Investigations

Ryanair promises to come clean over flight deals

2009-07-03T12:15:13Z

Budget airline Ryanair has agreed to make the "hidden costs" of its flights clearer following action by the consumer watchdog Office of Fair Trading.

The steps are described as voluntary and designed to "increase clarity and transparency" of the Ryanair website and adverts.

This will include giving prominence to extra charges such as baggage check-in costs and important conditions, such as dates on which offer prices are not available.

Mike Haley, Office of Fair Trading director of consumer markets, said: "We welcome Ryanair's action which we believe will make it easier for consumers to access the information they need when choosing low cost flights."

The watchdog investigated Ryanair after its "consistent refusal" to follow codes set down by the Advertising Standards Authority.

One recent advert for "hottest" fares was condemned as irresponsible for showing a model dressed as a schoolgirl in a sexually provocative pose.

Another promised two million seats from £10. When asked in April last year by the ASA to prove that the £10 seats were widely available, the airline provided just two booking forms at that price.

In condemning the advert, the ASA said: "We noted we had formally upheld complaints that Ryanair ads were misleading on eight other occasions in the past two years.

"The issues in those cases included misleading and denigratory claims about competitors, the omission of significant conditions and not making clear a restriction on days of travel. We were extremely concerned that Ryanair had again breached the codes on the grounds of misleadingness and had refused to supply the information we had requested."

Ryanair boss, the softly-spoken Michael O'Leary, has described the ASA as biased, incompetent and run by dimwits.

A spokesman for the airline said: "Ryanair welcomes today's OFT announcement which concluded this referral. We were happy to make the minor adjustments recommended by the OFT to improve our website and advertising.

"Ryanair is pleased with the OFT's conclusion of this case which confirms Ryanair's belief that there was no substance to the ASA's original referral of seven Ryanair adverts which the ASA refused to fully engage with Ryanair on, yet claimed were in breach of advertising codes."

Banks not happy with proposed consumer law changes - so they must be good

2009-07-02T14:56:56Z

Better consumer protection ideas announced today by the Government include a ban on unsolicited credit card cheques, while lenders will no longer be able to raise borrowers' credit limits without their consent or increase interest rates on existing debts.

The Government will also consult on whether minimum monthly repayments should be increased to help people re-pay debt quicker, as well as looking at the order in which debts on cards are repaid, to ensure the most expensive ones are paid off first.

Called "A Better Deal for Consumers", the Government proposals are here.

Initial reaction from the scam-fighting professionals at the Trading Standards Institute is positive.

TSI chief executive Ron Gainsford welcomed the idea of "banning orders" on persistent conmen and a fighting fund to help tackle rogues across regional and national boundaries.
Full TSI reaction here.

The British Bankers' Association isn't too happy, saying it was already working to improve financial education and with debt advice charities to help customers in financial difficulty.

It added that banks were committed to treating customers sympathetically if they were having trouble repaying loans.

John Cridland, deputy director-general of the CBI, said: "We welcome some of the measures proposed in today's White Paper. But we also fear that some of the measures proposed could create problems for consumers and business alike.

"For example, measures to stop reputable lenders being able to change interest rates to reflect customers' changing credit ratings could see some people being denied lending.
This could come at a difficult time for them, or force them to turn to unregulated lenders.

"This White Paper needs careful consideration to ensure that it does not lead to unintended consequences that hurt the very people it is designed to help."

Unfortunately for the bankers, their reaction comes on the same day that a survey by home insurance firm More Than shows that one in 10 adults now hide money under the mattress rather than trust it to a bank.

Watchdog probe of high cost loans industry

2009-07-02T10:12:14Z

The Office of Fair Trading has launched a review of the £35 billion high cost loans market.

These are loans often for small amounts over short periods with high interest rates, which are typically aimed at people on low incomes.

As were wrote here in April, some of legal lenders charge more than loan sharks for short term loans, aka payday loans.

John Fingleton, OFT chief executive, said: "Low income consumers struggle to access credit and frequently have to resort to expensive, high interest options, and this has increasingly been an issue during the economic downturn.

"These consumers are vulnerable to exploitation. This study will look at the way this sector works to examine whether they get a fair deal, and whether outcomes in the market might be improved."

Trail of writs from Jumbrolly summer house boss

2009-07-01T23:32:50Z

Taking a customer to court is usually a last resort - so why has Richard Wood done it more than 150 times?

He's director of The Jumbrolly Company which exhibits fancy thatched summer houses at shows around the country.

Jeanette O'Kane met Wood at last year's Ideal Home Show. Their versions of what happened are very different.

