0:00:02 > 0:00:04Con men, fraudsters, scam artists, call them what you want,
0:00:04 > 0:00:06the fact is they're after our money
0:00:06 > 0:00:13and last year they took an estimated £3.5 billion off the British public.
0:00:29 > 0:00:30Coming up...
0:00:30 > 0:00:34how looking for work could put you at the mercy of the con men...
0:00:34 > 0:00:39When you look back and think about it, it's obvious that it's a scam.
0:00:39 > 0:00:42I was just too pleased to have a job to realise it at the time.
0:00:42 > 0:00:44..and the million pound scam
0:00:44 > 0:00:47that targeted people selling their car...
0:00:47 > 0:00:51I was ringing this phone number and it just rang and rang and rang
0:00:51 > 0:00:56and I got no joy, so I started thinking, "Is this right?"
0:00:56 > 0:00:59I'm here to tell you what the con men don't want you to know -
0:00:59 > 0:01:03how to stay ahead of the game and not get scammed.
0:01:07 > 0:01:09Most of us need a job.
0:01:09 > 0:01:12It's no surprise, therefore, that there's a range of scams
0:01:12 > 0:01:14which are based around employment.
0:01:14 > 0:01:17They target people who want to work.
0:01:17 > 0:01:20In other words, people who are trying to do the decent thing
0:01:20 > 0:01:22and provide for their families.
0:01:22 > 0:01:26The sort of people who really can't afford to lose money to a scam.
0:01:26 > 0:01:30So with hundreds of thousands out looking for work,
0:01:30 > 0:01:32employment scams are a serious concern
0:01:32 > 0:01:35to organisations like the National Fraud Authority.
0:01:37 > 0:01:39The fraudster is playing on the fact
0:01:39 > 0:01:42that you've been out of work for a time,
0:01:42 > 0:01:44you're desperate to get a job,
0:01:44 > 0:01:47you want to work, you need to pay the bills.
0:01:47 > 0:01:50There are a variety of employment scams
0:01:50 > 0:01:54and some of the jobs on offer sound quite attractive,
0:01:54 > 0:01:56as young mum Kara has found out to her cost.
0:01:58 > 0:02:02She lives just outside London with her three-year-old son Toby.
0:02:02 > 0:02:05Sadly, looking for work has brought Kara into contact
0:02:05 > 0:02:08with some devious con men.
0:02:10 > 0:02:13- Hello, Kara. I'm Matt. How are you doing?- Hello.
0:02:14 > 0:02:17Kara, what's your situation right now?
0:02:17 > 0:02:19I'm a single parent.
0:02:19 > 0:02:21I have got a little three-year-old boy.
0:02:21 > 0:02:26I'm on benefits, although I would really like to work.
0:02:26 > 0:02:31Since Toby was born, Kara's had to survive on income support.
0:02:31 > 0:02:33As well as finding it hard to make ends meet,
0:02:33 > 0:02:37she misses the independence of having her own job.
0:02:37 > 0:02:42Kara decided to start looking for work in November 2010
0:02:42 > 0:02:46and she had no idea that she would end up on the radar of the scammer.
0:02:46 > 0:02:50The first stage obviously is recruitment.
0:02:50 > 0:02:51The fraudster has to recruit you.
0:02:51 > 0:02:55They can advertise in legitimate publications
0:02:55 > 0:02:58or they can advertise in job centres.
0:02:58 > 0:03:01Where do you go looking for jobs at the moment?
0:03:01 > 0:03:06I always look on Directgov, which is the link to the Jobcentre website.
0:03:06 > 0:03:10I always really only stuck to that and the local paper.
0:03:11 > 0:03:14The Jobcentre section of the Directgov website
0:03:14 > 0:03:17features thousands of adverts for work,
0:03:17 > 0:03:22and in March 2011, a job appeared there which caught Kara's eye.
0:03:22 > 0:03:27It was for an online auction assistant working on eBay.
0:03:27 > 0:03:31And I used to be obsessed with eBay, I would buy and sell on it,
0:03:31 > 0:03:33so I thought, "This is really good."
0:03:33 > 0:03:37The company offering the job said they were an electrical retailer
0:03:37 > 0:03:40and wanted someone to sell items for them on the internet
0:03:40 > 0:03:43using the auction website eBay.
0:03:43 > 0:03:45It was perfect for single mum Kara
0:03:45 > 0:03:47because it was work she could do from home.
0:03:47 > 0:03:49You saw the advert,
0:03:49 > 0:03:52- you got in your application. - Yeah.- What next?
0:03:52 > 0:03:55An out-of-office reply came back
0:03:55 > 0:03:58saying they'd received so many applications.
