works at the number you called. Check them out through the Better Business Bureau. Check them out through a Google, Facebook, or related search on the Internet. You may be amazed at what you can and will find out doing such searches. Often consumers who have been scammed will post their experiences, insights, and warnings long before any criminal, civil or administrative action has been brought against the scammers. Always obtain information on the purported buyer(s), and make certain that the payments you make before services are rendered are placed in an independent trust account or “escrow” of your choice so that your monies are “secured” until release. The purpose of the next section (“Suggested Questions to Ask”) is to give you some specific, detailed questions that you can ask of those people and entities who/which have offered to assist you in selling your timeshare. Remember that legitimate service providers should not mind the questioning and scrutiny. We understand that this list of questions may be bothersome, difficult, or intimidating for many people to ask. But we include all of them because the more you ask, and the more they answer, the more comfort you will have that you are dealing with a reputable agent and service provider. Even reputable licensees may be “put off” by having to answer all of the questions, but we believe that legitimate and reputable reselling agents will treat you with respect and understand your concern to make sure that you are not being taken advantage of with regard to your timeshare resale. Suggested Questions to Ask (This list is not exhaustive, but it will give you information on which you can make a reasoned decision. Also, it will make the telemarketer know that you are not an easy "mark"). 1. Are you licensed by the California Department of Real Estate? If not, why not? What exemption from the licensing laws do you claim? The licensure requirement cannot be emphasized enough. If they are licensed, ask them for their DRE Real Estate License Number, and check to see if they have been disciplined by the Department (go to www.dre.ca.gov). As noted above, if the person is a real estate salesperson, he or she must work through a real estate broker. Therefore, you will want to question a real estate salesperson about the identity and experience of his or her broker, and then check on the broker’s license at the DRE website shown above. If the salesperson says that he or she can do the work independent of a broker, do not work with or hire that person. 2. How many timeshare resale transactions have you successfully performed? Make certain to get specifics, and then do further checking. 3. Do you have a list of current and past “satisfied” timeshare customers? If so, get it and call them. Ask them if they would use this person or entity again. Do your own background check. And note that even if the person or company is "highly recommended" by so-called satisfied customers, the risk of a scam is not eliminated entirely. For instance, the person(s) providing the positive reference could be the scammer’s friend, a family member, and/or a co-conspirator in the fraud. 4. Do you have a list of business and banking references? If so, get the list and check them out. 5. How long have you been providing timeshare resale services? Alternatively, you can ask, how long have you been in this business? 6. Are you a specialist in the area of timeshare resales? If the answer is yes, ask what specialist qualifications do you have and what does that mean? And what course of study did you undertake to become certified or specialized? 7. What are you actually going to do to market and sell my timeshare? What specific services will you be providing? Get that in writing, and take the time to fully understand what the contract says and what the end result will be before proceeding with the services. Remember to always ask for and demand copies of all documents that you sign. 8. Where and when was your business formed? Ask this question where there is a corporation or other form of business entity involved. You can then look at the website of the California Secretary of State to verify that information and/or to determine if the business is able to operate lawfully in the State of California. You can also check on the agent or agents for service of legal process, and the current status of that business entity. The Secretary of State’s website is www.sos.ca.gov. Warning Signs: Are there Surefire Ways or Red Flags to Detect Fraud? Fraudsters are good at what they do. Many are sophisticated rings using fake websites, large boiler rooms, and important sounding names. Others are just rogue criminals on their newest scam. They all continue to adapt and modify their schemes as soon as their last ones became ineffective. It is really difficult to identify a “surefire” way to detect fraud in the area of timeshare resale fraud. But there are some red warning flags to look out for so that you do not become the latest casualty of the scammers. Those things include: 1. Requests for upfront payments (advance fees) before any services have been provided. 2. Requests that you pay only in cash, or by wire transfer, or by money order or a certified bank or cashier’s check. These forms of payment provide little if any recourse for you in the event you have paid a scammer. It should be noted that if you pay by credit card, you may be able to challenge the charge (if fraudulent) through your credit card company. Talk with your credit card company about their policies in this regard. 