MEPs tighten the net round directory fraudsters

3.36.00pm GMT Thu 18th Dec 2008

After years of campaigning the European Parliament has overwhelmingly adopted a devastating verdict against business directory scams like the European City Guide which target businesses all over Europe. MEPs demand that existing EU law on misleading advertising be tightened and enforced, with victims able to get help from a clearly identifiable authority so that these scams can be addressed more directly and effectively.

These scams consist of sending out millions of mailings indiscriminately to small businesses offering to update their details in business directories or city guides. But then victims are hit with a hefty invoice, typically 1000 Euros, claiming that they had agreed to an expensive contract hidden in the form. There are estimated now to be hundreds of thousands of victims in Europe.

London's Liberal Democrat MEP Sarah Ludford, said:

"The message from the European Parliament is clear: scams like the European City Guide which have hit a number of my constituents are unacceptable and illegal. As small businesses struggle to cope with the recession, it's helpful that the EU is yet again stepping up to the plate to deliver security from rip-offs. "

"The European Commission and Member States now need to help MEPs get the stronger laws on the statute book that will finally ensure that small business owners in London and the whole of Europe are protected from this daylight robbery.