Two men who ripped off people trying to sell cars have been sent to jail following an investigation by Hertfordshire Trading Standards.
Dervis Sammali and Tahsin Gerceker were given 10-month and six-month sentences respectively at St Albans Crown Court on Tuesday (September 23). Both are to serve half their sentences are in custody. The remainder of the sentences were suspended.
They were key players in a 'car-matching' scam run by Waltham Cross-based Pro Ads Limited, trading as Proseller, which guaranteed its customers an immediate sale of their cars - a service which Trading Standards officers could find no evidence of ever being provided.
They admitted to 150 offences under the Trade Descriptions Act at an earlier hearing. They pleaded guilty to 30 counts of making statements which they knew to be false. Sammali, 23, of Lawson Road, Enfield, asked for a further 87 offences, and Gerceker, 32, of Hyde Park Avenue, Winchmore Hill, a further 33 offences, to be taken into consideration. The offences covered a period from August 2006 to April 2007.
Judge John Plumstead said that it was "as bad a trail of trading standards offences as I can imagine", branding the scam an "organised fraud on a wide scale" which involved "cold-blooded personal cheating" and "lying to the public purely for profit".
Statements were taken from more than 60 consumers from across the country who lost money after promises had been made to sell their cars.
Sales staff from Proseller would cold call consumers after tracking private advertisements they had placed to sell their cars. They promised to match these cars with those from buyers' lists they maintained, often citing that they had particular buyers who would be able to view immediately and who would pay the asking price. They would also guarantee the immediate sale and selling price.
The stated cost of the service was either £79.99, £99.99 or £129.99, depending on the level of service provided. This was routinely described as refundable, the reason for the charge sometimes passed off as a means of establishing the commitment of the consumer.
Trading Standards were unable to find evidence of Proseller successfully arranging sales of any vehicles after examining paper and computer records seized on a raid at the business premises in Bartholomew Court, High Street, Waltham Cross. Both defendants refused to be interviewed.
Sammali was given credit for his previous good character, but his mitigation that he was unaware of what his staff were doing was not accepted by the court. Gerceker claimed that he was a director of the company only in name, but the judge dismissed his argument as he had pleaded guilty to consenting to the fraud.
Summing up, Judge Plumstead praised the "very professional" investigation by Hertfordshire Trading Standards, which had exposed a scam that "undermines the public's confidence in the business community".
A confiscation hearing is due to take place on December 17, after which costs and compensation will be determined.
County Councillor Richard Smith, Executive Member for Community Safety, said: "These were not a few isolated offences but examples of cynical trading practices. There are strict laws in place about false claims by traders. Put simply, if you advertise and take money for goods or services that will not materialise, you are running a scam, not a business and you will find yourself in court.”
Hertfordshire Trading Standards is repeating its advice to consumers not to buy from cold callers and never to give out credit card details unless they are confident in the services offered and intend to go through with the deal.
For information and advice about consumer issues contact Consumer Direct on 08454 040506 between 8am and 6.30pm Monday to Friday and between 9am and 1pm Saturday (excluding bank and public holidays) or visit www.consumerdirect.gov.uk
ENDS
Notes for editors
Gerceker was Director of Pro Ads Limited until January 2007 and was also a top salesman for the company. Sammali was not a formal officer of the company according to Companies House paperwork, but had been involved in a previous car matching business, Realmatch Services Limited, that had operated from the same address. Sammali was letting office space and computing equipment, was a signatory to the business account and was acting as a manager of Pro Ads Limited. Both defendants were liable for the acts of the company, which has since gone into liquidation.