Consumer loss means acquirer loss. The Underwriters Creed.
The question here: What should the underwriters have seen?
February 14, 2011
Consumer protection lawsuit filed against Internet-based electronics store
HARRISBURG – A consumer protection lawsuit was filed today against a Philadelphia based Internet electronics store that allegedly failed to deliver products to consumers and created new websites and company names to confuse consumers or to avoid negative feedback.
Acting Attorney General Bill Ryan said the lawsuit was filed against Zoommania, LLC, Pro Digital Cameras, Inc., and owners Andrew Schwartz and Paul Nimerozky. The company storefront was located 21 South 12th St, 2nd Floor, Philadelphia. However, a majority of the business was conducted from the owners’ homes in Merion Station and Huntingdon Valley, Montgomery County.
According to the lawsuit, the defendants operated numerous websites under different names, locations, telephone numbers and fax numbers, but all were actually the same company.
Ryan said the stores allegedly created new websites with different names and locations after receiving negative feedback from consumers. By creating seemingly new companies, the defendants were allegedly able to trick consumers into thinking they were dealing with a different company.
Some of the business names included Zoommania, Pro Digital Cameras, Fotospirit, Iprodigital, Ewaydigital and Digiemporio. None of these names were registered with the Pennsylvania Department of State as corporations or fictitious names, as required by law.
The lawsuit alleges that the stores listed all inventory as being “in-stock” or “available,” but within 48 hours of purchasing a product, consumers would receive a phone call or email stating that the item was out-of-stock.
Ryan said the stores then informed consumers that they could purchase an additional “kit” that would make them eligible to receive their goods in a timely manner, but if they refused, there would be no definite time when the goods would be delivered, if at all.
The lawsuit seeks restitution for consumers and $1,000 for each violation of the Consumer Protection Law, $3,000 for violations when involving a consumer aged 60 or older. The lawsuit also seeks litigation and investigation costs.
Consumers who believe they may have purchased items from any of these companies is encouraged to filed a complaint with the Attorney General’s Bureau of Consumer Protection by calling 1-800-441-2555 or filing an online complaint at www.attorneygeneral.gov.
The lawsuit was filed today in the Philadelphia County Court of Common Pleas by Deputy Attorney General Sarah A. E. Frasch of the Attorney General’s Bureau of Consumer Protection.