She says Wood convinced her to sign a piece of paper to "secure" a price of £7,000 - a £2,000 discount - promising if she changed her mind she could phone to cancel.

"He also said I should not worry if I couldn't get hold of him as he was busy at the show and we could leave a message," Jeanette told us.

When she found the summer house wouldn't fit in her Fareham, Hants, garden Jeanette claims she left a message cancelling. "I heard nothing until three months later when I received a message telling me the summer house was ready for delivery."

Jeanette's now being sued by Wood, who told the court: "They were definite they wanted a summer house and I went through a full specification with them."

He says he told Jeanette to "read carefully" the form she signed which explained she could cancel within 14 days in writing. Other unhappy homeowners include Debbie Rock, of Salisbury, Wilts, who met Wood at the 2006 Ideal Home Show.

She says: "We were hoping to move house and Mr Wood told us that we could sign a form to secure the show price without a commitment to buy.

"One week later, the house sale fell through and we wrote and emailed telling him we didn't need the summer house." They're now being sued for just under £6,000.

Police officer David Mason was also tempted in 2007 but said he explained he couldn't afford it at the time. He says Wood offered an option to purchase the summer house the following year. Instead, when 2008 came around he was told that the summer house was ready for delivery. He says he was was threatened with court action, though in his case this was never started.

According to figures released under the Freedom of Information Act, Jumbrolly has summoned at least 154 parties to the county court since 2003.

Richard Wood insisted customers signed a clear order form and said that court action is taken to recover costs on summer houses.

"Only when customers won't pay a 10 or 15% cancellation fee and after we offer interest-free credit and putting off the work for a year do we issue proceedings."

He added that following a visit from Hampshire Trading Standards the company changed its terms and conditions and there have been no complaints since.

Trading Standards said: "We're keen to hear from anyone who feels they were misled into signing a contract. Call 08454 040506."

Diamond Resorts shuts out maintenance fees debate

2009-07-01T23:27:07Z

Least surprising news of the week is that Diamond Resorts will not buy back timeshares from its beleaguered members.

In a deal that would make Kafka proud, the company has ratcheted up annual maintenance fees and it's impossible in practice for members to get rid of their points, leaving them with rising bills and no way out.

Members can only sell to other members (who presumably are already only too aware of the pitfalls) or to friends and family (and who would inflict a deal like this on their loved ones?).

You'd expect this to be a hot topic at Diamond Resorts' annual meeting on Tuesday. But, in another Kafkaesque touch, the firm - with 40,000 European members - limited the debate to an informal Q&A after the meeting.

"We had a two-hour session in which Diamond told us what was going on rather than listening to our concerns," one member complained.

Company chairman Alan Bentley insisted that the higher fees - many members now pay around £1,000 a year - were due to sterling's fall against the euro.

But he was told by another angry points holder: "Everything you say is challengeable but we do not have the chance to challenge it."

We've received hundreds of comments on our blog from angry members, many saying they're refusing to pay. A motion to bar members who go on a fee strike provoked this angry response: "People who have defaulted are dissatisfied. You are keeping dissatisfied people from here because you do not like what they might say."

In a final bizarre twist, Diamond director Sarah Hulme urged members to switch off lights and re-use towels to "go green" - just as the company announced members would be able to fly to resorts in China and Thailand on the other side of the world.

Eco-friendly it ain't.

*Questions submitted before the meeting were not discussed, but they were printed and handed out, along with the answers. For the benefit of those members not present, here are some of them relating to maintenance fees, starting with question 8.

Q. J Bradbury. Regarding the rise in costs, my bill has increased this year. Is this going to be the trend every year?
A. Ensuring that the resorts can operate financially independent is a very important responsibility of the Management Company and the resort committees. The increases in fees were agreed by the Resort Committees to ensure financial independence and continued sustainability; although the poor exchange rate and refurbishment plans, which must continue throughout to ensure that members have the holiday experiences that they expect and desire, clearly impacted on the increases as well). Taking appropriate action will ensure that Diamond Resorts European Collection will remain financially strong.
Indications are that subject to the special assessments on individual resorts and the impact of the exchange rate, we have stabilised the maintenance fees with the increases that we have made to date. Further information regarding the workings and expenses of the Collection please visit us online.

Q. Carol Marie Windrass. The matter of maintenance costs cannot continue to increase as in the past. Holiday ownership is no longer an asset at the present cost.
A. Please see Q8.

Q. Mr & Mrs Conway. Can Diamond Resorts International indicate the level of management charges members can expert after the very large increase in charges over the past two years. Diamond Resorts is no longer competitive against the package holiday industry.
A. Please see Q.8 above.