0:03:58 > 0:04:01It sounded as if the job was oversubscribed
0:04:01 > 0:04:03and Kara thought she'd missed the boat,
0:04:03 > 0:04:06but there was one glimmer of hope.
0:04:06 > 0:04:11They sent a form asking more about the feedback you had on eBay.
0:04:11 > 0:04:15What Kara didn't know was that this was all part of a clever process
0:04:15 > 0:04:18to convince her she was applying for a normal job.
0:04:18 > 0:04:22It was pretty much the same as every other application
0:04:22 > 0:04:24apart from the questions regarding eBay -
0:04:24 > 0:04:28"What's your feedback? How have you used eBay before?
0:04:28 > 0:04:31"What type of things have you sold on eBay?"
0:04:31 > 0:04:34Kara felt she was well qualified for the position,
0:04:34 > 0:04:36but having applied for numerous jobs
0:04:36 > 0:04:39and heard nothing back, she didn't want to get her hopes up.
0:04:39 > 0:04:41PHONE RINGS
0:04:41 > 0:04:45But two days later, the company called to offer her the job.
0:04:45 > 0:04:50- How did that feel?- I was over the moon. I was absolutely over the moon.
0:04:50 > 0:04:52What she didn't know
0:04:52 > 0:04:55was that she was now in the clutches of the con man.
0:04:55 > 0:04:59You've just got a job. You want to work.
0:04:59 > 0:05:01You've got to get that money in
0:05:01 > 0:05:05and you're not going to question what they ask you to do.
0:05:05 > 0:05:07What was it you were doing?
0:05:07 > 0:05:12Just listing their products on eBay and answering questions buyers have,
0:05:12 > 0:05:19taking the money from the buyers and then sending it to the company.
0:05:19 > 0:05:21So you are a middle person?
0:05:21 > 0:05:25- Yeah.- You never see the products?- No.
0:05:25 > 0:05:28Did you get any contract or did you get anything that said,
0:05:28 > 0:05:31"These are your terms and conditions of employment."
0:05:31 > 0:05:33I received one e-mail
0:05:33 > 0:05:36saying what the money would be, 10% commission,
0:05:36 > 0:05:39and what the hourly rate would be,
0:05:39 > 0:05:42but it was on a week's trial.
0:05:42 > 0:05:45She said, "We'll receive all the information after that week."
0:05:45 > 0:05:48The trial period gave the con men a window
0:05:48 > 0:05:50in which to carry out their scam
0:05:50 > 0:05:54and in another clever move, they told Kara that during this trial,
0:05:54 > 0:05:58she would need to use her own personal eBay account.
0:05:58 > 0:06:01Although warning signs were starting to appear,
0:06:01 > 0:06:04Kara had no reason to question what she was being told.
0:06:04 > 0:06:06I was just too pleased to have a job
0:06:06 > 0:06:10and the only person that did say something was my stepdad.
0:06:10 > 0:06:14- What did he say to you?- He said, "This sounds too good.
0:06:14 > 0:06:16"This is definitely a scam."
0:06:16 > 0:06:19I said, "No, it's not because it's advertised on Directgov,
0:06:19 > 0:06:21"it can't be a scam."
0:06:21 > 0:06:23- And you've ignored him?- Yeah.
0:06:25 > 0:06:28What happened next? You've got to start doing your job.
0:06:28 > 0:06:31Yeah. I said to her on the Friday I can start today
0:06:31 > 0:06:34and she said, "I'll send you over some listings
0:06:34 > 0:06:38"put them on eBay, and then e-mail me back with the listing numbers."
0:06:38 > 0:06:41Kara was asked to sell a variety of items
0:06:41 > 0:06:45including hands-free mobile phone kits for about 100 quid.
0:06:45 > 0:06:49She got back to me on the Saturday and said, "That's all great,"
0:06:49 > 0:06:52and she asked me every day to give her feedback
0:06:52 > 0:06:55on how many people were watching the product,
0:06:55 > 0:06:58has anyone bid on it and has anyone won it?
0:06:58 > 0:07:01Over the next few days,
0:07:01 > 0:07:05Kara was suddenly bombarded with calls from the company.
0:07:05 > 0:07:08Every time my phone rung, it was her saying, "How they doing?"
0:07:08 > 0:07:12At one point I said, "I thought I only had to give you a daily update."
0:07:12 > 0:07:16She just said, "I'm just checking everything's all right.
0:07:16 > 0:07:20And then on the Tuesday, I think it was, um,
0:07:20 > 0:07:22five of the products had sold.
0:07:22 > 0:07:27She said, "If you can now transfer the money into our bank account."
0:07:27 > 0:07:31Kara collected a total of £400 from her customers
0:07:31 > 0:07:34and transferred this money straightaway to the company.
