Browse Tag

FNTC

Hello monday

Start the Week

Welcome to Start the Week, we ended last week with a couple of more Court of First Instance rulings against Anfi. Once again the courts awarded back substantial amounts to the clients as well as declaring the contracts null and void.

This does make the claims of the CEO of Anfi, that they are not losing any cases rather shallow to say the least.

At the Court of First Instance in Arona, Tenerife, the judge has ordered International Holidayway Marketing SL, to repay over 7,000€ plus legal fees and legal interest. The clients contract has also been declared null and void.

Following on from the ongoing dispute at Los Claveles, Inside Timeshare has been receiving many comments from both sides. There does seem to be very wide difference of opinion, the following comment has been received with author asking to remain anonymous, unless Inside Timeshare deems it helpful to name him. At this point it has been decided to leave it anonymous, this letter is from a pro-committee owner.

los claveles logo

“Time to talk?  With an organisation that:

Does not respect or abide by the Constitution and Statutes that apply to our resort?

Sacks well respected members of staff without justification?

Does not comply with the orders made by the Arbitrator, even though they are participating in the Arbitration?

Employs staff that physically and verbally assaulted our Club President, Carol Parkinson (who is over 70)?

Produces false charges to the Spanish Police about Carol Parkinson and Albert Fletcher, causing Carol to be arrested in Tenerife and having to return there later for a court hearing?

Lies to Spanish courts that they cannot contact Albert Fletcher whilst continuing to send him letters?

The resounding answer is “No”.  Onagrup has twice had the opportunity to talk, before and after the 2015 AGM, and on both occasions has failed.  The overwhelming majority of owners that the Club Committee is able to reach (because of Onagrup’s refusal to hand back the Club’s membership register), directed the committee to stop talking and instead go to arbitration to settle the dispute.

The Club Committee has just issued to members an initial response to the latest letter from Snr Castro, MD of WimPen Leisure Management SA which again breaches the rules of confidentiality of arbitration and which again has been sent out using the Club’s membership register without permission.

The impression given by Mr Castro is that only WimPen has had success in the arbitration and that a few minor matters remain for the appeal court. On that basis he infers that the arbitration was a waste of time and money. As Mr Castro knows very well but fails to mention, WimPen was either refused permission to appeal, or withdrew its appeal, against the arbitrator’s findings that the committee formation and the AGMs and SGMs held by the committee were legal. This means that appointing Hiro Bulchand as the new Administrator was also legitimate, contrary to WimPen’s claims. Which in turn means that WimPen’s administration of the Club since the management contract expired in March 2017 has been illegal. The committee’s belief is that all of these issues were raised for appeal by WimPen in order to destabilise the Club and prevent the Club having any leadership, clearing the way forward for a takeover by Onagrup.

Turning to the financial information provided by Snr Castro, none of these figures has been audited. In addition, owners have been refused repeatedly their constitutional right to inspect the financial records and accounts by WimPen/Onagrup. It is also worth mentioning that the accuracy of the financial figures previously provided by Onagrup for the Escritura owners’ AGM in May 2016 was highly questionable. Whilst it appears that the resort’s funds are growing, these figures cannot be regarded as reliable until audited by an appointed accountant and inspected by the Club Committee.

The bottom line is that there is more to running a timeshare resort than just making a profit. The Management Company needs to have the respect of the Owners and it needs to respect them.  Onagrup has demonstrated from the outset that it is not a suitable choice for Los Claveles which has a fundamentally different ownership model compared to the other WimPen managed resorts, and as a consequence is most at risk of takeover.  Ask any of the owners who have had their holiday ruined by Ongrup’s reckless rental  policies of allowing noisy and disruptive groups of teenagers to book into the resort, and they will soon tell you that it is quality not quantity of rentals that is important.

Unlike the tiny minority of disgruntled owners who are campaigning against the democratically elected committee, the huge majority of owners are completely united in getting Onagrup (and Trustee FNTC) out of Los Claveles through arbitration. This huge majority of owners directed the committee to enter into arbitration and they authorized the committee to incur the expense of legal representation.   The appeal court judge’s decision is expected early in the New Year, and if he rules against Onagrup, the way will then be clear for the owners’ legitimately appointed Administrator to replace WimPen and get on with managing Club Los Claveles for all of the members.

Inside Timeshare thanks all those who send in comments which are conducive to the debate, it is you the members who need to resolve this issue. Until all members are informed of the situation, then being able to make up their own minds as to which way forward is best, this will drag on and may incur considerable legal expenses. Whichever side you are on, the time to talk is now.

In tomorrow’s Tuesday Slot with Irene, we look at the Billion $ lawsuit and why a Federal Court Judge has ruled in favour of Diamond Resorts International. There is also the story of Mary Bowling a former DRI sales agent, who has a case at the courts in Hawaii. Once again we highlight another military family falling foul of unscrupulous sales agents.

As we were about to publish the first sentence from the Court of First Instance of this week has just come in.

Once again it is against Anfi, the judge in this case has awarded over 5,000€ plus over 7,000€ in maintenance fees and legal interest, also declaring the client’s contract null and void.

Watch this space for the news as it happens.

 

letter-from-america

Friday’s Letter from America

It’s Fridayyyyyyyy! So welcome to another Friday’s Letter from America, Irene once again looks at Customer Service, this time with a positive outcome. But as usual a quick round up on timeshare news in Europe.

One of our long standing readers has sent in the following information, it concerns a long running dispute many owners have been having at Club Jardines del Puerto in Puerto Banus. Costafield Management have pulled the plug on the club 3 years early. It will close on 31 December 2017, after this no members will have any right to occupy.

It looks as though FNTC will be selling off the properties, they will also have to comply with the constitution which demands a 50/50 split between members and the developer.

Our reader also asks this question, How can a small thriving club in the centre of one of the most popular prestigious resorts in Europe become “financially unsustainable”?

More on this as we get the news.

The same reader also asked if we knew anything about MRL (MacDonald Resorts Ltd) taking owners to court for alleged unpaid maintenances fees in Manchester. At present we have found no reference to this in the press, although it must be said that cases of this nature do not tend to be publicised. But knowing the reputation of MacDonald Resorts, we would not be surprised in the least.

Further to the article about Anfi, yesterday saw 2 new sentences from the courts against Anfi.

At the Court of First Instance No 2 in Maspalomas, the judge declared the Anfi contract null and void. He also ordered the return of over 32,000€ plus legal interest.

The second sentence from the Court of First Instance No 1 in Maspalomas, also declared the contract null and void with the return of over 19,000€ plus legal interest.

So contrary to what Anfi say, the courts are finding against them, invoking the Supreme Court rulings, of which there are now 77, 32 against Anfi.

On the story of Los Claveles, there are now some very interesting comments being posted. These are measured and put forward opposing arguments in a sensible manner. Inside Timeshare welcomes these, but will not tolerate abuse or accusations against named people, especially ones of a criminal nature. Inside Timeshare has given a neutral forum for this debate, in the hope that an agreement can be reached. It is up to you the members to come to this agreement.

Now for this weeks Article from Irene Parker.

Grandview at Las Vegas – a Vacation Village Resort

A Positive Customer Service Outcome

cust serv

By Irene Parker

December 8, 2017

Was this a customer service representative showing compassion towards a former Marine, or a willingness on the part of Grandview at Las Vegas to support their customer over their own sales agent? Either way, it was a first for me in the way Grandview handled a timeshare owner alleging they were victimized by deceit and “bait and switch”, which may allow this timeshare buyer to put a wrong decision in the rear view mirror. Grandview is part of Vacation Village/Eldorado Corporation owned by The Berkley Group.