Q. PL & JM Ellis. Maintenance fees have increased by 57% over the last three years years, with no increase in points. Why?
A. Please see 8 above.

Q. Mr & Mrs H Roberts. On a recent holiday we expressed our concerns that we pay £1260 per year in maintenance fees and still had to pay an electricity charge of 22 euros per week, which is more than we pay for our electricity at home.
A. Some resort constitutions contain clauses whereby electricity is not included in the management charge but instead is charged for on departure. Over the years we have been working to include these charges in the overall budgets, and the intention is to continue to do this. Electricity charges are now applicable at about half of the European resorts.

Q. Simon Gilder. Why are the management fees at such a high level and will these ridiculous increases continue?
A. Please see Q. 8.

Q. Mr & Mrs Botterill. Having seen a huge increase in management fees, are we likely to see further huge increases or is it the intention to retain them at the current level or even reduce them back to the level of commitment we agreed to upon joining?
A. Please see Q. 8 above.

Ban the cheating utility reps

2009-07-01T23:20:13Z

Lovely news from the annual Trading Standards Institute conference, which yesterday called for a ban on doorstep selling by energy companies.

The move has been prompted by reports nationwide of vulnerable people cornered in their homes into switching energy suppliers against their will or better judgment - something our postbag confirms.

Other common complaints include higher bills after the transfer and difficulties cancelling the switch. More than 1,200 calls have been made to Consumer Direct since January by people reporting that they have been misinformed about the product, price, terms of contract or their right of cancellation by an energy sales agent.

TSI chair and head of Surrey County Council Trading Standards Peter Denard said energy companies were known to frequently ignore the "No Cold Calling Zones" in the county and two criminal investigations are now underway into misleading statements by "particularly aggressive" energy company reps.

"Salesmen work on commission and we find that they will say whatever it takes to get a contract signed," he said. "Surrey now say that enough is enough and we are going to make the salesmen and the companies they work for fully accountable."

The call is supported by the National Pensioners Convention, which represents 1.5 million people.

General secretary Dot Gibson, said: "Unsolicited doorstep selling can be a real worry for older people. They can be misled into changing energy suppliers when they don't really need to. It's time we stopped letting unscrupulous companies prey on vulnerable older customers."

The Trading Standards Institute is lobbying Brussels for the Unfair Commercial Practices Directive to be amended to allow the UK to ban this practice.

Chair of the European Parliament's Consumer Protection Committee Arlene McCarthy MEP said: "The cases of aggressive and deceitful selling of energy contracts are truly shocking, including outright fraud. These rogue sellers are preying on many of the most vulnerable in our society and risk driving them deeper into poverty.

"Laws introduced by the European Parliament ban many dubious tactics, with special protection for the elderly and disabled included for the first time. We must see action to drive the scammers out of business and the energy companies must take responsibility for what is done in their name.

" If these outrageous abuses don't stop, we will have no choice but to toughen the law to provide for an outright ban on the doostep selling of energy contracts."

They're going to have a fight on their hands. Garry Felgate, head of the Energy Retail Association, rejected calls for a ban "out of hand".

"It is still one of the best and only methods for many customers to access better deals, especially those in rural areas, those who have no internet access or can't leave their homes.

"This could be the start of a process that sees the banning of all doorstep sales. This won't put an end to the scourge of rouge traders it will just stop honest, decent and genuine traders, like charity workers from coming to your homes.

"It is in everyone's interests that doorstep selling is effective and provides the best possible deal for customers. A high proportion of customers are completely satisfied with a doorstep sale when it is made.

"However, Energy suppliers take issues of mis-selling very seriously. Our EnergySure initiative has achieved a 99% decrease in complaints since it was established in 2002. Moreover, 7,500 salespeople are currently registered. The scheme guides their recruitment, training, ongoing monitoring and supervision."

Not sure what this will mean for all those companies that door-knock for the utilities on a freelance basis. Does Cobra still do this?

Manslaugher charge for scrapyard boss Rob Roberts

2009-07-01T23:00:50Z

Scrapyard manager Rob Roberts has been charged with gross negligence and manslaughter over the death of father-of-two Mark Wright.

We revealed in February how Mark, 37, died in a fireball after 3,500 aerosol canisters he was crushing exploded at Deeside Metals in Saltney, Flintshire.

Roberts will appear before Flintshire Magistrates Court in Mold on August 25.

Ban the cheating utility reps

2009-07-01T20:02:16Z

Lovely news from the annual Trading Standards Institute conference, which yesterday called for a ban on doorstep selling by energy companies.