3. An unwillingness to meet in person, to give you a business phone number, an actual physical business office address, and/or to provide you with a business card. 4. Advice that you do not need to read or understand an agreement, or any other document, that you have been asked to sign. Be skeptical of claims that “it is just a bunch of legalese”. Always remember that you should not be pressured into entering into any agreement, or to sign any document, that you do not read and understand. If you need to, consult with a lawyer. 5. Claims from the timeshare reselling agent that the market for your timeshare, or timeshare resales generally, is “on fire”, “hot”, “extremely active”, or some similar catch phrase. 6. Unqualified guarantees or promises that the timeshare reseller can get your timeshare sold (and often within a certain period of time), or “money-back” guarantees with respect to those monies you are asked to pay upfront. 7. Requests that you provide personal financial information, including a bank account and/or credit card number, over the phone or over the Internet. 8. Advice that you can simply “walk away” from your timeshare by transferring it to some third party. 9. Statements that you must act immediately, or without any delay. 10. Advice that you should not talk with your family, attorney, accountant, and/or anyone else. 11. Use of a Post Office (“P.O.”) box. 12. The use of lofty or complicated language that you cannot understand. Conclusion. Fraud by predators in the area of timeshare resales requires that you be skeptical, proceed cautiously and do your homework. Do not become the next victim of timeshare fraud. There are legitimate, reputable, licensed and competent professionals in the field. If you need or want their assistance, you need to do some homework. Other Important Resources and Cautionary Notes for Timeshare Owners Who Want to Sell Their Timeshares: The American Resort Development Association, the industry group that represents timeshare developers, has issued a series of advisories on resales to help consumers and timeshare owners. Those advisories can be accessed at www.ardaroc.org/roc/resource-library/default.aspx?id=2787&libID=2807. The office of the Florida Attorney General has issued alerts on timeshare resale fraud, and they can be accessed at www.myfloridalegal.com/timeshares. What You Can Do If You Have Been Scammed (Or if You Become Aware of the Timeshare Resales Scam)? Please report the fraud and file complaints with: 1. The DRE if a real estate licensee is involved, or if the timeshare resales agent is unlicensed. If the person or company is unlicensed, the DRE will file a Desist and Refrain Order. If the person or company is licensed, the DRE will commence disciplinary action, http://www.dre.ca.gov/cons_complaint.html. 2. The California Attorney General, at www.ag.ca.gov/consumers. 3. The District Attorney, Sheriff, local police and local prosecutor in your community. 4. The Federal Trade Commission, at www.ftc.gov. They track and civilly prosecute timeshare resales scammers. 5. Federal Bureau of Investigation (FBI), at www.fbi.gov. 6. The Better Business Bureau in your community. Lastly, consider filing a Small Claims Court action. These are informal courts where disputes are resolved quickly and inexpensively by a judge. As of the date of this warning and alert, you can recover up to $10,000 in Small Claims Court. You represent yourself, and can request a judgment for money damages. If your judgment is based on fraud, misrepresentation, or deceit, or conversion of trust funds, and the judgment is against a real estate licensee, DRE has a Consumer Recovery Fund that may be able to pay your claim. Go to the DRE web site at www.dre.ca.gov, and look under the tab for “Consumers”. Also, the California Secretary of State has a “Victims of Corporate Fraud Compensation Fund” that provides restitution to victims of corporate fraud. Go to the Secretary of State’s web site at www.sos.ca.gov/vcfcf for more information. Attorney General Pam Bondi today announced in a press release that her office has filed a lawsuit against TS Luxury Group, Inc., a timeshare resale fraud company, and its owner, Mary Filocomo. According to the lawsuit, TS Luxury and its principal engaged in a systematic pattern of conduct designed and intended to induce consumers to pay the defendants an up-front fee for timeshare resale services via a series of false and fraudulent misrepresentations. The Attorney General’s Office is seeking more than $550,000 in restitution for consumers, and ultimately a permanent injunction prohibiting TS Luxury and Filocomo from engaging in similar business practices.
Earlier in August, 2010 after a prior investigation, TS Luxury and its owner entered into a binding settlement agreement with the Office of the Attorney General. TS Luxury and its owner, Mary Filocomo, were required to resolve and/or to pay more than $110,000 in initial consumer claims and to thereafter to pay any new claims against the company which arose within a certain time frame. Neither the company nor its owner resolved and/or paid the consumer claims as required. If you believe that you were the victim of consumer fraud perpetrated by this company, please take the time to report the crime to the Florida Attorney General's Office by clicking HERE. The Florida Attorney General’s office has announced the arrest of two individuals for illegal activity related to timeshare resale fraud. The press release states that a lawsuit has been filed against William Clarke, P.A., and its owner, Gerald W. Clarke; and Provident Choice, LLC, and its owner, Nicholas Paul. Both individuals were arrested.
