{September 12, 2005} VICTORIA – The Business Practices and Consumer Protection Authority (the Authority) has issued a Compliance Order and a Direct Sales Prohibition Order against David Bertolo, Healthy Air Distribution Inc. (BC0693752) and MG1 AirTech. The company has been ordered to stop engaging in direct sales in British Columbia for five years, to cancel contracts and to make refunds and provide compensation to specific consumers.

The company had been selling vacuum cleaners directly to consumers using contact lists generated through in-house staff. “Direct sales” are contracts that are entered into in person at a place other than the supplier’s permanent place of business, such as contracts entered into in consumers’ homes.

Based on complaints received, the Authority initiated an investigation which found that:

• The company used misleading tactics, such as informing consumers that they had won a gift, to gain access to the consumers’ homes, when the actual reason was to sell vacuums.
• Sales people used undue pressure to affect sales, and in some cases remained in consumer’s residences for up to three hours.
• Information required on direct sales contracts by the Business Practices and Consumer Protection Act and the Consumer Contract Regulations was often missing.
  

If consumers have concerns about contracts that they entered into with this company, please contact the Authority at 1-888-564-9963.

The Business Practices and Consumer Protection Act and the Consumer Contract Regulations include consumer rights with respect to direct sales contracts. You have the right to cancel a contract within 10 days of receiving a copy of the contract. You do not need a reason to cancel. If you do cancel the contract, the supplier has 15 days to refund your money. Further, a direct sales contract is not binding if the supplier does not give you a copy of the contract at the time the contract is entered into, or if the supplier requires you to make a down payment in excess of the lesser of $100 and 10% of the total price,. You may also cancel a contract if the contract does not contain the information required under the legislation.

For more information on protecting yourself from frauds and scams, visit the Business Practices and Consumer Protection Authority at the Ethics Expo on Thursday, September 15, 2005 from 9:00 am to 6:00 pm at the Victoria Conference Center, 720 Douglas Street, Victoria, BC or contact the Authority at 1 888 564-9963.