The move has been prompted by reports nationwide of vulnerable people cornered in their homes into switching energy suppliers against their will or better judgment - something our postbag confirms.

Other common complaints include higher bills after the transfer and difficulties cancelling the switch. TSI chair and head of Surrey County Council Trading Standards Peter Denard said energy companies were known to frequently ignore the "No Cold Calling Zones" in the county and two criminal investigations are now underway into misleading statements by "particularly aggressive" energy company reps.

"Salesmen work on commission and we find that they will say whatever it takes to get a contract signed," he said.

"Enough is enough. We are going to make the salesmen and the companies they work for fully accountable."

The call is supported by the National Pensioners Convention, which represents 1.5 million people.

General secretary Dot Gibson, said: "It's time we stopped letting unscrupulous companies prey on vulnerable older customers."

They're going to have a fight on their hands. Garry Felgate, head of the Energy Retail Association, rejected calls for a ban "out of hand". "A high proportion of customers are completely satisfied with a doorstep sale when it is made," he said.

Is ukticketfactory the new bookmetickets?

2009-07-01T16:10:18Z

We warned about ticket tout website bookmetickets.com last August and now we're getting an alarming number of complaints, just as the concerts for which it sold tickets are being staged.

Typical is Emma Cullen of Ellesmere Port who bought two tickets to See Take That at the Lancashire cricket ground at £55 each on June 26.

"I've got no tickets, no refund and I've sent three emails but had no reply," she said.

Ian McFadden paid a £169 for three tickets for Take That in his native Glasgow on June 20 and says: "No tickets, no refund."

Pamela Lambert paid £204 for Take That tickets, again in Glasgow, and told us: "Someone promised me a refund and then slammed down the phone - I'm still waiting".

All of which is worth bearing in mind if you're tempted to buy tickets from a website called ukticketfactory.com.

It's registered to the same PO in Vancouver as bookmetickets.com and it's hosted on the same server previously used by eagleslivetickets.com, until it was taken down on suspicion of fraud.

Phishing hits Twitter

2009-06-30T11:47:51Z

There's a warning here about the latest phishing scam to target Twitterers.

Users are tempted by this tweet, "omg!! is it true what they wrote about you in their twit blog?", to click on a link that takes them to a fake Twitter site, twittersblogs.com.

It looks identical to the real thing, only when you enter your username and password you've just handed it over to a potential fraudster.

We've been warning for a while now that social networking sites are increasingly being used by phishers.

It's not entirely clear what they are hoping to achieve. It's obviously not like gaining the username and password to an online bank account.

In the Twitter case above, it appears that the first object of the scam was simply to replicate itself by spreading the phishing link on to everyone following a victim's tweets. That's since been blocked by Twitter.

Another new report on cybercrime on Facebook links it to the gathering personal information and spreading viruses.

It could also be that the fraudsters who are collecting Twitter sign-ins have little interest in Twitter accounts.

An alarmingly high number of internet users have just one password for every online account. Many more have just two or three passwords. It's a gift to hackers.

So be careful whenever you click on a link that asks for personal information or sign in details. If in doubt navigate your own way to the website before you sign in.

And don't be lazy with passwords, particularly valuable ones.

Eagleslivetickets.com is down ..

2009-06-29T15:34:19Z

.. dehosted earlier this year by police on suspicion of fraud. But an identical site eagleslivetickets.net is already up.

The site is registered and hosted anonymously by InvisiHosting, in Austin, Texas. There's no company name, no physical address, no telephone number. Just a online form under "contact us" that will disappear if the website does.

Beware.

If you believe you are victim of a ticket scam, you'll find our advice here.

Michael Jackson ticket refunds

2009-06-26T13:49:55Z

With 750,000 tickets sold for Michael Jackson's sell-out 50 dates at the O2, the refund bill could top £50 million.

Concert promoter AEG, which is believed to face a multi-million pound black hole following Jackson's death, has today (Tuesday June 30th) announced that all fans who bought tickets through their authorised agencies - Ticketmaster, Viagogo, See or Ticketline - will get a full refund, including booking fee.

Randy Phillips, president of AEG Live, said:

The world lost a kind soul who just happened to be the greatest entertainer the world has ever known.

Since he loved his fans in life, it is incumbent upon us to treat them with the same reverence and respect after his death.

Fans will also have the option of being sent their tickets as souvenirs instead of the full refund.

But not everyone will be offered all their money back. Fans who bought through other agents will have to contact whoever sold them the tickets. I've been looking through the sites that have sold Jackson tickets and assessing the chances of getting a refund.

