Tuesday, November 5, 2024

Travel agency shuts down after leaving hundreds of holidaymakers out of pocket

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Felix Travels and Tours Limited (FTT), trading as Felix Holidays, has been closed down by the High Court after a series of holiday cancellations and failing to deliver paid-for services. The travel agency, known for offering packages including flights, accommodation, and extras like Disneyland tickets and ski passes, left nearly 300 customers out in the cold, with around £592,000 owed in undelivered services.

Cheryl Lambert, Chief Investigator at the Insolvency Service, condemned the company’s actions, stating: “Felix Travels and Tours claimed to be a high-quality, trusted travel agency. This was sadly not the experience for holidaymakers who had packages cancelled at the last minute or were left missing accommodation or other services they had paid for in advance.”

Lambert further highlighted the extent of the financial damage, adding: “To make matters worse, around a quarter of the company’s total customers are owed refunds approaching almost £600,000. These completely objectionable trading practices left us with no option but to apply to have the company wound-up to protect customers in the future.”

FTT, a travel agency established in April 2020 with a call centre in Sri Lanka, is under scrutiny after customers reported issues with their holiday packages. The company would take initial deposits from customers once the total cost of their holiday was agreed upon and then set up payment plans to spread the cost.

However, some travellers who paid in full found that not all aspects of their package were available upon reaching their destination. Others had their holidays cancelled at the last minute, reports Birmingham Live.

Customers on monthly payment plans were advised by FTT’s call centre staff to stop making payments as their holiday package could not be fulfilled.

Adding to the controversy, FTT misled customers into believing they were covered by ATOL protection when they weren’t. A separate, legitimate travel agency that had been working with FTT ended its contract and reported them to Action Fraud.

Investigations by the Insolvency Service concluded that FTT ceased trading by the end of February 2023, failing to pay suppliers and cover the costs of running its call centre.

Trade suppliers are also out of pocket, with the company owing an estimated £7,000. FTT has failed to cooperate fully or provide up-to-date accounts since investigations into their conduct began in August 2023.

The Official Receiver has been appointed as the liquidator of the company. All enquiries regarding the affairs of FTT should be directed to the Official Receiver of the Public Interest Unit, located on the 16th Floor at 1 Westfield Avenue, Stratford, London, E20 1HZ.

The email address for correspondence is piu.or@insolvency.gov.uk.

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