Richard Corbett, Labour MEP for Yorkshire and the Humber, is delighted that the company behind the "European City Guide" scam is finally being brought to justice after his 5-year campaign against the scam.

On 6 September 2005 the Swiss authorities announced that raids had taken place at the headquarters of a number of companies that had been under investigation during July.

The move was taken following a number of complaints from all over Europe (including from Richard himself) relating to misleading forms sent directly to businesses across Europe. These forms appear to ask for information and display the phrase "cost free" prominently whilst hiding in the small print the fact that returning the form will lead to bills of almost €3000.

Richard said today:

"The European City Guide is one of a number of unscrupulous companies which is affected by these raids. The company moved to Valencia from Catalonia following a court case in 2003, when it was shut down for a year and fined.

"Three other so-called business directory firms, one Swiss, one Austrian and one German, are also linked to the debt collection agencies which are under scrutiny. Therefore there does seem to be reason to suspect an international scheme of dubious business practices."

The Swiss Ministry for the Economy has submitted requests for proceedings to commence with prosecuting authorities in various cantons within Switzerland.

Richard has personally contacted all of his constituents who have been caught out by this scam or expressed concern to him to advise them of this exciting development.

Until this criminal investigation is completed, however, the scams can continue and Richard urges:

"To help stop these unfair business practices occuring in the future and for more information on supporting victims and petitioning the European Parliament for legislation to deal with this problem, visit the campaign website at www.stopecg.org."

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contact us

• Businesses who are victims of the scam should consult the detailed advice at www.stopecg.org in the first instance or contact Richard Corbett's office directly for advice.
• The Financial Services Authority advises companies on how to avoid scams. Its website is www.fsa.gov.uk/consumer/scams.
• The Control of Misleading Advertisements Regulations 1988, which implemented a European Directive, seeks to protect consumers and traders from the effects of misleading advertising. Under these Regulations, the Office of Fair Trading can seek a court injunction to put a stop to advertisements which are against the public interest. However, effectively using these powers against businesses that are based abroad is difficult. Therefore, in this instance, the OFT sought the co-operation of the Catalan authorities. On 28 March 2002, the Catalan authorities ruled that European City Guide was guilty of infringing Spanish laws on misleading advertising. The Ruling Magistrate in Barcelona upheld the original ruling following an appeal from European City Guide. The judgement described ECG's mailshot as "deceitful" and "misleading" and said that it "led those reading it to believe that by signing it they would incur no economic liabilities of any kind".

more information

Press enquiries: Contact Luke Thorne, Press and Communications Officer to Richard Corbett MEP

• phone 0113 245 8987
• e-mail luke@richardcorbett.org.uk