I will be updating this post. Please let us know how your refunds progress. If you've ordered from an agent I haven't mentioned, send us a comment and we'll get digging.

Ticketmaster

They were the primary ticket agents and, according to the terms and conditions on their website, all fans will get a full refund. But the current statement on their website simply says:

Ticketmaster is aware of the news relating to Michael Jackson. We have no official information at this stage. As soon as we have any information we will immediately contact all customers who have booked tickets through Ticketmaster.

Viagogo

Customers of the official secondary ticket seller - Viagogo - will also get a refund. Boss Eric Baker has said today:

All Michael Jackson tickets purchased through Viagogo will be refunded directly to fans. No forms, no fuss, just refunded. We will be in touch with everyone in due course.

Seatwave

"Fan-to-fan" reseller Seatwave has also been quick to reassure customers that they will get their money back. Boss Joe Cohen said today:

All customers who purchased tickets for [Jackson's] O2 shows from Seatwave are covered by our TicketCover guarantee and will get a full refund. Full information on how to do this is on our website. We advise customers to use the website rather than our phone lines to obtain this information.

eBay

Auction website eBay is advising people who have bought tickets on the site to contact the sellers to ask for a refund. If they bought using Paypal, they can get their money back if the purchase was made during the last 45 days.It is "reviewing the options" of people who bought tickets before May 13th. Ebay also said it was working to remove live auctions of Jackson tickets from its site, although hundreds remained on the site during Friday morning. "Any existing bids will be cancelled," a spokeswoman said.

UKticketfactory.com

This tout company will only refund the "face value" of a ticket - in this case £50 to £75 - regardless of the price paid. It's spelt out in the terms and conditions:

If an event is cancelled and not rescheduled we will be liable for a face value refund of the ticket only. You will need to request a face-value refund via email. With any refund issued, we will only ever credit the original card used to pay with. No cheques/Paypal payments etc will be issued.

Bookmetickets.com

We've been bombarded with complaints about this site since we wrote about it last year. Customers who bought Michael Jackson tickets are only due a refund of the £50 to £75 face value regardless of what they paid. It's in their terms and conditions:

If an event is cancelled completely for reasons beyond our control then BookMeTickets.com is only liable for the Face Value of the tickets therefore only the Face Value will be refunded. If an event is postponed or rescheduled then the same tickets will be valid for the new date and no refunds will be applied at all. Please allow up to 28 working days before the money is credited back to your account. Please note that we can only reverse the transaction back to the same card which was used at the time of booking.

Londonticketsexpress.com

This is another site we've previously warned about. Customers with Jackson tickets are only eligable to claim a refund for the face value - or £50 to £75 - as made clear on the website:

If an event is cancelled completely for reasons beyond our control then LondonTicketsExpress.com is only liable for the Face Value of the tickets therefore only the Face Value will be refunded. If an event is postponed or rescheduled then the same tickets will be valid for the new date and no refunds will be applied at all. In a ground breaking move amongst standard practices of Independent Ticket Agencies, LondonTicketsExpress.com has also decided to offer its customers the option of a credit voucher of the full amount paid which can be used towards any other event at all with no expiry date.

Double8tickets.com

One of the UK's biggest touts and a member of the industry body ASTA - or the Association of Secondary Ticket Agents. But, according to their terms and conditions, customers will only get a refund of the face value of the tickets if an event is cancelled:

If an event is cancelled by the artist or promoter, we will refund the face value of the ticket only. If an event is rescheduled by the artist or promoter and you cannot attend we will refund the face value of the tickets only. We do not have any control over these events. We will not be liable for costs of travel fares, hotels, or any other expenses that may be incurred if a concert is cancelled/rescheduled. It is your responsibility to ensure the concert is going ahead before travelling. We will do our best to inform you if the date has been changed but we do not accept liability if we are unable to contact you. We strongly advise that you check before making arrangements.

acetickets.co.uk

As we warned back in March, this was one of the sites selling Jackson tickets they couldn't possibly have. The tickets were priced between £295 and £1,5000 but were subsequently withdrawn from sale. The site has since disappeared.

theonlineticketexchange.com

Another one we caught selling tickets it didn't have back in March, after the dates were announced but before the tickets went on sale. Along with sister site theonlineticketshop.com, it sold Jackson tickets starting from £295, all the way up to £1,575 for "VIP seats". There's no refund policy on the website, which describes the site as a unique way of "connecting buyers and sellers" and claims to guarantee all tickets by "ensuring that tickets are in the buyer's possession at the time they are listed". We tried to call the company to find out what will happen to customers who bought Jackson tickets but no-one was answering this afternoon. The firm also sold tickets as michaeljacksontickets.co.uk, though this website has since disappeared.

