Man Jailed for £400,000 Cruise Scam That Defrauded Hundreds

A gavel striking a sound block, symbolizing justice and legal authority in a courtroom setting.

A 56-year-old man from Luton has been sentenced to five years in prison after orchestrating a fraudulent cruise scheme that scammed over 184 individuals worldwide out of more than £400,000.

Richard Lester, operating under the company Cruise Direct UK Ltd, deceived customers by selling fake cruise vouchers and ‘cruise miles’ between 2009 and 2014.

How the Scam Worked

Lester launched an online platform called ‘Cruisevoucher’, allowing customers to book cruises up to three years in advance. However, instead of securing bookings, he used a Ponzi-style scheme, funnelling money from new bookings to cover earlier ones.

In 2011, he rebranded the website as ‘Cruisemiles’, promoting an exclusive system where customers could buy ‘cruise miles’ to redeem against discounted cruise holidays. He also recruited agents to sell these miles, promising lucrative commissions. However, changes in terms and conditions left many customers unable to redeem their miles, often pressuring them into purchasing more with no guarantee of ever receiving a cruise.

Victims Left Out of Pocket

The fraudulent scheme impacted customers across the UK, USA, Australia, Canada, Japan, Germany, and New Zealand. Many victims spent thousands of pounds on promised cruises that never materialised.

Following an extensive investigation, authorities uncovered the extent of the scam, leading to Lester’s conviction for fraudulent trading and money laundering.

Sentencing and Compensation Efforts

At Chelmsford Crown Court, the judge condemned Lester’s actions, highlighting the severe financial and emotional distress caused to victims. It was revealed that he used the money to fund a lavish lifestyle and gambling addiction.

A further hearing has been scheduled to assess Lester’s assets, with the aim of compensating those affected.

Protecting Yourself from Travel Scams

This case is a stark reminder of the importance of vigilance when booking cruises. Travellers are advised to conduct thorough research, verify the legitimacy of travel companies, and be cautious of deals that seem too good to be true.

Always book through reputable travel agencies or directly with cruise lines to avoid falling victim to similar scams.

Cruise Essentials logo

Going on a cruise?
Check out our cruise essentials

Cruise Essentials logo

Going on a cruise?
Check out our cruise essentials

Comments

Leave a Reply

Your email address will not be published. Required fields are marked *