Jeff Diehl contacted Inside Timeshare asking for advice concerning his two bedroom unit at Grandview in Las Vegas purchased January 2017, alleging he was fraudulently sold by a sales agent making exaggerated claims. What was unusual about Jeff’s report is the specificity. Many complain saying they were told they can rent their unit or points for income, but Jeff knew the name of the sales agent, Marylou G, the specific amount promised – $2,000 to $2,500 per week for his fixed week and for eight more weeks using their equivalent 80,000 points. Jeff had told Marylou this was the only way the family could afford the week. After researching on TUG, there was no evidence to support a rental price of $2000 to $2,500 per week.

Rather than leave it at what Jeff had been told about renting, I advised Jeff to do a little research by checking TUG Timeshare Users Group to find out what a Grandview week would bring in rental income. Jeff found only one rental ad for $525 that had been listed since March 26, 2017, with no response.

After Jeff wrote out his complaint, I called the number listed on Grandview’s Better Business Bureau’s report and spoke to a Grandview representative. At this point, I am usually told the resort cannot talk to me so I was surprised the agent asked if I had a loan number and a phone number for the owner. I did. When I explained all of the above to the representative, she said she would call Jeff. I emailed Jeff and told him the name of the representative who said she would call. What usually happens next is one or two weeks of being ignored passes, prompting Better Business Bureau and other regulatory filings.

wow

A first! The representative called Jeff the next day informing him his loan would be cancelled.

As I mentioned, Jeff is a former Marine. He is also disabled. The specific data Jeff provided made it difficult to deny the sales agent told him something that was not true. This would not have prevented any timeshare resort from pointing to the oral representation clause found in the fine print of a volume of documents that allows a sales agent to say anything under the sun to close a deal. To soften the blow, some are told, “If something was important to you, you should have had it added to the contract,” perpetuating the hamster wheel called recycled inventory, as described by one former timeshare sales agent.

Jeff should not have to proceed to the next step which would have involved filing complaints with any or all of the following:

Jeff had initially included predatory lending in his complaint saying,

“Just a quick note to say that the reason I included predatory lending in my complaint, is that the definition of this type of lending says, that when a lender makes a loan to a consumer who cannot afford the loan, in order to benefit themselves, but harms the consumer in the process, this is predatory lending. So, I believe you misunderstood why I included the 17.9 % loan rate.”

I informed Jeff that all timeshare sales agents sell timeshare in this fashion so making this part of his complaint was meaningless.

Jeff also is demanding monies paid be refunded as he alleges the timeshare was sold by deceit, violation of trust, and “bait and switch” meeting the FBI’s definition of White Collar Crime Financial Institution Fraud. At the time of publication, Jeff had not yet heard if his monies paid would be returned, as he would have to contact the corporate office, which Jeff plans to do.  

Before we place Vacation Village up there with Inside Timeshare’s favorite timeshare, Disney, more due diligence is required.

Vacation Village has a Better Business Bureau rating of F. Two sources tell us The Berkley Group is being investigated by the Florida Attorney General’s office. According to Berkley’s LinkedIn page, “The Berkley Group is a private timeshare resort development firm owned by more than 2,000 company employees. Under its Vacation Village Resorts and Affiliates brand, The Berkley Group has generated a worldwide owner base that exceeds 500,000 families.”

https://www.bbb.org/south-east-florida/business-reviews/timeshare-companies/vacation-village-resorts-in-fort-lauderdale-fl-4003645/reviews-and-complaints

Grandview at Las Vegas, owned by Eldorado/Vacation Village has a BBB rating of B, so maybe this resort is trying to improve its customer service.

https://www.bbb.org/southern-nevada/business-reviews/resorts/grandview-at-las-vegas-in-las-vegas-nv-66863/reviews-and-complaints

Remember: BBB ratings are not a guarantee of a business’s reliability or performance.  BBB recommends that consumers consider a business’s BBB rating in addition to all other available information about the business.

https://www.bbb.org/council/overview-of-bbb-grade/

Inside Timeshare has heard from 227 timeshare member readers, of which 212 allege they were sold a timeshare by deceit and bait and switch. If you need help or just the support of others in your situation, here are some member sponsored self-help groups:

https://www.facebook.com/timeshareadvocategroup/

https://www.facebook.com/groups/DiamondResortsOwnersAdvocacy/

https://www.facebook.com/groups/180578055325962/

https://www.facebook.com/groups/465692163568779/

https://www.facebook.com/groups/1639958046252175/

roundabout

Thank you Irene, at least this is one family that has had a positive outcome.

On Tuesday we will publish another article from Irene, this is titled:

Another Military Family Wages War against Timeshare

Will Bluegreen Honor those whose sacrifice is so great?

This is a short but hard hitting article, it shows the disgusting lengths sales agent will go just to “close a deal”. For those who are ex-serviceman or those who support them, you will find this article will make your blood boil.

That’s it for this week, if you have any comment about this or any other article published, Inside Timeshare invites you to send it in.

If you need help with any timeshare matter, or just need to know which firms you can trust, Inside Timeshare will be pleased to help.

Have a great weekend and see you next week.

friday dog

 

monday

Start the Week

Welcome to the first article of the new week, over the weekend the debate on Los Claveles has seen the opposing views getting rather heated and personal.

One reader who is an owner at Los Claveles has sent in the following response to the article published on 30 November. Inside Timeshare has agreed not to publish the writer’s name and abide by his wishes.

His response is well written, it lays out his view on the situation in a clear and precise manner, giving a very good opposing argument.

Response to The Opposition View

The “Press Release” submitted by Mr Barrow, who is a director of the WimPen Holding Company at Las Casitas and has a long term family association with Mr Pengelly, is deeply flawed and highly questionable regarding the title “Los Claveles Club” which is a misrepresentation of the Official “Club Los Claveles” as defined in the Club Constitution. It takes no account of the unique ownership structure, governance and committee-led stewardship of the resort over many years that has resulted in the resort being financially strong, in sharp contrast to other former WimPen resorts. Without going into all the details, Mr Pengelly’s handling of the sale of the Los Claveles management contract to Onagrup is widely recognised as having been lacking in judgement and consideration for the owners, and disrespectful to their elected representatives in the weeks following the sale. Since then, Mr Pengelly has presided over flagrant abuses of statutes and constitutional frameworks  governing the community of owners at Los Claveles; disregarded a petition calling for his resignation and a vote of no confidence in him at the 2016 Escritura Community AGM, which he refused to accept (as a result of which ALL the owners left the room, except for 3 owner couples, calling the meeting illegal). In addition Mr. Pengelly has practised non-compliance with arbitration orders and awards; turned a blind eye to the physical assault of the Club President and intimidation of Club Members by an Onagrup employee; condoned false accusations of fraud being made by Onagrup to the Spanish Police against the Club President and Chairman; and allowed the unlawful sacking of long term staff members. As a result, his once decent reputation in the timeshare industry is now in tatters.

