FOR IMMEDIATE RELEASE:  October 2, 1989


         FTC CHARGES FLORIDA TRAVEL CLUB WITH DECEPTIVE
             MARKETING OF ITS TRAVEL-RELATED SERVICES


     The Federal Trade Commission has charged in a complaint
filed in district court that three Florida companies deceptively
marketed their travel-related services, failed to provide refunds
to consumers, made unauthorized credit card charges and violated
the Truth-in-Lending Act.  The FTC has asked the court to grant a
temporary restraining order, issue preliminary and permanent
injunctions, and order the defendants to pay consumer redress. 
The U.S. District Court for the Middle District of Florida has
granted the temporary restraining order, which freezes the
defendants' assets, while the other issues are being litigated.

     The complaint names Vacation Travel Club, Inc. (VTC), World
Travel Club, Inc., World Cruise Club, Inc., and Harry Powell, Jr. 
Powell is president of the three corporations.

     VTC sells "vacation packages" to consumers throughout the
U.S. and Canada.  The company claims that its vacation packages
entitle the purchaser to prepaid accommodations or discounts on
lodging, meals, rental cars and entertainment attractions in
Florida and the Bahamas.  VTC markets these packages by postcard
announcements that a "Fabulous Florida Vacation" is being held
for the consumer by the "Contest Division of Vacation Award
Center, Inc."  The postcards instruct recipients to call a toll-
free telephone number for information.

     According to the complaint, the defendants misrepresent to
consumers that they are offering valuable travel-related services
at no charge as a prize or award.  In addition, defendants
misrepresent to consumers that their credit card numbers were to
be used for "verification" or "validation" purposes and then
proceed to charge their credit-card accounts for the purchase of
the travel package.  In many instances, the defendants bill
consumers' credit-card accounts for the initial purchase or for
annual extensions of their vacation packages without
authorization from the consumers.
     



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The complaint also charges that the defendants misrepresent
that consumers who comply with certain requirements, typically
including return of the VTC vacation package, would receive a 
full refund of the purchase price of that package.  Despite its
promises, VTC frequently fails to provide refunds to purchasers
who have complied with all stated requirements for a refund.

     Purchasers also found that the VTC vacation packages did not
always entitle them to discounts and travel services of the type
or quality represented by VTC and that additional fees may have
been required to use the vacation package.

     In addition, according to the complaint, the companies
violated the Truth-in-Lending Act by failing to transmit credit
slips to consumers' credit card companies within the required
time limit, when consumers cancelled their purchases.

     The  Commission's complaint asks the court to issue a
permanent injunction barring the companies and individual from
violating the FTC Act and Truth-in-Lending Act in the future and
to order the companies to make refunds to consumers.  The court
granted the Commission's motion for a temporary restraining order
on September 25.

     Vacation Travel Club, Inc., World Travel Club, Inc., and
World Cruise Club, Inc. are based in Lehigh, Fla.

     Consumers with complaints against any of these companies or
information about their practices, are encouraged to call the FTC
Vacation Travel Information Line, 202-326-3184.

     NOTE:  The Commission files a complaint when it has "reason
to believe" that the law has been or is being violated, and it
appears to the Commission that a proceeding is in the public
interest.  The complaint is not a finding or ruling that the
defendant has actually violated the law.  The case will be
decided by the court.

     During the investigation leading to the complaint, the FTC
received assistance from the Offices of the Attorney General for
the States of Tennessee and Florida, the Better Business Bureau
of Southern Florida, and the Florida Department of Agriculture
and Consumer Services.



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Copies of the complaint are available from the FTC's Public
Reference Branch, Room 130, 6th St. and Pennsylvania Ave. N.W.,
Washington, D.C.  20580; 202-326-2222; TTY 202-326-2502.

                              # # #

MEDIA CONTACT:      Brenda A. Mack, Office of Public Affairs,
                    202-326-2182

STAFF CONTACT:      Jean Noonan, Bureau of Consumer Protection,
                    202-326-3224

                    Richard Sauer, Bureau of Consumer Protection,
                    202-326-3144



(FTC File No. 882-3268)


(Civil Action No. 89-219-CIV-FTM-13C)



(VTC)