Small biz owners fight equipment lease scam

24/12/2009

A telephone sales scam that has landed hundreds, perhaps thousands, of small business owners with crippling debts to banks and finance companies is being prosecuted by the ACCC.

The scam works when a small business owner contacted by a salesman for a telecommunications company, allegedly often called Link Solutions, offering cheap phone calls plus a deal that includes ‘free’ office or factory equipment.

The unsuspecting customer signs up for the deal and finds they owe lease payments on the office equipment, often allegedly to Macquarie bank, who provided finance to companies associated with the business.

The ACCC is prosecuting 28 parties for their alleged involvement including Tony Hakim, a director of National Telecoms Group and Clear Communications, the part-owner of Strathfield Car Radios. Proceedings could take years.

In Queensland a group of about 350 victims raised $500,000 and reached a settlement with various finance companies. In NSW, Greg Stevenson and 110 victims other victims have hired lawyers and will take on its own private investigators.

Source: Sydney Morning Herald

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