For the record, the notice of termination given to WimPen for Club Los Claveles on 31 March 2015 was not a “knee jerk reaction” as described by Mr Barrow but a considered decision precipitated by the arrogant attitude of Onagrup to the Club Committee and a flagrant disregard of the Club Constitution regarding rental policy.  It was a unanimous decision by elected committee members in response to the representations made to them by hundreds of concerned owners in the 2 months following the sale to Onagrup, and was also supported by the Escritura owners’ representative. Mr Barrow’s representation of this decision being based on the Club Chairman’s casting vote is wildly inaccurate and misleading. The notice of termination made provision for Club Members to have the final say at the subsequent AGM in June 2015. This was heavily influenced by the contribution of one single owner, a commercial lawyer by profession. He raised such fears in the minds of those attending that they would become personably liable for damages in a breach-of- contract claim from Onagrup that many changed their mind and voted not to risk that eventuality. Otherwise, the vote would have been much more conclusive in favour of the termination. This same owner subsequently changed his views and has since given his support to the committee. Regardless of this the view of Onagrup that it still held the management contract for the resort only came about because it combined the votes of both Club and Escritura owners despite the vote being taken separately. .

The issue here is not with the committee, as Mr Barrow would have owners believe. It is with WimPen, Onagrup and a minority of owners that he is now representing who are not prepared to accept the democratic constitutional process of governance of the resort. They refuse to accept that every effort was made by the Club Chairman to negotiate with Onagrup. even going to the lengths of travelling to Barcelona to meet with Onagrup senior management, prior to the members democratically voting at the SGM of January 2016 to take the dispute to arbitration because Onagrup would not agree to abide by the Club Constitution.

The situation now is that WimPen, i.e. Onagrup, is appealing the arbitration.  And much like Mr Barrow and the self-elected members of the protest action group he is leading, WimPen has taken it upon itself to illegally carry on managing Club Los Claveles without a contract which expired on 2 May 2017, claiming that it has a right to do so while the appeal is being heard. This is not so. Meanwhile, the Club Constitution is being completely disregarded by both Mr Barrow and WimPen in advocating that members should pay their maintenance fees to an illegal agent who has no contract to manage Club Los Claveles. This same agent is sending threatening letters to members who have followed the Constitution and paid their maintenance fees to the Club, refusing access to their accommodation until they pay again and blocking RCI members’ exchanges.

Marilyn Fry, who has a close, long term tie with Mr Pengelly and family, also seeks to mislead by failing to explain that owners who do not follow the Club Constitution and deliberately pay their maintenance fee to WimPen automatically place themselves in conflict with the rules governing their membership of the Club and risk being suspended. However, the Club Chairman has simply reminded the tiny minority who have taken this course of action that they are in breach of the Constitution, that they have an outstanding debt to the Club and that they have therefore placed their membership of the Club at risk. A similar tiny minority have placed themselves in the position of paying their maintenance fee twice, i.e. once to the Club and a second time to WimPen simply because they took it upon themselves not to follow the committee’s instructions, or its process for overcoming WimPen’s illegal demands for gaining access to their Los Claveles accommodation.

Equally misleading is her statement about secrecy and censorship. The committee is bound by the rules of arbitration and is therefore restricted in what it can and cannot communicate to Club Members. No member has been banned from the owners’ website, and the normal rules of moderation apply to Los Claveles social media groups. A tiny number have been suspended for failing to comply with these rules.

The solution that is supported by 90% of the 971 members of Club Los Claveles who voted at the 2017 AGM, a record high number, is for WimPen to abide by the Club Constitution and Arbitration orders and awards, and to withdraw from the management of the Club, along with the Trustee FNTC, a company that was dismissed in 2012 but also refuses to go. This will allow the members to regain control of the Club, appoint their chosen Administrator, Trustee and management service providers, and restore the loyal staff who were wrongfully dismissed under Mr Pengelly’s watch. Only then will the resort return to peaceful normality, and continued prosperity and enjoyment for the owners.

As this article was being prepared for publication, Roger Barrow sent in the following, Inside Timeshare publishes this in order to try and keep a neutral and balanced stance.

LAS CASITAS AGM:

Dear Charles

Its a good news story for those Los Claveles owners who are interested and remember the days of happy AGMs where owners have full control, with healthy, friendly debate and a great get-together in the bar the evening before.

  1. Administrators report – Approved
  2. Accounts for year to Aug 2017 – Approved
  3. Budget and proposed 3% increase in fees ( first increase for 3 years)  – Approved
  4. President re-elected
  5. Reintroduction of Owners’ Representative – Approved
  6. Appointment of Wimpen for a further 3 years – Approved
  7. Bar Franchise offered further 3 year contract – Approved
  8. Charges for more than one WiFi connection – Approved
  9. Acceleration of upgrade of Lounge/Dining room – Approved
  10. Replacement of baths with walk in shower – Approved

Four different resorts approved new 3 year contracts for Wimpen at AGMs this weekend

Regards

Roger Barrow

As you can see, there does seem to be a very wide difference of opinion between the other resorts as well as the differing opinions at Los Claveles. Inside Timeshare will continue to publish articles showing the opposing views, especially those with a clear and precise argument.

As we were preparing for publication, the following news came in from Madrid:

The Supreme Court has once again ruled in favour of a former UK client of Silverpoint, this court has once again ruled as per their previous judgements.

In this case the court has awarded back over £45,000 plus legal fees and interest, also declaring the contract null and void. This is the 77th ruling made by Spain’s highest court and leaves no doubt that the interpretation of law 42/98 is correct.

If you need any help or advice on any timeshare related matter, Inside Timeshare is here to provide it. Contact Inside Timeshare and we will point you in the right direction.

alone

Los Claveles: Chairmans Update

Welcome to the start of the week, back in August we published an update on the goings on at Los Claveles in Tenerife, it was announced that the arbitration process had completed and the judgement was in total favour of the owners and the owners committee. The judgement ruled that the owners committee was legally constituted and has all the rights to run the resort.

Well it would seem that WimPen have not taken any notice, they continue to refuse to allow members onto the resort unless they pay THEM the maintenance fees. They are also sending out threatening letters to the members of the Club stating that they will be suspended if they do not pay. The Chairman Albert Fletcher and the President Carol Parkinson are still being denied access to the resort, even though they have a legal right.

It must also be remembered that WimPen’s contract as the managing company was ended on 3 May 2017, yet they still behave as though they have the contract.

los claveles logo

WimPen have lodged an appeal with the Court of Sessions in Scotland (equivalent to the English High Court). WimPen argue that the Arbitrator is wrong in law coming to the conclusion he did. WimPen maintain that the Club does not have a legitimate Committee so WimPen can not be challenged.

This case will be heard as a “Priority” due to the rules regarding an Arbitration Appeal, hopefully a decision from the judge will be made on how this is to proceed. Also, it has to be said that WimPen have not yet been given permission to appeal, before a full hearing can take place this must happen.

The Club has also instigated a court case in Scotland against FNTC for failing to transfer all documents to Hutchinson as directed in 2012. This followed the Clubs decision to terminate the contract with FNTC as the Clubs Trust Company. We wait to hear when this will take place.

The Chairman, has also made contact with RCI, it looks like RCI has agreed to convene a meeting of all parties at the RCI Headquarters in Kettering. The Club Chairman has agreed and that the Club confirmed it would participate.

This certainly looks like it is the industry just bullying the owners, from what we have seen, the Club has gone out of its way to do things by the book. There is still a long way to go in this sorry tale, these have been long standing and loyal owners of the resort, the way they are being treated is downright despicable.

