Commissioner pledges to fight scam

European Commissioner for Consumer Affairs Meglena Kuneva yesterday told MEP Simon Busuttil that the Commission is committed to doing everything within its competence to combat an advertising scam that targets business communities around Europe.

Dr Busuttil, who is drawing up a report on the scam for the European Parliament, met the Commissioner in Brussels yesterday to discuss the scam.

It involves the European City Guide, one of a number of business directories which rely on misleading advertising to pin victims, often small businesses, into a three-year business-directory listing against charges of up to €1,000 per year. Many Maltese businesses have fallen victim.

Dr Busuttil called on the Commissioner to support the European Parliament in taking action against this abuse by increasing the level of public awareness on the risks of signing up to unwarranted offers and by providing clear guidance on how victims of this and similar scams should respond.

Commissioner Kuneva admitted that the existing legal tools were not adequate.

She said she would try to put forward measures to establish cooperation among European consumer centres and to monitor the public's views.

The European City Guide scheme mostly targets small- to medium-sized businesses, although non-profit entities such as schools, libraries and even band clubs have also been conned.

The scheme gives businesses the impression that it will advertise their company details free of charge in its business directory. Subsequently, however, on the basis of "small print" in the form signed, payment is demanded.

The scheme also takes advantage of legal loopholes which make it difficult for national authorities in various member states to take action, as they do not have the authority to act across European borders.

Dr Busuttil's report is expected to be presented to the European Parliament by the end of this year.