Holiday-makers have been left thousands of dollars out of pocket — and others stranded overseas — following the collapse of an Australian travel company, prompting warnings from industry experts about the risks of booking through unaccredited agents.
Traveldream, an exclusively online operation based in Melbourne, has entered administration, causing customers to desperately seek refunds for their prepaid vacations.
Australian Travel Deals Pty Ltd, which is the official registration of the firm, offered reduced-price flights, cruise trips, and global tour packages.
It belongs to Melbourne entrepreneur Christopher Banson, who additionally runs another travel company called Saltwater Hotels and Resorts; this separate entity continues to operate normally without impact.
The ABC has reached out to Mr Banson for his input.
Traveldream stopped operating in late April, however, information about the collapse is just beginning to reach some clients, with many claiming they were not notified.
Queensland nurse Donna Lamberth was among those individuals.
Ms Lamberth from Injune, located in the western part of the state, had reserved what she referred to as the “journey of a lifetime” — an almost $19,000 vacation for herself and her spouse, Warren Banks.
Their itinerary included traveling from Vancouver to an Alaskan cruise, crossing over the Rocky Mountains, then continuing onwards to Las Vegas and the Grand Canyon.
It was not just a vacation—it marked a significant shift in my life personally.
She mentioned, ‘My brother left us last year, and it made me realize that life is fleeting.’
I vowed to myself that I would embark on a major journey each year from this point forward.
Ms Lamberth reserved her vacation with Traveldream following favorable testimonials she came across.
She believed she had settled the payment for her vacation completely.
However, at the beginning of this month, she found out that apart from the primary international flight — which was eventually credited back to her — none of the other expenses had been settled. This included the Alaskan cruise, all local transportation, lodging, and excursions, which remained unpaid.
“I was completely exhausted,” she stated.
I did everything correctly. My policy was comprehensive. It was fully paid for. I heeded their guidance. Now, unfortunately, we find ourselves starting from scratch again.
Seniors face $12,000 in expenses out-of-pocket
This month, Chris Broughton along with his spouse Viki had planned to mark her 70th birthday with an extraordinary journey, visiting Yellowstone National Park, traversing the Canadian Rockies, and sailing through Alaska.
Rather, the Sydney retirees found themselves over $12,000 short when they learned that their prepaid trip with Traveldream was never actually reserved.
Even though they have travel insurance from Allianz, the couple has found out that it does not cover losses due to agency bankruptcy.
“We haven’t heard anything from the travel agency whatsoever — it really feels like a punch in the gut,” Mr Broughton stated.
My spouse is feeling quite downcast. We merely wish for some return so we can begin anew.
A private Facebook group created by customers affected by the issue has expanded to over 150 members.
The administrators for the company, McLeods, have stated that approximately 75 clients have reported issues up until now; however, this figure is anticipated to increase.
The managing director, Bill Karageozis, stated that preliminary assessments indicate customers might be due over $1 million. He also mentioned that the company’s prospects will be deliberated upon at the close of this month.
The peak body states that Traveldream lost its accreditation.
The collapse has led to fresh warnings being issued by the Australian Travel Industry Association (ATIA).
CEO Dean Long stated that Traveldream had its certification revoked in March 2020 due to issues regarding its management and financial situation.
“He stated that they didn’t furnish us with the necessary details required for maintaining accreditation within our program. As a result, they were promptly expelled from the scheme,” Mr Long mentioned.
Last year, we turned down 16 percent of businesses that applied for accreditation under the ATIA.
Australian companies strictly adhere to local consumer laws; however, issues often arise when shoppers turn to secondary or tertiary websites focused solely on offering the cheapest prices.
