Customers of Asia-Euro Holidays advised to contact airlines for refund

SINGAPORE - Several airlines have said they are prepared to consider refunding passengers affected by the closure of travel agency Asia-Euro Holidays two months ago.

According to a statement from the Consumers Association of Singapore (Case), 91 complaints involving $224,607 in claims have been lodged so far.

"Ticketed consumers are advised to contact their respective airlines (if known) to make alternative travel arrangements or request a refund," said the consumer watchdog in a news release. "Consumers who have difficulty in doing so may wish to approach CASE for assistance."

Case said it also wrote to the National Travel Association of Travel Agents in Singapore (NATAS) in June, requesting their assistance in allowing affected consumers to transfer their tour packages to member companies at a discounted rate.

In May, the Singapore Tourism Board (STB) revoked the licence of Asia-Euro Holidays and urged affected consumers to contact the agency about their booking or refund.

Case has received more than 500 complaints from consumers on the sudden closure of travel agencies.

It has proposed to STB to consider an amendment in the Travel Agents Act to mandate that all travel agencies provide a security bond "pegged at a certain percentage of the agency's yearly revenue", to protect consumers.

"With a security bond in place, consumers who had previously purchased a travel package would at least be able to claim for part of the amount paid," explained Mr Lim Biow Chuan, president of the association.

candicec@sph.com.sg