0:07:34 > 0:07:37All she had to do now was to wait for them to confirm
0:07:37 > 0:07:40they posted the hands-free kits to her buyers.
0:07:40 > 0:07:43You think the goods have been dispatched.
0:07:43 > 0:07:46The dispatchers will give you an invoice number.
0:07:46 > 0:07:52She promised me she would give me the tracking numbers
0:07:52 > 0:07:54to give to the buyers, and suddenly,
0:07:54 > 0:07:57when I gave them the money, then no contact at all.
0:07:57 > 0:08:00Kara tried calling, but the company didn't answer their phone
0:08:00 > 0:08:03and the penny was slowly starting to drop.
0:08:03 > 0:08:07With a lot of these scams, there's a tipping point for people
0:08:07 > 0:08:09when they suddenly realise
0:08:09 > 0:08:12and they understand what's going on,
0:08:12 > 0:08:16- or most of what is going on.- Yeah. - When was that moment for you?
0:08:18 > 0:08:21It was probably when she sent me that e-mail and I said,
0:08:21 > 0:08:25"No, I'm not having anything until I get the tracking numbers."
0:08:25 > 0:08:27When I got no response to that,
0:08:27 > 0:08:30I thought, "God, you're so stupid, this is a scam."
0:08:30 > 0:08:33OK, what happened after that, then? You said no to her.
0:08:33 > 0:08:35I was ringing her every ten minutes.
0:08:35 > 0:08:40I know that sounds excessive, but I had the buyers on my back saying,
0:08:40 > 0:08:42"I'm going to go to the police about you.
0:08:42 > 0:08:45"I want my money back." I was getting threats from them.
0:08:45 > 0:08:47And I just thought,
0:08:47 > 0:08:52"There's nothing I can do apart from just constantly ring."
0:08:52 > 0:08:54The company refused to answer Kara's calls or e-mails
0:08:54 > 0:08:59and she now realised she had to face the music from the innocent buyers
0:08:59 > 0:09:01she'd unwittingly drawn into the scam.
0:09:03 > 0:09:04There are two victims here -
0:09:04 > 0:09:08there's you that hasn't got the job that you thought you had
0:09:08 > 0:09:12and also the innocent buyer at the end of the line
0:09:12 > 0:09:13who hasn't got their goods.
0:09:13 > 0:09:18I was honest with them, I said, "Look, I've been part of a scam
0:09:18 > 0:09:21"and unfortunately, you've been caught up in it.
0:09:21 > 0:09:24"Please raise a case against me on eBay so you can get your money back."
0:09:24 > 0:09:28One of the guys was fine. He said, "Thank you for letting me know.
0:09:28 > 0:09:31"I'm sorry this happened to you."
0:09:31 > 0:09:34Um, the three other guys were extremely mad,
0:09:34 > 0:09:36saying they want their money now.
0:09:36 > 0:09:39And the money... I didn't have the money.
0:09:39 > 0:09:42I couldn't return the money, even if I wa... Well, I did want to,
0:09:42 > 0:09:44but I couldn't return the money
0:09:44 > 0:09:48so eBay returned the money to the four people
0:09:48 > 0:09:52and eBay are now chasing me for the money, which I don't have.
0:09:52 > 0:09:56Because Kara listed the items using her account,
0:09:56 > 0:09:59she was liable and eBay were entitled to ask her
0:09:59 > 0:10:01for the £400 that had been lost.
0:10:03 > 0:10:05That is a lot of money to me.
0:10:05 > 0:10:10That's a massive amount of money. I can't pay that back.
0:10:13 > 0:10:15I should have listened to my stepdad, really.
0:10:17 > 0:10:20I just think, "God, I'm just so stupid
0:10:20 > 0:10:24"for actually not piecing it all together and realising."
0:10:24 > 0:10:26But you're not stupid, you know,
0:10:26 > 0:10:29that's really important to understand
0:10:29 > 0:10:32and you're not gullible and you're not greedy
0:10:32 > 0:10:35or any of those things that people say about scams.
0:10:35 > 0:10:38This is a scam that works very, very cleverly.
0:10:38 > 0:10:42They've had thousands of applicants for that job, and do you know what?
0:10:42 > 0:10:44They've all got the job. OK?
0:10:44 > 0:10:48They've all got the job. Loads of buyers all send their money,
0:10:48 > 0:10:54the money gets passed on. Suddenly, the company's disappeared.
0:10:54 > 0:10:58It's not down to your gullibility, stupidity, greed,
0:10:58 > 0:10:59any of those things.