For the Club Chairman’s full update see the pdf link below. For the full sorry story see the past articles.

Chairmans Update 8 November 2017

http://insidetimeshare.com/los-claveles-return-bad-days-timeshare-tenerife/

http://insidetimeshare.com/los-claveles-battle-goes/

http://insidetimeshare.com/horror-weekend-los-claveles/

Inside Timeshare will bring you the latest news as and when we get it, all we can say is we will publish every story, giving the Club and the Committee our full support in publicising their plight.

If you have any information regarding this matter or any other timeshare problem would like to share with others, contact Inside Timeshare, we are here to give you the facts.

back

 

heavy handed

Los Claveles: The Battle Goes On!

We continue the sad tale of the struggle Los Claveles owners are having with Ona Group over their refusal to allow them access to their own apartments, along with forceful removal of owners from the resort, many of whom are elderly. We also reported in the last article about the abuse that Carol Parkinson, who is also elderly, has suffered, both verbally and physically at the hands of Ona Group staff and security.

Carol is the club President and is in Tenerife trying to help owners arriving and unable to lawfully access their apartments, which many have owned for 30 years. She is working tirelessly under difficult conditions to ensure that they have somewhere to stay.

Inside Timeshare has promised the members of the committee and especially the Chairman Albert, that we will publish their letters and inform the world of timeshare. This is also a warning to other owners whose resort management has been taken over by this company. This is what you can expect.

We start with an open letter from Douglas Goldie a long standing owner and a retired Police officer, it is an open letter to all owners.

los claveles logo

CLUB LOS CLAVELES

Open letter from owner Douglas Goldie

24th May 2017

Dear Owner Friends

I just want to reiterate that Avril and I fully support the committee in what they are attempting to do for us.  Like many we sometimes feel frustrated at the speed of progress and the lack of detailed information but we fully appreciate the reasons information is withheld and realise that we are in this for the long game.

We urge you to keep your faith in the committee and continue your support. We have made donations, loans and paid our 2018 fees to the club in advance.  We are not rich by any means but we have no regrets over our actions so far.  We just wish we were in a better position to do more.

As a retired Police officer having completed 30 years’ service upholding the criminal law I think I am qualified to recognise criminal activity in whatever country it originates and if our meagre contributions help bring some justice to this situation then it has been worth it.

I spent a considerable part of my life assisting and supporting victims of crime and that is exactly what we are right now. Please don’t give in to the people trying to take what is ours.  A lost or spoiled holiday would be devastating to us but would be well worth it to see justice done and we truly believe justice will prevail if we stick together and support our committee and helpers.

Please do not pay your fees to people who wish us all harm. To do so would condone and support their criminal activity against all of us including yourselves.  It is obvious they are trying to divide our loyalty. Let’s not let them. Let’s stick together.

Yours sincerely,

Douglas

In this letter Douglas clearly has a valid point, to pay your annual fees to these people gives them credibility, it will also allow them to claim they are right!

In a response to his letter the Chairman of the Owners Committee, Albert Fletcher has issued this statement.

los claveles logo

CLUB LOS CLAVELES

Club Chairman’s Statement, 25th May 2017

on Douglas Goldie’s Open Letter

 

The Committee would like to take this opportunity to thank Douglas Goldie for his letter and for the support he is giving to the Club, plus all the other members who have contacted me and commented expressing their support.  Members should continue to pay their maintenance fees to the Club, not WimPen, and are encouraged to make payment as early as possible.  

Owners have asked who they should believe when they keep getting two different messages about who is in the right. I say once again, WimPen’s management contract ended on the 2nd May, regardless of the outcome of Arbitration.  We are still awaiting the final decisions of Arbitration despite requests for an early resolution in view of the escalation of events for Club owners at Los Claveles.

Onagrup/WimPen never gives you the whole story but sadly has all the ‘aces’ as it holds our assets and is trying to starve us of the funds to fight for what is ours.  You have to make your own minds up about who you believe to be right in this dispute, considering all of the considerable information made available to you from both sides, but bear in mind your committee members are the only ones who have nothing more to gain than other owners, but much more to lose with all we have invested personally.  

If Members are in any doubt about who to pay their maintenance fees to, please do not contact WimPen sales or administration as they are giving out the opposite advice to the Club, despite WimPen having no contractual agreement to invoice Club Members and collect maintenance payments from them.  Club President Carol Parkinson is available to give any further reassurance. Her phone number is  07931 778886 and her email is carol.parkinson@ntlworld.com

albert sign

Albert Fletcher

Chairman, Club Los Claveles

In his letter Albert confirms that Wimpen/OnaGrup no longer has the right of management, their contract ended on 2nd May 2017. He also states that it is the owners / members of the club who have the most to lose. The initial outlay for your weeks and apartments, the years of paying the maintenance fees for them and the prospect of losing the one thing of importance, the sense of community and family that you have all built up over the years.

Wimpen and Ona Group are not the only ones at fault here, the trust company FNTC is also culpable. In January 2016, the following letter was sent to FNTC, it formally raises a complaint, on their refusal to hand over to Hutchinson Trust Company, who the committee employed to replace FNTC. It also highlights their refusal to allow access to the club members database, this is essential if the committee is to inform all members of the situation.

 

CLUB LOS CLAVELES

21 January 2016

Mr Mike Lightfoot

Managing Director

First National Trustee Company Limited

International House

Douglas

Isle of Man

IM2 4RB

Dear Mr Lightfoot,

Official Complaints Procedure

This complaint is directed against Mr Declan Kenny,  Mr Philip Broomhead and the Company (Trustees)

  1. During the many years of employing the Company there has never been an employee attend any General Meeting of the Club or Committee.
  2. There was a very important meeting of the Club, an AGM held in June 2015 that involved the ratification of the Termination of the Management Contract between the Club and Wimpen/Onagrup.  Mr Kenny was expressly asked to send a representative to this meeting and failed to do so.
  3. The Management Contract was terminated at the Committee Meeting held on 31 March 2015.  This was recorded in the minutes and confirmed by letter from me as Chairman on the same day.  Copies of the minutes and letter are with yourselves.  I spoke to Mr Broomhead,  informed him that I had been elected as Chairman and that we had terminated the Management Contract.  In answer to my question Mr Broomhead informed me that as Chairman I would take responsibility for the common Parts.  This is known as “The Development Owners Association” and sometimes referred to as “Comunidad”.  To date, I as Chairman have not been handed the necessary authority to control the Common Parts by FNTC.
  4. During a meeting with Mr Broomhead, in front of the solicitor acting for the Committee, Mr John Hughes, Consultant, Shakespeare Martineau in Birmingham, Mr Broomhead accused myself and Carol Parkinson (a Committee Member) of lying and actively came to the defence of Onagrup/Wimpen.  There was no justification given other than Wimpen/Onagrup had told him a different story.
  1. Mr Kenny met with the Committee on 13 October 2015.  He promised to open an Escrow account and instruct Onagrup/Wimpen to place all monies belonging to the Club into this account.  This he has failed to do.
  2. At the meeting on 13 October Mr Kenny agreed that the contract with Wimpen/Onagrup had been terminated and he would help the Club in any way he could.  Specifically he agreed that if Wimpen/Onagrup continued to prevent proper access for the Committee to the Club Database (Member Register) then he would allow the Committee to use the FNTC Database.  This he did on one occasion but subsequently refused further access.  This will be detailed later.
  3. At the meeting on 13 October Mr Kenny agreed to ensure that the Club took control of the Common Areas (The Development Owners Association) by giving the votes held by FNTC in respect of Escrituras to the Club Chairman.  This was to be used to replace Mr Pengelly (Onagrup employee) as the President.  For information:  The DOA controlled the Club by holding the bank account and employing all Resort staff.  This position also controlled the appointment of an Administrator, a requirement in Spain.  Mr Kenny has subsequently refused to do this.
  4. Rather than support the Club in removing Onagrup/Wimpen as per the Constitution and democratic decisions reached at an AGM Mr Kenny has openly stated that the best thing for the Club is for Wimpen/Onagrup to continue running things.
  5. A meeting was held in Barcelona between myself, representatives from Onagrup and Mr Broomhead.  The meeting was to see if there was a way forward that could be negotiated to bring this situation to a mutually agreed conclusion.  During this meeting I quickly gained the impression that Mr Broomhead was acting more of a Solicitor on behalf of Onagrup than assisting me in any way.  Mr Broomhead interrupted me on several occasions saying that I had no right to discuss issues (an example of this was around the DOA)
  6. On the one occasion that Mr Kenny sent out a mailing for the Committee there were substantial amounts of mail that was returned.  This included:

