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Black Sheep Lurk in Tour Industry


24-Oct-2001 -
The arrival of the May 1 touring season will provide a boost to China's domestic tourism sector but it could also embolden some black sheep in the industry to take advantage of unwitting travellers. This is the message being sent by the recently disclosed "Zhongtian case." In that case, three men claiming to represent Beijing-based Zhongtian Travel Service set up shop in a rented hotel room and placed advertisements for attractive tour packages. Between December and February, 355 people responded to the ads and paid the men a total of nearly 1 million yuan (US$120,500) in reservation fees. The men fled with the money. Zhongtian's general manger claimed the men had nothing to do with his company and has refused to take responsibility. But the facts contradict his remarks. The seal on the receipts provided to those who were swindled matches up with the seal used by the company on its documents, according to technical appraisal by the authorities. This suggests the direct involvement of Zhongtian employees. Until now, the three swindlers are still at large and the victims have only received compensation equalling one-tenth of their losses. The Zhongtian company has been ordered to close for 60 days to do some serious soul-searching, but little else has been done. Not a penny in fines, no criminal consequences - the punishment is simply too lenient. And it isn't likely to discourage other potential black sheep. After the 60-day suspension, the company will re-open. But the losses of consumers will never be recouped. The tourism administration's sincerity in protecting the consumers and sweeping out market irregularities is currently in doubt. Without real punishments, the market will not be cleared and honest companies' interests will be compromised as a result.
24-Oct-2001 -

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