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NEWARK
– A Woodbridge travel agency that sold
travel packages for religious pilgrimages
to Mecca in Saudi Arabia that were never provided
will pay $276,077 in reimbursement to consumers,
under terms of a Consent Judgment that settles
a lawsuit filed by the Office of the Attorney
General and Division of Consumer Affairs.
Shama
Hajj Ziyarat Tours, L.L.C., also doing business
as Karwan-E-Iman-E-Sajjad (USA), and its owner,
Molana Syed Alihaider Abidi. are barred from
advertising or selling any travel packages
to Saudi Arabia, under terms of the Consent
Judgment. The defendants also agreed to comply
with the state’s Consumer Fraud Act
and Advertising Regulations in future transactions.
The
defendants will pay an initial $50,000 in
reimbursement in installments over the next
five years. The $226,077 balance will be paid
based on certified financial data to be provided
by the defendants annually.
“This
travel agency defrauded at least 56 consumers
who found out at the last minute, some upon
arrival at the airport, that their pilgrimages
to Mecca were not booked,” Attorney
General Anne Milgram said.
The
defendants also were assessed $500,000 in
civil penalties, plus $67,223 in legal and
investigative cost reimbursements to the state.
These assessments were suspended because of
the defendants’ demonstrated financial
hardship but can be reinstated if the defendants
do not honor the terms of the Consent Judgment.
“Our
focus is on the victims of this fraud and
getting reimbursement to them” said
David Szuchman, Consumer Affairs Director.
“This case is a clarion call to all
businesses that we will not tolerate fraud
committed against consumers and that we will
take legal action when our consumer protection
laws are broken.”
If
defendants commence operating any new business
in New Jersey, they are required to post a
bond of at least $250,000 or 10% of their
prior year’s gross income, which ever
is greater. The bond must be maintained at
this level for at least five years, after
which time the bond amount will be reduced.
Deputy
Attorney General Jeffrey Koziar of the Consumer
Fraud Prosecution Section represented the
state in this action.
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