The lawsuit alleges that G. William Clarke, P.A., Provident Choice, LLC, Gerald W. Clarke, and Nicholas Paul were operating as unlicensed telemarketers, targeting consumers who were previous victims of timeshare resale fraud. The defendants collected up-front fees ranging from $400 to $4,000 and promised to assist consumers with obtaining refunds from a non-existent state restitution fund. Additionally, the companies claimed to be working with various state agencies, including the Attorney General’s Office. Read the full press release by clicking HERE. A reader has submitted a potential timeshare scam alert to warn others about what he believes is a timeshare resale scam. A portion of his email is below....
"...I received a phone call from someone by the name Robert Smith (website is gspconsultants.com), representing Golden State Property Consultants, he claimed that they can help me sell my Timeshare property located in Velas Vallarta MX. and no upfront payment until the transaction is complete, that they will charge me 6% for commission from whatever the sale price is. I was excited so I gave them my timeshare information. He e-mailed me back within an hour with an offer for the timeshare week for a total of $19,995 from a potential buyer. Of course I thought that it was a reasonable offer so I accepted the offer and ask them to proceed with the sale, he told me that someone from the closing company will call me and get more information to proceed with the sale. meanwhile i did quick search online for complaint and there were nothing it just seemed too good to be true. A day later, someone with the name of George Lopez representing Michelle Collins; title and holdings (website is MCTHoldings.com) called me and wanted to send me some form to complete and sign. I received the forms, reviewed them. Kevin Reed called me and claimed that they will record the conversation for record purposes and went over the contracts with me. So I signed the contracts and sent them back to them. Later they called asking for closing amount of $1,995.. Off course I thought it was fishy so I asked them why they couldn't just subtract that from the sale amount.. they gave me some ****** reasons why I needed to pay up front "according to Mexican law". I accepted the reason because I really wanted to sale the timeshare and didn't want to pass up on the opportunity. But yet I couldn't come up with the amount that they were asking, so they agree to work with me because the agency can cover some of it. So they ask me to pay $1017.50 instead. Next day I wire transferred that amount to a mexican account (I have document for the account numbers etc...) and forwarded a copy of the document to Kevin Reed. After the payment was made, I spoke to Kevin for the last time and he assured me that they have received the payment and that he will be sending me a bunch of papers when they hear back from the resort along with the payment document to collect my bank information to send me my payment and that was the last time I spoke to Kevin. I called the closing company several times and it goes straight to the voice mail and I left messages and e-mails and have not heard anything from the closing company till today. So I decided to call Robert from the agency, and for some reason he was getting information from me and sending to the closing company and receiving message from them and sending to me.. more like spoke person for them, he claimed that they are backed up and they will get back to me in two days. Of course he seems very concerned and very helpful. So while i was waiting over the weekend, I did thorough research about mexican timeshare scam and this web site came up. I read through most of the stories from people here and now it seemed very obvious that I have been scammed because it related very closely to what I am going through. So on Monday, I contacted Robert he told me that he will get back to me within an hour so of course i did not hear anything instead i received an e-mail from him stating that there was a problem with my payment. That the "Mexican Government" did not accept the payment from the Agency because they are not the sole owner of the property, that in order for them to continue, they need the rest of the payment of $977.55 from me. I panicked and basically told them that I no longer wish to continue with the sale; so i requested my money back, he claimed that he will send me some forms that will allow them to process the refund, which will take 45-90 days to refund... ridiculous. I basically told him that i need my money within 3 days period... so I am currently in the process right now with them to see how things will play out...I am posting this because I want anyone to be careful when they receive such calls...." If you believe that you have been a victim of fraud perpetrated by these individuals or companies, please take the time to report the crime to the FBI by clicking HERE! A Vacation-Times.org reader has submitted a new alert about a possible timeshare marketing scam claiming to be out of Oklahoma City under the name World Market Events.
"...The same scam from Oklahoma City OK only this time the company's name is World Market Events. www.worldmarketevents com. They are so funny and stupid! They can't even spell the words correctly on their website. They speak almost no English. Their phone # is not listed...... their address at: 3140 W. Britton Rd. Ste. B Oklahoma City OK, 73120...." If you believe that you have been the victim of fraud perpetrated by this company, please take the time to file a report with the Oklahoma Attorney General at http://www.oag.ok.gov/oagweb.nsf/ccomp.html and also with the FBI Internet Crime Complaint Center at http://www.ic3.gov/complaint/default.aspx. A Vacation-Times.org reader has submitted the following warning about a possible timeshare scam operating under the names of Malibu Event Management and Grand Legacy Trust.