worldticketshop.com

This Dutch site were selling Jackson tickets for £535 to £715 each before they even went on general sale. According to the website, customers will get a 100% refund of the purchase price is an event is cancelled. You should email info@worldticketshop.com within five days of the cancellation being formally announced and return the original tickets (if you have them) by registered post.

budgetticket.nl

This is another Dutch website that we found selling Jackson tickets before they were even available. But, according to the terms and conditions on the website, customers will get a full refund if they apply in time:

In the event of cancellation of an event, Budgetticket will offer substitute tickets on the basis of availability or refund the full amount of the order including shipment costs, provided the buyer contacts Budgetticket within five (5) days after the announcement of the cancellation of the event.

Western Union scammers preying on tenants

2009-06-26T12:27:56Z

We warned in January about a scam aimed at people looking for a house or flat to rent.

Now the Deposit Protection Service, an officially-backed scheme set up to protect tenants, has issued its own warning here.

The scam works when prospective tenants are asked to prove they can afford the rent by sending a Western Union money transfer to a friend or relative, and forwarding a copy of the transaction to the "landlord". This copy is enough for the conmen to intercept the money transfer.

Kevin Firth, director of the DPS, said: "Tenants should only transfer money to reputable landlords who can prove they are registered with an approved tenancy deposit scheme.

Charity balls up: Do celebrity fund-raisers short-change the causes they boast about backing?

2009-06-24T23:00:47Z

Barely a week passes without yet more pictures of celebs downing champagne and eating the finest food, all allegedly in the name of charity.

But are these summer balls much cop at fundraising? Or are they just an excuse for a posh knees-up and a way for C-listers to get their faces in the papers?

We've done the sums - and discovered some of these extravaganzas are so costly the bill for hosting them is more than the amount that goes to charity.

Grant and Anthea's Summer Ball
Celebs: Simon Cowell, Noel Edmonds, Lulu
Charity: Grant and Anthea Charitable Foundation, which donates to the children's hospice charity CHASE and DebRA, which helps children with genetic skin-blistering conditions
Amount raised: £942,000 (2007)
Amount spent: £829,000
Total for charity: £113,000 or 12%

Failed property developer Grant Bovey's company Imagine Homes claimed half-a-million pounds was raised for charity at this 2007 ball.

In fact, the figure, according to the annual accounts of The Grant and Anthea Charitable Foundation, was £112,984 - around 12p for every pound spent.

The aim of this annual shindig was "to have an amazing evening while generating a significant amount of money for charity".

Guests, some flying in by helicopter, paid up to £1,200 to attend the last ball that TV presenter Anthea Turner and husband Bovey held on their sprawling 37-acre Surrey estate.

They quaffed "1,000 bottles of champagne and fine wine" scoffed a "lavish meal", and were entertained by X-Factor finalists Ray Quinn and Chico.

An auction including a one-week stay in Bryan Adams' Caribbean villa, five Mini Coopers and tea with model Liz Hurley raised £452,000 - bringing revenue to £942,000.

The accounts, signed by charity trustee Bovey, state: "Expenditure on the Summer Ball was in excess of £829,000 with the largest cost being that of the stage and marquee which exceeded £390,000."

The previous ball in 2006 did a bit better. But not as well as Bovey claimed.

This time Imagine Homes claimed the ball "raised in excess of £450,000 for charity".

But the accounts show that £338,287 went to charity out of the £922,928 raised - or 37p in the pound.

The couple's agent Michael Joyce said: "The charities were fully involved in the organisation of the ball and fully supportive. Everything was above board."

He added that the 2008 and 2009 balls were shelved following the credit crunch. Bovey - whose property empire collapsed with £28m debts - is cycling to Paris for charity this year.

Verdict: Obscene.

Berkeley Square Ball
Celebs: Penny Lancaster, Cat Deeley, Myleene Klass
Charity: The Prince's Trust
Amount raised: £450,000 (2008 estimated)
Amount spent: £420,000 (estimated)
Total for charity: £30,000 or 7% (estimated)
The Berkeley Square Ball, hailed by Vogue as a "suitably stylish end to the summer season", describes itself as "an informal and unique charity event supporting The Prince's Trust".

After the first in 2005, actor Damian Lewis said: "It is full of good food and entertainment, and it's in aid of The Prince's Trust - what else could you ask for?"

Er, would it be rude to ask to see some accounts?

