Issue Date:  -  Friday, 30 July 2004

Millionaire mum seminar attracts consumer watchdog again

The Department of Consumer and Employment Protection continues to have serious concerns about the “From Mum to Millionaire” Property Seminar being held today – Saturday 31 July.

One World Seminars Pty Ltd were asked by the Department to substantiate claims in their advertisements that financial wealth had been created in short periods of time. (Media Statement 23 July 2004)

Information provided so far is not to the satisfaction of the Consumer Protection Commissioner. 

“One claim of particular concern to us is that one couple increased their net wealth by $3 million dollars in just 8 months”, Consumer Protection Commissioner Patrick Walker said.

“We have requested information to substantiate these statements but to date no detail has been provided about the financial or asset gain created,” he said.

One World were also asked to provide, on several occasions, details of people registered to attend the seminar.

As late as Wednesday 28 July, Consumer Protection was advised that a total of only 28 people were confirmed to attend.

“Interestingly one of our own staff members who has been enrolled for over 2 weeks is still not listed as an attendee,” Mr Walker said.

The Consumer Protection insider has received formal confirmation of his enrolment and more interestingly, was also very recently notified of a change of venue for the seminar.  It seems that the event has been moved to a new hotel and into a function room with larger capacity for up to 400 people.

Consumer Protection has closely scrutinised this event because of the continuing problems with investment seminars that include: 

• Consumers influenced to attend seminars by claims that great wealth can be achieved with little risk;
• The initial cost of these seminars seem low but on attending, selling techniques are used that lead people then to sign up for more expensive courses, without time being allowed to properly think about the offers;
• Opportunities for refunds can be limited; and
• People may proceed to invest in property without being fully aware of the financial obligations attached to this.

In the case of the One World Seminar, attendees are reminded that should they wish to receive a refund they must do so at the seminar before lunchtime today.

Lawyers from Consumer Protection will be present outside the seminar to provide information and assistance to those attending.

Consumer Protection has had concerns about the advertising by One World since the commencement of their advertising in WA.

The Department believes the original advertisement placed by Oneworld was misleading and therefore in breach of the Fair Trading Act.

Following a letter of demand from the Department, Oneworld’s Director, Jack Weaver undertook to correct their actions. 

They have published corrective advertising to their earlier claims that by attending the seminar attendees ‘would know instantly if property prices in any area will be going up, sideways, or down, and how long that trend will continue’. 

Oneworld was also asked to provide Consumer Protection with lists of all participants registered to date, to inform these people of the corrective advertising and to offer refunds as a result of the correction.

“There are clear reasons for concern that this may not have occurred and we are keeping a close eye on their activities”, Commissioner Walker said.

Anyone who registered to attend the seminar first advertised as being held at the Mercure Hotel, which was subsequently switched to the Hyatt Hotel, and require assistance with refunds or information should contact Consumer Protection on 1300 30 40 54.