Gone away 6 years ago

Undelivered not known at this address

We sold our weeks 10 years ago

We have not owned at Los Claveles for many years

 This will of course mean that many legitimate members were not contacted at all.

 It is the duty of FNTC to keep accurate Member Records.  This is a falling of FNTC

  1.   Mr Kenny and Mr Broomhead have threatened to call a meeting of the Club without

       the consent of the Committee.  They have threatened to actively support the sending

       out of information on behalf of Wimpen/Onagrup although their services had been

       terminated in order to encourage re-instatment and to undermine the Committee.  

       FNTC have no authority to do this

  1.   Mr Kenny has refused to supply the Club (through me Chairman) address labels                Members so that the Chairman and Committee can communicate directly.
  2. Mr Kenny has refused to supply me, as Chairman and the Committee a list of Members and weeks owned.
  3. Mr Kenny has refused to supply a list of all Cancelled weeks that are the responsibility of the Club Committee.
  4. Mr Kenny has refused to supply documentation to prove the validity of Founder Members.  This should have transferred when FNTC took over the Trusteeship.
  5. FNTC is in breach of the Deed of Trust 1.3 stating that they must accept the decisions conveyed to FNTC by the Chairman without right of challenge.  This has been ignored.  (I as Chairman have been ignored).
  6. As Chairman I called a Special General Meeting of the Club (This took place on 16 January 2016 Minutes will follow shortly).  I sent the papers for the meeting to Onagrup, as they had control of our Member Register and instructed them to be sent out without any delay.  It was some time later than Mr Broomhead emailed me and said that Onagrup will not be sending out the papers as the SGM was illegal.  

Mr Broomhead supported this stance without any authority.  Another example of Mr Broomhead appearing to be working for Onagrup.

  1. Onagrup/Wimpen have refused to pay legitimate Club legal expenses and also Committee Member expenses.  This stance has been supported by Mr Kenny and Mr Broomhead who have said that Onagrup will pay these when I, as Chairman, sign a new contract with Onagrup.  Blackmail on behalf of Onagrup by FNTC obviously working closely together against the interests of the Club, Committee and Committee Members.
  2. On 23 May 2012 an agreement was signed By Mr Pengelly (an Onagroup employee) on behalf of the Club Committee with Hutchinson.  This agreement transferred the Trusteeship from FNTC to Hutchinson.  This contract was a result of an earlier AGM decision and substantial notice being given to FNTC.  The delay in transferring all documentation by FNTC is unacceptable.  As recently as last week I am informed by Hutchinson that Mr Kenny is refusing to accept their calls and enquiries regarding this matter.  It is my belief that this delay is deliberate by FNTC in order for them to continue supporting the activities of Onagrup against the wishes of the Club.  This transfer must take place immediately.

Mr Lightfoot,  unfortunately these points only highlight the main issues.  There are other examples but I believe you have enough to be going on with.  I am enclosing minutes of Committee Meetings held on 31 March, 27 July, 1 September 2015 and 5 January 2016.  You will of course have access to all the emails received by Mr Kenny and Mr Broomhead from myself and Carol Parkinson and their replies.  May I also ask that you look at the emails between  FNTC and Onagrup/Wimpen.  I hope that you will agree to safeguard all the emails in the event they are required by a regulator or Arbiter should this matter require progression.

Thank you for considering this matter

Yours sincerely,

Albert E.J. Fletcher

Chairman

Club Los Claveles

So there we have it, what I believe to be the truth in this sorry tale, it is certainly one of David Versus Goliath.

Inside Timeshare urges all owners or club members not just from Los Claveles, but all timeshare resorts to stand behind them and give whatever support you can. It may be you next!

If any readers know anything about crowd funding, which could help the beleaguered committee to raise the funds to fight this, either contact Inside Timeshare and we will pass it on, or contact the committee members direct.

crowd funding

YOUR SUPPORT IS ESSENTIAL!

 

Los Claveles: Is This a Return to the Bad Days of Timeshare in Tenerife?

Trustees: Independent or Part of the Problem?

heavy handed

Los Claveles: Is This a Return to the Bad Days of Timeshare in Tenerife?

Inside Timeshare has received this very disturbing email from two owners of Los Claveles in Tenerife:

From: XXXXXXXXX  XXXXXXXXXXXXX

Subject: Pensioners physically abused at Los Claveles Tenerife

Message Body:

Please see the press release http://tesslimited.co.uk/2017/05/12/war-break-out-at-club-los-claveles/

What was feared in this release has come true and much worse.

Armed thugs have physically and verbally abused at least two people trying to peacefully and lawfully obtain access to their timeshare apartments last Friday. More are arriving today and getting similar treatment.

This e-mail was sent from a contact form on Inside Timeshare (http://insidetimeshare.com)

Los Claveles, is a resort which was originally built by Wimpey Leisure some 30 years ago, most of the owners have been there since that time and are now either pensioners or soon to be so. When it was first sold, the timeshare was split as follows:

The first 15% were sold as Escritura with the remaining 85% as standard timeshare club system, all are fixed week owners with an allocated week and apartment number. This means they have certain rights, which in effect makes them the owners of the resort with the right to employ or dismiss the management company. The right to vote for any increase in maintenance and the right to say how that would be used.

In 2000, with the new timeshare laws coming into effect, the club which is run by the owners committee had the deed of adaptation signed  to comply with the new laws.

June 1998, saw the management buyout from Wimpey Home Holdings, led by Ivan Pengelly. Over the years it grew from strength to strength and was one of the very few which had no issues or complaints, with all owners and members having nothing but good to say about them. Indeed it is one of the few whose membership base has stayed constant.

It would appear that it is what timeshare was all about, having a share in a holiday home with great facilities and a wonderful resort staff. Many of which have been at the resort for many years, creating a very family atmosphere.

Unfortunately that has all change since January 2015, when Wimpen sold the management right to the Ona Group, a Barcelona based timeshare marketing company. This resulted in confrontation with the long standing owners, many being owners for the past 30 years, due to the heavy handedness of Ona Group. They totally ignored the wishes of owners.

The owners through the committee served notice on the ONA Group, as is their right, to terminate the management contract in July 2015. This was taken to arbitration. Ona Group failed to accept it.