A spokeswoman for organisers Vince Power Music Group said: "The only account details we give out is that ticket and table sales cover the costs. We make no profit and sponsorship lets us secure a fixed price to the Prince's Trust charity."

Tickets cost £700 and 600 guests attended last year - so that's £420,000 in sales.
We have no idea how much was donated by sponsors such as Coca-Cola and Taittinger Champagne.

But a Prince's Trust spokeswoman told us it has received £120,000 in total from four balls since 2005 - or just £30,000 a year.
Verdict: Woeful.

Hollyoaks Charity Ball
Celebs: Pretty much all the Hollyoaks cast, Kym Marsh Jermaine Pennant
Charities: Profits are split between Claire House Children's Hospice and The Alder Hey Imagine Appeal
Amount raised: Not known
Amount spent: Not known
Total for charity: Organisers were "hoping" to raise £30,000
The two-year-old Hollyoaks Charity Ball, held at Chester racecourse, raises money for two local children's charities.

But they won't reveal exactly how much.

It's organised by Lime Pictures Ltd, the TV production company behind Hollyoaks.

But a spokesman said they were "unable to provide information" about the amounts spent and raised.

Tables for 10 cost £1,000 and entertainment was provided by Kym Marsh, the former Hear'Say singer who is now a Coronation Street star, and the Hollyoaks' cast.

Lime Pictures' boss Sean Marley said: "Two amazing causes have benefited from a day that I hope everyone enjoyed as much as we did."

Verdict: Come clean!

Elton John's White Tie and Tiara Ball
Celebs: Uma Thurman, Penny Lancaster, Kimberley Stewart
Charity: The Elton John AIDS Foundation
Amount raised: £8.01m (2007)
Amount spent: £972,000 plus donations for auction
Total for charity: £7.04m or 88%
The most glamorous of the celeb charity balls.

Last year 600 guests, including Bill Clinton and Will Smith, paid £3,000 each for the tenth annual party at Sir Elton John's Wiltshire estate.

The singer's Aids Foundation website sets the scene: "Guests followed a tree-lined avenue surrounded by hundreds of carats of diamonds displayed en route to the Italian Terrace."

Celebs sipped martinis created by Elton's partner David Furnish before a dinner of Oscietra caviar, stone-black bass and chocolates in gold leaf.

The Foundation paid £972,000 through subsidiary EJAF Trading Ltd to stage the event. That sum was "underwritten" by sponsors so all ticket sales and auction revenue went to charity.

"We are adamant on that point," the Foundation's Anne Aslett told us.
But that figure doesn't include gifts like auction items. "We don't cost those," added Aslett.

Verdict: The best.

Caudwell Children annual ball
Celebs: Liz Hurley, Penny Lancaster, Rachel Stevens
Charity: The Caudwell Charitable Trust - known as Caudwell Children
Amount raised: £2.52m (2009)
Amount spent: £818,000
Total for charity: £1.7m or 68%
This annual ball began three years ago with the launch of the Caudwell Children charity, begun by phone tycoon John Caudwell.

Its 2008 "Legends Ball" cost £1.24m and earned the charity £1.39m.

This year's event was more efficient but still only 68% of cash raised went to charity, according to figures from the charity.

Rod Stewart sang at the "Butterfly Ball": tickets from £3,000 to £15,000 for a table for 10.

"Ticket sales and sponsorship covered the £800,000 cost of staging the event," said a spokesman.

"And all the money raised though the auction, £1.7m, was profit for the charity."
Verdict: Improving.

Sunseeker Charitable Trust Ball
Celebs: Bill Wyman, Lulu and Beverley Knight
Charity: Outward Bound Trust
Amount raised: £550,000 (2009)
Amount spent: £400,000
Total for charity: £150,000 or 27%
The first Sunseeker Ball featured a performance by Take That and generated revenues of more than £800,000.

But staging costs were more than £550,000, leaving the Outward Bound Trust with just £260,000 - or 33p in the pound.

This year's ball, featuring Bee Gee Robin Gibb, was even less lucrative.

Prices were halved to £250, so revenue was down to £550,000.

But costs were reduced too, to £400,000, so the charity made £150,000 profit.

Was the event worth staging for this amount? "Absolutely," said Outward Bound events manager Stuart Baker. "As long as we have generous sponsors and supporters who want to come along."
Verdict: Pitiful.

ARK Gala Dinner
Celebs: Jeremy Clarkson, Boris Johnson, Uma Thurman
Charity: Absolute Return for Kids
Amount raised: £26m (2007)
Amount spent: £3.9m. There were also valuable donations for auction
Total for charity: £22m or 85%
This annual dinner raises the most money for charity. But it costs the most too.

