shore excursions
Cruise News"Cruise Miles" Scam Cost Victims Over $500K: What You Should Know

“Cruise Miles” Scam Cost Victims Over $500K: What You Should Know

He sold "fake cruises" that left victims at the terminal.

If a cruise deal makes you think, ‘Wow, that’s insanely cheap!’ it probably is. And not in a good way. This was the painful reality for hundreds of cruisers who fell victim to a massive international fraud.

Cruise Ship in port, Independence of the Seas

A 56-year-old man was just sentenced to 5 years in prison yesterday, after selling fake cruises to at least 184 people.  In total, Richard Lester stole £406,856.39 from these individuals, equivalent to about $500k U.S. dollars.

While the investigation took 10 years to complete, the scheme went on for five years (2009 – 2014), during which Lester sold “cruise vouchers” and “cruise miles” that customers could presumably redeem for deals on cruises.

The real kicker is that some people did successfully book and take cruises through the program, and Lester’s firm even received a prestigious World Travel Award in 2012.

But then the fake cruise booking confirmations started piling up.  The money from new sign-ups had been going to fund cruises for earlier sign-ups.

Some victims only found out about the scam when they showed up at the cruise port and were turned away.

While some were able to receive a refund after the cancellation, they often were encouraged to buy more cruise miles at a higher rate to fund their next cruise.

When everything came to a screeching halt, victims of the scheme were left with worthless cruise miles they could never redeem.

Carnival Celebration Docked in PortMiami

According to news reports, the victims of this Ponzi-style scheme were from the United States, United Kingdom, Australia, New Zealand, Canada, France, Germany, and Japan.

Richard Lester, from Bedfordshire England, used the stolen funds to live a life of luxury and fund his gambling addiction.

During the sentencing process, Judge Alexander Mills said that Lester tried to gaslight his victims and convince them that it was their own fault they were defrauded out of their money.

You not only took from these individuals and caused them distress, frustration, uncertainty, disappointment and financial loss, but you sought to gaslight them. Their upset was apparently their fault, leading at least some to question their own actions when all of the time this was down to you.” The judge stated.

The judge also went on to point out the gambling lifestyle Lester had enjoyed from the stolen funds.

You were a professional gambler, gambling in poker tournaments and major poker tournaments, winning significant amounts of money, living the high life in Las Vegas and elsewhere.

Want to avoid cruise scams? Be smart! If a deal looks too good to be true, it probably is.

Don’t get blinded by a “bargain.” Double-check everything. Call the cruise line yourself to make sure the offer’s real, and look up the company offering it – see what others say online.

Use a credit card when you book (it’s safer!), and get everything in writing. Watch out for those random offers that pop up – they’re often trouble. And hey, if something feels fishy, trust your gut. Better safe than sorry.

This story also highlights that it often is best to book either directly with a cruise line or book through a trusted travel agent.  This isn’t to say other sources aren’t trustworthy.  Just make sure that website or person has a valid track record.

Our free cruise newsletter offers the latest news and deals: Sign Up

J. Souza
J. Souza
Jon is the co-founder of Cruise Fever and has been on 50+ cruises since his first in 2009. As an editor, 15-year writer on the cruise industry, and avid cruise enthusiast he has sailed with at least 10 cruise lines and is always looking for a great cruise deal. Jon lives in North Carolina and can be reached at [email protected].
Cruise News"Cruise Miles" Scam Cost Victims Over $500K: What You Should Know
.

Recent Popular Posts