"...We are victims of an Inter-Net crime trying to sell our time shares in Mexico. We were approached on the Inter-net by a Company in Birmingham. Al. by the name of Malibu Event Management. They had an escrow company call us after e-mailing a contract to us. Grand Legacy Trust is the escrow company. They together got us for $32,340.00 by having us wire funds to Mexico to close the sale. It was two different time shares and a total of 3 weeks. When the sale was closed we never heard another word from them and they didn't answer their phones from that day on. We are senior citizens and have been manipulated into this sale. We have filed complaints and are waiting to hear..." If you have been a victim of fraud perpetrated by this organization, please take the time to report the crime to the FBI Internet Crime Division at http://ic3.gov A reader has submitted a possible timeshare scam alert about a company or individual using the business name of Coastal Vacations and/or Escrow Holdings, and allegedly soliciting owners of Mexican timeshares with a version of the fake closing cost scam.
"... I was contacted by Coastal Vacation to sell my time shares in Mexico and I signed a contract with them. They Escrow Holdings contacted me and I have been working with them and paid them transfer fees, lawyer fees, and finally insurance to cover the transfer of money to me. All a scam. They are unavailable by phone and of course no money has been given... The original company that contacted me was Coastal Vacation at 74 Broad St, Charleston, SC 24901. Then I got a call from Escrow Holdings at 29 W. Paces Ferry Rd. NW, Atlanta, GA,30305 and they were supposed to handle the escrow. I spoke to a Manny Zimerman many times and he seemed reputable and personable. These guys are good at what they do. They charged me a transfer fee and then asked for lawyer fees to deal with Mayan Palace who was charging me 10 maintenance fees to release the property and they supposedly got out of paying that. Then they wanted more money to cover insurance costs to wire the money to me. What a scam. I feel so foolish to have fallen for it, but I hope to prevent other people from getting in the same position. " You can find details and examples of this fake closing fee and tax scheme by clicking HERE. Another reader has submitted information on what she believes to be a timeshare scam being operated under the name of Universal Timeshare Sales Associates and Universal Timeshare SA.
"..... Universal Timeshare called and said they had a buyer for my Wyndham Bali Hai timeshare and were offering $24,600.00. It would cost me $1800.00 in fees but I would be rid of it and the annual maintenance fees. I asked for a callback number so I could verify the information, I called back and was told the same information. I gave my credit card number. Several days later I received paperwork to sign, which I did (although apparently I did not understand what it said). Upon telling my daughter about my fantastic transaction, she went to her computer and checked them out and found they were a scam company and the State of Oregon had litigation against them. I did call Universal Timeshare back and told them I wanted a refund to my credit card and they refused. I sent the paperwork I had received to my daughter to look over (I am 89 yrs old) and the papers say they will "present" the property for "showing" purposes and forward any potential purchaser information to me to follow up on. I have notified my credit card company but it appears I am probably bamboozled out of $1800.00 plus $14.60 international transaction fee they also charged to my credit card which they did not tell me about. I have also registered a complaint with Wyndham, the State of Oregon and the Better Business Bureau...." If you believe that you have also been a victim of fraud perpetrated by this company, please take the time to report the crime to your state's attorney general as well as to the FBI Internet Crime Division (https://ic3.gov). You can access a complete list of the US Attorneys General at (https://naag.org/current-attorneys-general.php). WFTV Channel 9 out of Orlando is reporting that authorities have raided two call centers for allegedly operating a timeshare scheme where the companies defrauded timeshare owners hoping to sell their property. The report names David Hearsey and Doni Vazquez as the owners of the companies involved and gives the company names as Choice Property Network and Timeshare Repeal.
According to state records, the two men named show as the operators of Choice Property Network. Timeshare Repeal LLC however, shows the operator as a gentleman named Kyle H. Kelley. At this time it is unclear if the report is inaccurate, or if the two companies are actually related. See the video HERE. If you believe that you have been the victim or consumer fraud perpetrated by these companies or individuals, please take the time to report the crime to the Florida Attorney General at http://myfloridalegal.com/timeshares |
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