Top financiers pay £10,000 a head and millions more are raised through a five-star auction and raffle.

But according to the most recent accounts of Absolute Return for Kids - the charity set up by actress Uma Thurman's hedge fund billionaire fiance Arpad Busson - the 2007 gala dinner cost £3.9m.

Organisers told us the costs have been slashed over the past two years and the gala dinner now costs the charity less than £2m.

But Busson still wanted to gobsmack guests. "It is going to be mind-boggling," he promised.

Verdict: Impressive, but wasteful.

Raisa Gorbachev Foundation Gala
Celebs: J.K. Rowling, David Walliams, Peter Kay, Rachel Stevens, Kimberly Stewart
Charity: Raisa Gorbachev Foundation
Amount raised: £1.2m (2007)
Amount spent: £400,000 from "sponsors" plus other gifts.
Total for charity: £1.1m or 75%
This glittering annual fund-raiser for Russian children suffering from cancer is in its fourth year.

Its accounts are a mystery thanks to the generosity of former KGB spy Alexander Lebedev, who "sponsors" the event.

The accounts Foundation say the ball made it £1.12m in 2007.

Tickets are £15,000 for a table for 10.

More came from an auction: Dragons' Den's James Caan paid £300,000 for a Damien Hirst sculpture.

The Foundation spent £55,000 on "fundraising and publicity", covered by a "third party sponsor".

A spokesman says that Lebedev spent "less than" £350,000 on the party "in part due to the generosity of the sponsors".

More than that remains unknown.

Verdict: Good, we think...

Dream Island TV Productions answers our questions - and drops its £29.75 fee

2009-06-24T14:51:07Z

Many of you have doubts about Dream Island TV Productions, who are recruiting contestants for a brand new reality programme.

There's unlikely to be a shortage of applicants for the Dream Island Experience, given this description on the dreamislandtvproductions.com website:

Unlike many reality shows in the past where contestants faced humiliation and difficult challenges, like eating grubs and worms, the contestants will experience an extravagant lifestyle for the duration of their stay. This will throw up a whole new set of challenges for the contestants that have not been seen on British TV before.

The ultimate winner will receive a cash prize of £100,000 and will always be able to look back on the Dream Island Experience with great pleasure.

Dream Island TV productions will be looking for a diverse mix of contestants drawn from all walks of life and all ages. Young and old alike are encouraged to apply for an audition, which in itself will be an exciting experience.

But successful applicants are told:

Further to the telephone conversation with one of our researchers on, we are pleased to inform you that we are now ready to proceed with the next stage of your on-line audition process.

There has been a fantastic response to our casting call so far and we are getting interest from far and wide. Some production companies ask that applicants travel to a central audition venue and join the massed ranks of potential contestants waiting in cramped conditions until they are called forward for their interview.

As our production team are located in the Westcountry, we do not wish to put you to the expense and inconvenience of travelling so we conduct all the preliminary auditions online. With the average cost of a return rail ticket from London Paddington at well in excess of GBP 80.00 the online audition saves both time and money.

In light of this, we are asking for a small commitment consideration of
GBP 29.75 (or local currency equivalent) to ensure us that the applicants we have are committed and serious about the on-line audition process. Further more you will get to keep your audition video show reel for your own use in the future.

She wanted to know whether she'd be wise to part with £29.75 and we had a few questions of our own.

So we attempted to contact the bosses of Dream Island TV Productions. Sole director Peter Benstead, 65, from Penance, was uncontactable. So we emailed company secretary Steve Matthews.

He replied that, "As this is a new venture I have very limited involvement so far, so would you please direct any operational questions to Dream Island TV productions Media Manager, Joe Eaglestone".

We asked Joe who had commissioned the show, what deals were in place to broadcast it, why they charged an upfront fee and what track record the company has in producing TV shows.

Here's his response:

The show has been commissioned by Dream Island TV Productions Ltd itself, as we identified an exciting niche in the current reality TV market.

Dream Island TV Productions Ltd is currently in negotiations with a number of parties, with a view to securing broadcasting.

As a new company, Dream Island TV Productions does not have an existing track record of TV production. This is why we are in negotiation with relevant skilled individuals and companies to bring the show to air.

He's also announced that the £29.75 audition fee has been dropped. It was introduced, he claimed, "to deter applicants who were not totally committed to the concept and would potentially spoil it for those genuinely seeking to be part of the show".

But "it has become apparent that the fee has been deterring just the people we are looking for due to reservations that it could be some form of scam".

Indeed. Those who have already paid will be refunded, apparently.