The contract to manage the resort on behalf of the owners came to a natural end in May 2017, Ona Group refuses to hand back the clubs assets. It is also known that FNTC (First National Trust Company) were removed by the owners with Hutchinson & Trust Co Ltd, employed in their place. FNTC according to the Chairman of the committee have failed to transfer all title deeds to the new company.

The committee are also being denied access to the members database, so are unable to contact a large number of members to inform them what is going on.

Now we have a very disturbing escalation to the conflict, as shown in the opening paragraph, owners are being removed from apartments and the resort which they have a right to occupy. This is being done in a very heavy handed manner, with Ona’s own security company who are wielding batons forcibly removing owners and denying them access. Many of these are elderly.

The President of the committee has been verbally abused and has also been told she will be sexually assaulted. This has been reported to the police, yet they have done nothing. Apparently Ona Group have made accusations to the police about the Chairman and the President.

Following is a personal message from the President Carol Parkinson, who calls for continued support of the owners and explains who maintenance fees should be paid to:

A Personal Message from Carol Parkinson

I implore all owners to believe in, and support, the committee at this critical point in our fight to ensure the resort stays ours.  On a personal level I cannot bear the thought that all we have fought for, day in day out for two and a half years, could be lost because we lacked the courage to withstand the intimidation from Onagrup and hang on in there for a little longer whilst the strong committee and team of lawyers work in the background to bring this matter to a successful conclusion.

Despite having had four pretty upsetting days dealing with horrendous individuals, who frankly can only be described as the lowest of the low, I am still here in Tenerife and feeling strong (after a good sleep!) and positive.  Please do not let me, the team or the resort down and ‘hang in there’.  After four hours of questioning by a senior police officer on Monday on ‘trumped up’ charges of extortion and fraud the police are now listening and making investigations.  Our legal team here are working hard and we are gaining ground.  But we cannot do it if you do not assist with your financial support.  Please be brave and pay your maintenance to the Club as this is the only legal and rational way forward.  For those of you going to the resort in the next couple of weeks we will ring each of you to speak to you confidentially.  It has to be this way because unfortunately we have those amongst us who continually try to derail our plans by reporting back to WimPen and Onagrup.  If you pay your fees in advance to Onagrup you will have lost your money when that company is removed.  Pay to the Club that is being led by your elected committee members and supporters who are all owners you can trust as they love Los Claveles as much as you and have no interest other than justice.

There are owners who have continued to support WimPen, and who may have betrayed fellow owners with reports back to Mr Pengelly, and are responsible for the spreading of misinformation.   They have refused to see that a hostile takeover of this nature could ever happen – the evidence is now before you and surely even they cannot condone the aggressive and intimidating behaviour owners have experienced this week!

This has happened on other resorts where Onagrup took over and, as our lawyers have told us, the committees concerned with those resorts quickly rolled over giving Onagrup control.  We told you that we believed that Mr Pengelly had ‘sold’ your resort to Onagrup – a resort he did not own.  I have been told repeatedly in the last few days ‘We own this resort – you will do as we say’, ‘You are nothing’,  ‘You are no-one’,  ‘We will set the rules’, ‘You abide by our rules now’.

Onagrup is not solely responsible for what is happening at the resort.  All the appalling actions, verbal abuse assaults etc, over the past few days took place in full view of a senior member of Mr Pengelly’s management team. He stood and smirked as he saw Mr Weller and I assaulted. When asked how he could sleep at night when he saw this happening to owners who had provided him with a good living for years he replied that he had no trouble sleeping because we were in ‘his’ country and we were criminals.  

Even worse Mr Pengelly and other WimPen staff held the meeting that decided to remove Salvador from his livelihood and his home – leaving him homeless.  They also made the decision to remove Sue and Annie from reception. On Saturday Jarra (another member of reception) was sacked at a minute’s notice for ‘apparently’ handing out a key to an owner. They have sacked our maintenance team. There is only one left ‘because we are overstaffed’ and in their words ‘These are our rules now!’  All our loyal staff, who have served us well and with such good grace now are without an income and unable to support their families.

All of the above actions that I have described are shameful and appalling. It is not just our holidays that are being affected, but the people who have helped to make those holidays so enjoyable. Your Los Claveles may look the same, for the moment, but is not the place it was.  It can be again if we can regain control but we need the support of owners like yourselves.

More thoughts to contemplate:

If Onagrup was only taking what belonged to it why didn’t it do it via the law? The reason is it has no legal case!

Why did Onagrup remove all of our lovely staff?  Because they are trying to break us and to take the heart out of our lovely resort!  

Mr Pengelly tried to assure us that he was only doing what was best for our owners and there was nothing to worry about because nothing would change. We did not believe him and how right we were!  

Please owners think longer term and have faith in a committee that has got further than any other committee opposing Onagrup.  The resort is ours – stay with us, pay your maintenance to the Club ahead and do not pay Onagrup or you will lose your money.

This is a very heartfelt plea, Carol is in Tenerife to give help and support to those who are arriving and being refused their right to their apartments. She is ensuring that they do have other resorts to go to.

Following are two statements from owners showing their experiences, it is disturbing reading, their names have been removed in order to protect them..

Statement from Club Member G H, 14th May 2017

This is going to be hard to put into words and I cannot over stress what a disgusting and lying set of people we now have trying to take over our resort .
This is the first week after close down and because the committee expected some kind of confrontation Carol went out to help all owners in any way she could. Over the last few days she has worked tirelessly making sure owners that have been turned away have had some accommodation at other resorts, even going in the taxi with them.
Back at the resort she has been treated with contempt by the new manager who said that Carol was ‘nothing’ and he would be there for the next 25 years telling her to go away (using the F word). She has been continually hounded by the security and sworn at with extremely vile language on many occasions, also outside the resort jabbed in the side by a man in a suit, saying she was low life and pointing to her mouth, threatening to put his manhood somewhere that it should not go this was followed by some other vile threats.
Having reported this to the Police, Carol, at the police station was confronted by a senior policeman asking why she should be believed when she had been reported for crimes in his country. It transpires that the resort management, ONA had sent a many paged document to the police reporting that Carol along with Albert had been stealing money from the resort. (This must be the maintenance which goes into OUR bank account ‘Club Los Claveles Ltd’). Carol is back with the police and lawyers tomorrow (Monday). There is far more but this will do for now.
I must say that Carol is out there, on her own, trying to do a fantastic job for the rest of us owners and I have never heard her on the phone sound so frightened and intimidated by the bullies, tired by the continuous battle and near breaking point maybe by not eating and having a break. This is one lady that really deserves our support in the same way as she is supporting us. There is no financial gain or bathing in glory, just the love of our resort and keeping it under our control for the years to come.

Statement from Club Member R O  

Friday 19th May 2017

I left Los Claveles last night, after a very disturbing week, so I feel I need to be brutally honest with everyone.

Yes I paid my fees for week 20 to Ona because it was before the option to pay the Club was set up.

Yes. I was a ‘fence sitter’.  I didn’t want to get involved with the politics of it all.  I just wanted my holiday.

No I had never been to an AGM or even an owners’ meeting.  (For your information I own 7 weeks spread through the year).

THAT IS ALL GOING TO CHANGE AFTER THE BLATENT INTIMIDATION AND DISGUSTING BEHAVIOUR I WITNESSED FROM ONAGRUP ON THE RESORT LAST WEEK.

