John O'Brien Apr. 21, 2008, 3:55pm
ALBANY, N.Y. - New York Attorney General Andrew Cuomo has reached a settlement with auction companies that were allegedly ripping off those who provided them with merchandise to sell.
Cuomo says T.W. Controy and Associates and its eBay drop-off store, My Sister the Lister, would ignore attempts made by customers to recover their money. The settlement was announced Monday.
"This settlement is a victory for Syracuse consumers and a warning for businesses that refuse to respond to their customers," Cuomo said.
"We learned of this case through consumer complaints, and we were able to achieve a positive result that not only provides recourse for those who were wronged, but also puts measures in place to prevent any more consumers from falling victim to fraudulent practices by these auction houses."
Twenty-two customers were defrauded, Cuomo claims. The two companies must fully reimburse them (approximately $150,000) and pay $15,000 in costs and penalties.
Also, they are required to respond promptly to customer inquiries and pay all customers within 30 days of the sale of other items.