SANFORD, Fla. -- Hotel Distribution Network (HDN), a company here
that sold hotel inventory online, shut down, leaving consumers,
travel agencies and properties holding the bag.
In addition to selling directly to consumers via several Web
sites, HDN operated T-Rez.com, a site for travel agents that
promised a 10% commission.
Susan Counts, supervisor of mediation and enforcement at the
Florida division of consumer services, the state agency that
oversees the Florida Sellers of Travel act, said the company had
informed her office that it had shut down June 18. Around that
time, Counts said, HDN stopped responding to complaints.
It is not clear whether HDN continued to accept reservations
after June 18 or whether the complaints were in response to
unhonored reservations made before that date. The Web sites --
HDN.com, NewYorkhoteldiscounts.com and others -- are no longer
functional. The company's published telephone lines have been
disconnected.
The consumer services division conducted an on-site inspection
of the company's office this month and found it vacant.
One of HDN's principals, chairman Adrian Coppieters, is believed
to be in Brazil, Counts said, where the company operates a
still-functioning Portuguese-language site.
Counts said her department received unconfirmed reports that HDN
president George Demakos is still in the U.S.
Consumers have 120 days after the discovery of their loss to
file a complaint with the consumer services department, which can
be done online at https://myfloridalicense.com/entercomplaint.asp?SID=.
The bond required by Florida law, however, is only $10,000, and
refunds will be made on a first-come, first-serve basis.
If HDN ultimately files for bankruptcy -- which apparently it
has not done -- consumers, travel agents and hotels can become
unsecured creditors.
Consumers holding future reservations made through HDN should
notify their credit-card companies.
To contact reporter Michele McDonald, send e-mail to [email protected].