I could write pages, and will do so if it will help.  And yes it was me that stood and asked the leading questions at this week’s owners’ meeting.

The outcome of all of this is that I have just paid my maintenance fees for weeks 29 and 30 to the Club.

If I am refused admission to the resort then so be it, I will be camping outside.

This Ona Bulldozer has to be stopped before it is too late. I have pledged my support to Carol in person.

And any committee members reading this, I will do anything I can to help you out.

R O

Here we publish two press releases from the Club Committee at Los Claveles:

los claveles logoCLUB LOS CLAVELES

PRESS RELEASE 10 MAY 2017

For Publication

Elderly British holiday makers threatened with being refused access to their own timeshare apartments in Tenerife

Long term, loyal timeshare owners, many of whom are now elderly pensioners, who are due to arrive on Friday for the start of their annual holiday at Club Los Claveles in the Tenerife resort of Los Cristianos, are being threatened with being refused access to their holiday apartments by Spanish company Onagrup despite having paid for their accommodation. The company took over the management contract for Los Claveles  without any consultation with the owners or their representatives when it bought over WimPen Leisure Management SA in January 2015. It quickly came into conflict with owners due to its heavy-handed, controlling approach, ignoring the wishes of the owners, most of whom have been members of Club Los Claveles for nearly 30 years.  The owners served notice on Onagrup to terminate the management contract in July 2015, subsequently taking the case to arbitration when Onagrup failed to accept this. Controversially, Onagrup has defied interim orders from arbitration and refuses to accept that it no longer has a management role for Club Los Claveles. It continues to use bullying tactics against the owners, and their Club committee members, who have been paying their own legal expenses over the past 2 years to fight to regain control over what is legally theirs.

Onagrup refuses to acknowledge that WimPen’s contract to manage Club Los Claveles came to a natural end at the beginning of May 2017 no matter what the outcome of arbitration , and refuses to hand back the Club’s assets. Unless there is an eleventh hour change of course by Onagrup, the police will be called by the Club President to protect owners from this obstructive intimidation and criminal activity on Friday morning when the first owners arrive to take occupancy of their apartments.

Background Information

The Los Claveles timeshare resort was one of several constructed in the Canary Islands and managed by well-known British company Wimpey Leisure. After a management buy-out in the nineties, the running of these resorts was taken over by WimPen Leisure Management, with former Wimpey Director Ivan Pengelly at the helm.

All seemed to be well for the next 25 years until WimPen was sold to Barcelona-based timeshare marketing company Onagrup in January 2015, and then the trouble began. A major dispute over Onagrup’s handling of the changeover resulted in the owners taking their case for the early termination of WimPen’s contract to arbitration in March 2016. In the meantime, WimPen’s contract expired at the beginning of May 2017, but it has continued to control what goes on at the resort. Snr German Castro, Onagrup’s General Manager has been writing to British owners who are due to arrive on Friday for the start of their annual holiday at Los Claveles to tell them that they will be refused access to their villas unless they pay their maintenance fee to WimPen. Elderly owners are alarmed at the prospect of a private security firm reportedly being hired to escort them from the resort without anywhere to stay despite them having paid their maintenance fees to their new, legally appointed Club Administrator. WimPen is also legally obliged to pay maintenance to Club Los Claveles under its new Administrator but it has refused. So, a major confrontation is set to take place on Friday morning when the Club’s President and long term owner at Los Claveles, Mrs Carol Parkinson, will be defending the owners’ right of access to their timeshare property, supported by the Administrator’s legal representative.

This Press Release has been issued by the Club Los Claveles Owners Committee. For further information please contact:

In the UK: Club Committee Member Roger Lindsay  rogerlindsay123@btinternet.com                                     tel +44 1874 731124 / +44 7399 280302

In Tenerife: Club President Carol Parkinson  carol.parkinson@ntlworld.com                                                                   tel +44 7931 778886

los claveles logoCLUB LOS CLAVELES

PRESS RELEASE 12 MAY 2017

For Publication

Shock Dismissal of Much Admired and Popular Manager and Reception Staff from Los Claveles Timeshare Resort, Tenerife

In an alarming escalation of events at the Los Claveles timeshare resort in Tenerife, long standing Resort Manger Salvador Garcia , and his reception staff Sue and Ann, have been summarily dismissed  from their positions by Onagrup. This follows earlier threats by Onagrup to refuse access to timeshare owners who are due to arrive today for the start of their annual holiday at Club Los Claveles, despite having paid for their accommodation.  The group claims that it no longer has confidence in these long term members of staff, in stark contrast to owners who for years have consistently rated them very highly indeed.  It is reported that Onagrup has replaced them with its own staff, and sent in their own lawyers and a private security firm to manage the resort,  in defiance of Club Los Claveles’ appointment of a new Administrator following the expiry of Onagrup’s management contract at the beginning of this month.

The President of the Club and its legal team are in attendance to make representation to Onagrup and protect owners’ right of access to their property.  

This Press Release has been issued by the Club Los Claveles Owners Committee. For further information please contact:

In the UK: Club Committee Member Roger Lindsay  rogerlindsay123@btinternet.com                                     tel +44 1874 731124 / +44 7399 280302

In Tenerife: Club President Carol Parkinson  carol.parkinson@ntlworld.com                                                                   tel +44 7931 778886

Los Claveles Community of Owners, Asomada de Los Ceres, 38650

Los Cristianos, Tenerife.

 

This is one of the most disgusting stories that we have ever heard in the world of timeshare, it really does look like a return to the bad old days when timeshare in Tenerife was ruled by the likes of John “Goldfinger” Palmer. Everyone thought that those days were over, it would seem not.

Ona Group, who are still using Pengelly to sign everything are no better than those in the past. Not just manhandling owners off the resort but also sacking long serving and loyal staff such as the manager and the reception staff. The manager who also had a home on the resort as part of his job was only given 2 hours to clear out!

Owners are also being told not to even bother trying to contact the Club Chairman Albert Fletcher, as he is in jail for embezzling funds. Inside Timeshare spoke with him today and this UK Magistrate is free and ready to fight this injustice.

Inside Timeshare will publish any information it receives on this subject, including testimonies from those who have suffered the ordeal of this heavy handed  removal or denial of access.

This is a cause which all timeshare owners need to get behind, if any of you know how to start a crowd funding campaign to help fund the legal battle ahead, please contact Inside Timeshare or one of the committee members.

Your support is paramount in this before it escalates and involves other clubs, or even other management companies see it as a license to do what they like.
support

trust02

Trustees: Independent or Part of the Problem?

For many timeshare owners the belief is that the trustees who hold their ownership in trust are independent, but this does not appear to be the case.

 

Information is coming to Inside Timeshare from various sources and our own research, which show there is a possible conflict of interest between one major trustee and the resorts management companies. If this is indeed the case, then there is no independence, the trustees are part of the industry and a conflict of interest does actually exist.

 

One example is the Alanda Club Marbella SL, one of the directors is Phillip Broomhead, who also happens to be a director at FNTC (First National Trust Company). (see pdf links) This club is also part of the Alanda Group of companies which the ONA Group acquired around 2011.

alanda-club-marbella-sl_-datos-identificativos-y-financieros-_-infoempresa

alanda-club-marbella-sl_-identifying-and-financial-data-_-infoempresa

So, when the ONA Group acquired Wimpen, the FNTC would have been duty bound to have advised the owners of the fact that a ”conflict of Interest” had now arisen. With this particular link it does appear that FNTC were no longer “independent trustees”.

