Fraudulent debt from large auction company

Hi All,

I regularly read over these forums but haven't had the need to post here until now.

In May 2011 my company began selling on a large worldwide auction website. By July we were the 5th Biggest store on this site, making a large turnover - business was going very well.

In July I decided to change our business strategy slightly, and list for 10 days instead of 30 - so all of our listings would be more up to date (with T&C's, postage times etc). We had an Anchor shop, so all listings were free. All 450k products were uploaded and shortly after a large invoice appeared for £4,500+. I immediately contacted <removed> and they explained that 10 day listings were not free but charged at 1p each, but if I removed the listings they would credit all the listing fees. All listings were immediately removed, they confirmed I would be fully credited.

1 month passed and after many ignored emails the invoice dissapeared - with no explanation. Later in August a new invoice appeared for around £8,000 I contacted <removed> again via live chat, they explained it would be removed again. My emails went unanswered after this, and upon the multiple phone calls I was always told you cannot speak to the billing department. This time the invoice wasn't removed and increased to over £12,000.

Our account was put on hold in September, upon phoning them and asking to speak to a manager I was told I would have to pay the full balance and we would then be refunded after it was paid! We're still a very small startup and cannot magic up this kind of money.

I sent an email to the CEO of the auction company, and was contacted by someone in the Presidents Office. They asssured me the fees would be removed (which I have full email logs of). At the beginning of October I was contacted by a debt collection agency - demanding £12,000. The person in the presidents office then recalled this debt and reduced it to just above £7,000. However this staff member doesn't reply to my emails unless I call/fax/email multiple times, and even then it takes over 2 weeks to get a reply.

It's now the end of November, they're saying it isn't possible to issue any further credit - but I know we don't owe this money. The debt is just sat on our <removed> account - we can't sell products any more, and I've just had to give up the lease on the office space and scrap any plans of hiring more employees.

I want to take <removed> to a small claims court - but don't know if this is possible. My hope is that the debt will be passed back to the debt collection agency and they'll take me to court - ideally with the debt being cleared and us being able to sell again (but I assume we'll receive a permanent ban?).

We haven't once been sent an invoice via post or email - just amounts owed. Within our <removed> account if we attempt to view the invoice contents the page just times out - so I can't see what's been credited, or how they've fabricated these extra fees.

Any advise is appreciated, thanks for reading :)
 
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mhall

Free Member
Sep 8, 2009
2,520
1,117
Midlands
Back in the good old days, the auction site was good as it was used solely for people tryingto get rid of their personal stuff. Then the busineeses moved in and they hit paydirt.

I haven't bought off these sites for years - you so rarely see a listing that isn't a company trying to do ecommerce on the cheap.
 
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Set up a new trading company, tell them to whistle.

I guess I would need some advise on that, as my company has merchant accounts, credit cards, overdrafts, bank accounts in foreign countrys. Could get complex. Although the auction company and debt collectors always send the letters to someone called "Head Office" at my address, it appears they don't have my, or my companies name down.

ADDED: but you did incurr a charge, as you listed those items, it was just that they agreed to waive it. You really need to check T&C before making changes like this.

Yes I agree it was silly of me. I didn't notice the * next to the 0p listing.
 
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SamStones

Free Member
Mar 1, 2010
1,056
134
You don't make any mention so far of any fees incurred from when an item has actually sold, usually expressed as a percentage of the final sale price. Could these extra fees be from this perhaps?

I would write to the company / debt collectors concerned and ask for an itemised bill which shows how the costs accumulated. Surely this must be a legal "right"?
 
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You don't make any mention so far of any fees incurred from when an item has actually sold, usually expressed as a percentage of the final sale price. Could these extra fees be from this perhaps?

I would write to the company / debt collectors concerned and ask for an itemised bill which shows how the costs accumulated. Surely this must be a legal "right"?

The fees we incurred I calculate to be around £2,500. I've asked for an itemised bill quite a few times - but they haven't replied. They raised another invoice this month, so I'm sure I'll be hearing from the debt collection agency again - I'll be sure to ask them for it.

My main concern isn't so much the debt but getting back selling - as I won't be paying it (aside from what I owe), and no court will order me to pay a debt they can't even provide a statement/invoice for.
 
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SamStones

Free Member
Mar 1, 2010
1,056
134
I would say, based on past experience, that you don't have a snowballs chance in hell of them making your account live again if they have closed it. (which they might well do if they write off this debt).

I totally agree with the above... no matter how "right" you are in what you're doing, they won't ever do this. (I'm assuming the name of the site in question is an anogram of "aybe"). Cut your losses now and move onto another platform.

Just whilst I'm here: 450k products for a "new startup" is an impressive number! Feel free to PM me your user name :D
 
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lovingthesurf

Free Member
Aug 22, 2011
18
3
Hi , I am positive that no listings are free on the site . I run an anchor store and I pay 1p a listing on 30 day GTC listings .
So 450K listings ( I am intrigued to see who you are by the way ) would equate to £4500 in listing fees alone for every time your product lists . So if you are on a 10 day listing that auto relists itself then in 1 month you will incur approx 12-13 k in listing fees alone .
 
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Hi , I am positive that no listings are free on the site . I run an anchor store and I pay 1p a listing on 30 day GTC listings .
So 450K listings ( I am intrigued to see who you are by the way ) would equate to £4500 in listing fees alone for every time your product lists . So if you are on a 10 day listing that auto relists itself then in 1 month you will incur approx 12-13 k in listing fees alone .

Fixed price listing Category Shop level Insertion fee for any starting price of £0.99 or more (including multiple items that are identical)
Media

Anchor
£0.00*

*For 30-day or Good 'Til Cancelled listings. For listings of a shorter duration, the fee is £0.01 per listing.
 
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