Your BBB was informed today from one our long-time member companies, ARMSTRONG MECHANICAL CO., INC. about a counterfeit check that was passed here in Lubbock on their company.  The bad check was cashed by a local grocery store chain in the amount of $425.64.

George Carpenter, Armstrong's CFO, states that the bad check (as seen in the graphic) depicts their company's name and address as well as phone number.  The check is drawn on PlainsCapital Bank here in Lubbock and there is a memo line.



Armstrong's legitimate checks do not display a phone number and the bank is listed as Plains National Bank!  Their checks also do not display a memo line and their company logo is screen printed in the register/voucher section.

Technology is certainly not our friend in this case!  Sophisticated software and printers allow this kind of fraud to proliferate.  The check looks very real.  

This is just a reminder that we all need to be on guard.  Remember that your acceptance of a check in your place of business is a privilege you afford your customer and you have every right to not accept them without proper identification.

Recently, the BBB has received inquiry calls on a company called VALII TRAVEL SERVICES here in Lubbock.

Callers have indicated that this company has invited them to come to a meeting in a local hotel/motel.  Once there the consumer is presented with an opportunity to purchase a lifetime membership in a travel club called CASTAWAYS TRAVEL CLUB out of Austin.  It is the BBBs understanding that the travel club cost is over $6300 and also requires a $159 annual maintenance fee.

Here are the facts we know so far:

1.  BBB has mailed a questionnaire to get background information on the local company which has not been answered yet.

2.  BBB Austin is reporting that the CASTAWAYS TRAVEL CLUB has an unsatisfactory record due to unresolved complaints.  They also are reporting that their file opened in February 2005.

3.  New participants receive a free cruise through CERTS INC. on which we have been unable to find a BBB report. It is unknown at this time if there are any restrictions on the travel.

4.  At least one consumer was not offered 3 days cooling-off which, in the BBB's view and as advised by the Federal Trade Commission (FTC) would apply.  It is federal law that if you make a purchase of over $25 in your home or a place other than the normal place of business, you have 3 business days (from the day of signing until midnight the third day) to cancel.  This consumer asked to go home and think about this and was told "it's now or never!"

5.  Consumers are invited to the meeting by a phone call.  May be inviting 'senior citizens' primarily, but we don't know that for a fact yet.

6.  At least one consumer tried to use her credit card to pay; was told that the card didn't have enough credit limit (untrue, she had more than ample credit limit on the particular card she presented!) and that she would have to sign a retail installment contract which she found out later, was a MasterCard credit card through MBNA America Bank and carries an 11.99% annual percentage interest rate.

As you can see, there are several things about how this company is operating that is a concern, so we are asking our members to help us.  If you know anything, please call on your member line.
  
   

806.763.5554 or 1.800.658.6156
806.744.9748 fax

members@bbbsouthplains.org
www.bbbsouthplains.org

Remember you must have your 8-digit identification number (found on any invoice) to have access to the Members Only! pages at the Bureau's website.  If you are having trouble determining what yours is, contact Member Services.

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