 

To the Wimpen owners, it appears that Phillip Broomhead is the link between Wimpen and the ONA Group. The owners committee, from information received wanted a transfer of Trusteeship to another company Hutchinsons, but it appears that FNTC refused to transfer this. This does beg the question, is it because the FNTC do have a “Conflict of Interest”?

 

One source also passed on some of their own research, this led to the “Panama Papers” where they found that the owning companies of their club weeks were: FNTC First Nominee and Second Nominee.

 

FNTC First Nominee Ltd is also listed as a shareholder of Regency International Services Ltd, alongside Mossack Fonseca with the intermediary being First Names Group. As we know the Regency Palace Hotel and Club had to close down for tax reasons, with Luis Comacho being prosecuted for failing to hand over more than 15 Million Euros to the Portugese tax authorities. He has also been barred from holding any directorships.

 

The trustees who hold the owners weeks are FNTC, it is alleged that they were either ignorant of the fact or even complicit in the events which befell this hotel. Apparently many owners have been met with a wall of silence and have not received any help when contacting FNTC. How many of these owners have lost all their rights?

 

FNTC also have an involvement with Club Jardine del Puerto in Puerto Banus, with many problems befalling the owners at this resort. This particular resort has caused the owners many, many years of grief, it was also the subject of an investigation by the late Sandy Grey.

 

One incident is when the founding members tried to stop an AGM, with Phillip Broomhead of the FNTC representing the founding members, claimed that the AGM was illegal. This followed the move by Declan Kenny also of FNTC, to persuade the club to sell back around 650 weeks to one of his suggested enterprises. FNTC also backed the sale of weeks as “floating” and as we know under Ley 42/98 of the Spanish Timeshare Act, these weeks are illegal. This has been verified on several occasions by the Spanish Supreme Court in Madrid, the highest court in the land!

 

It must also be pointed out that the present CEO of the RDO is one Paul Gardner Bougaard, who was also once a director of FNTC. FNTC are also an RDO member and therefore should be subject to the code of conduct and ethics. Somehow this does not look like the case.

 

So the question of independence of the trustees from the industry, does look very dubious indeed, it is up to you the reader to decide. But do bare in mind this is the first of many articles on this subject, as more information comes to light through research and information received it will be published here.

 

If you have any information on this article or any timeshare matter or have any questions, contact us through the contacts section.

breaking news

Supreme Court Rule for 2nd Time on Fractional: CLA Press Release.

Late on Friday 30 September 2016, Canarian Legal Alliance issued a statement on the latest Supreme Court victories. This involved two rulings by the Supreme Court on another aspect of how timeshare is sold. (see the full release below).

 

This particular ruling confirms what many believed was in fact timeshare, but was being sold as something completely different and outside the scope of the timeshare laws, Fractional. Inside Timeshare ran an article: Fractional: What is it? Back in April.

 

http://insidetimeshare.com/fractional-what-is-it/

 

In this article it was called a “Pig in a Dress”, mainly because sales staff were promoting it as property and an investment, also as a way out of your timeshare contracts. In the article it explained what fractional ownership actually is, genuine fractional is a real estate transaction, usually by a group of people going into partnership to purchase a property outright and sharing the costs. This type of transaction would be done following normal real estate practices, it would also follow the trends of property prices, either up or down, allowing the owners to sell on the open market as normal. The other aspect is that you would know the other owners, you would then be bound with them in a contract covering; use, costs and the rules governing the sale of any given share. In the model sold by the timeshare companies, it is doubtful if you would ever meet with the other owners of your fraction, let alone know them.

pigdress
I am not timeshare, I am fractional!

In the first case to be ruled on by the Supreme Court, Puerto Calma Holiday Club Finland, had sold a so-called fractional to a client, implying that they were purchasing a share in the property. They even had the contracts signed in the presence of a notary, just to add credibility to the deal. The Supreme Court ruled in this instance this was not a property sale but did in fact come under timeshare regulations, therefore it is timeshare, awarding over £235,542 to the client. Under these laws it is illegal to sell any timeshare product (including fractional) as an investment.

 

Now remember, the First National Trust Company, who are the trustees of the Club la Costa Fractional Property Owners Club, did state and warn CLC in 2012, that fractional should never be sold as an investment. This clearly shows that even FNTC believed that fractional fell into the scope of timeshare laws. (See link below)

 

http://clcmembers.blogspot.com.es/

FNTC

The second ruling has come against another Gran Canarian operator, Palm Oasis, Tasolan SL, in Maspalomas. In this ruling the court rejected the belief that suggesting to timeshare owners they actually own a share in the property is designed to evade the timeshare laws. This then leaves the purchaser without any legal protection. The court in this instance awarded the client over 20,000 euros. They also reaffirmed that contracts over 50 years (perpetuity) are illegal.

tribunal supremo

This latest news now puts into doubt the legality of other fractional contracts sold by other operators, including Club la Costa and Diamond. Is this the start of a new round of litigation, putting another black mark on the timeshare industry.

 

The question also needs to be asked, why has the RDO not made any comment of this in the past?

 

Why have the RDO not warned their members that they may be selling another product illegally?

 

The simple answer is the RDO is paid by the industry and works only for the industry. After all an RDO member the FNTC did warn about this along time ago. Did the RDO just choose to ignore their advice?

 

CLA Press Release Friday 30 September 2016  CLA Logo

Good Afternoon

SUPREME COURT VICTORY AGAINST PALM OASIS

 

Canarian Legal Alliance is proud to be able to announce another ground breaking decision of the Supreme Court in clarifying and declaring illegal the modus operandi of Palm Oasis and resorts using similar schemes.

This company in common with, for example, Puerto Calma in Gran Canaria, in the name of timeshare sold their clients an indivisible share of a property and suggesting that timeshare laws did not therefore apply, leaving their purchasers unprotected.

 

This sentence clearly rejects the notion that suggesting to timeshare owners that they actually own a fraction of a property evades timeshare laws. Implying that the clients are, in any way, owners of the property is strictly forbidden in law

 

The justices of the highest ranking court in Spain have no doubt that timeshare law does and must apply and accordingly declared our clients contract null and void on the basis that its term exceeded the 50 year maximum. The clients were awarded over 20,000 euro.

 

With this ruling the Supreme Court has maintained their consistency in finding “in perpetuity” contracts to be illegal, just as they pronounced 18 months ago as doctrine in favor of another Canarian Legal Alliance client. Since that time we have celebrated numerous victories at all levels of the Spanish legal system and against a whole range of different timeshare resorts. Our law firm is not only the first one, but still the only one to have brought timeshare matters before the Supreme Court for discussion.

Canarian Legal Alliance is the market leader in payouts to unhappy timeshare owners with over 2 million Euros already PAID BACK to our clients. If you would like to receive expert advice on the legality of your timeshare contract do not hesitate to contact us, the law firm who made legal history in Spain.

 

CLA  wishes you all a very nice relaxing weekend

http://www.canarianlegalalliance.com/cla-supreme-court-success-against-puerto-calma/

http://www.canarianlegalalliance.com/supreme-court-victory-against-palm-oasis/

If you need any information in this article or have any question about any timeshare matter, Inside Timeshare will be pleased to help. Contact Inside Timeshare and we will get back to you.