0:11:01 > 0:11:05The scammers who targeted Kara knew exactly what they were doing
0:11:05 > 0:11:09and perhaps their smartest move was to advertise the job
0:11:09 > 0:11:11on the official Jobcentre website.
0:11:11 > 0:11:14In Kara's eyes, this gave the company instant credibility
0:11:14 > 0:11:17and is something the Department For Work And Pensions take seriously.
0:11:17 > 0:11:19This is what they had to say...
0:11:42 > 0:11:44So what do you need to know
0:11:44 > 0:11:49to make sure the job you're applying for is safe and legitimate?
0:11:49 > 0:11:53Look at the job you're actually doing and just think,
0:11:53 > 0:11:56"Is this really what I expected I would be doing?"
0:11:56 > 0:12:00And if you are being asked to move money through your account
0:12:00 > 0:12:03or sell goods you've never seen, alarm bells should start ringing.
0:12:03 > 0:12:06If they are asking to you complete an application form,
0:12:06 > 0:12:10be very careful about the details that you provide.
0:12:10 > 0:12:12When you apply for a job,
0:12:12 > 0:12:15you should never give out your National Insurance number
0:12:15 > 0:12:17or date of birth or bank account details.
0:12:17 > 0:12:21They could be used by a fraudster to steal your identity
0:12:21 > 0:12:23as well as your money.
0:12:23 > 0:12:26Find out as much as you can about the company offering the job,
0:12:26 > 0:12:28how long have they been trading,
0:12:28 > 0:12:30are they registered with Companies House,
0:12:30 > 0:12:33are there any horror stories about them on the internet?
0:12:35 > 0:12:37Sadly, this is too late for Kara
0:12:37 > 0:12:41and in the future, she will be much more cautious about finding a job.
0:12:47 > 0:12:51Trying to sell your car can be a right pain in the Bugatti.
0:12:51 > 0:12:56The last time I tried - two weeks, not a sniff.
0:12:56 > 0:12:57If you're more successful,
0:12:57 > 0:13:00you have a string of jokers coming down your drive, kicking your tyres,
0:13:00 > 0:13:04drinking your tea, sucking air back through their teeth at the price.
0:13:04 > 0:13:05Wouldn't it be wonderful
0:13:05 > 0:13:09if there was a service which just for £100
0:13:09 > 0:13:12lined you up with serious buyers?
0:13:12 > 0:13:15Guess what, there is. It's called car matching, and for a fee,
0:13:15 > 0:13:18companies promise to find buyers for you,
0:13:18 > 0:13:21making selling your car as easy as pie.
0:13:21 > 0:13:24and over the last few years, a succession of car matching scams
0:13:24 > 0:13:27have hit innocent motorists where it hurts most.
0:13:27 > 0:13:31It's not unreasonable to estimate that the loss to the public
0:13:31 > 0:13:34from those activities was probably about £10 million.
0:13:35 > 0:13:39Around 6 million used cars are sold every year in the UK
0:13:39 > 0:13:43and scam artists have wasted no time trying to exploit this demand.
0:13:43 > 0:13:46Over the last five years, car-matching scams
0:13:46 > 0:13:50have been a serious concern for those in the motoring industry.
0:13:50 > 0:13:54Unfortunately, we've heard many tales from our readers
0:13:54 > 0:13:57who have been caught up in these car-matching scams.
0:13:57 > 0:14:00Like all the best scams, it is deceptively simple
0:14:00 > 0:14:03and lots of people, unfortunately, have been taken in by it.
0:14:03 > 0:14:07The scam works just like this - you want to sell your car,
0:14:07 > 0:14:10so you put an advert in the newspaper or magazine
0:14:10 > 0:14:14and then you receive a phone call from a company that claims
0:14:14 > 0:14:17to have lots of buyers lined up for your car, and of course,
0:14:17 > 0:14:19that's appealing and they say,
0:14:19 > 0:14:22"We've got buyers for your car.
0:14:22 > 0:14:25"If you give us a sum of money," it is usually around £100,
0:14:25 > 0:14:29"we'll put you in touch with them and sell your car, effectively."
0:14:29 > 0:14:31It is a familiar sounding story for Paula
0:14:31 > 0:14:35who lives near Bath with her husband, Richard.
0:14:35 > 0:14:38In 2008, a sudden change in circumstances
0:14:38 > 0:14:41left them needing to sell their car.
0:14:41 > 0:14:46My husband had some bad news at beginning of 2008
0:14:46 > 0:14:49when he was diagnosed with Alzheimer's disease
0:14:49 > 0:14:54so obviously, he couldn't drive anymore, so we put it up for sale.
0:14:54 > 0:14:58Paula advertised their carefully driven five-door hatchback
0:14:58 > 0:15:01for a very reasonable £2,500.
0:15:03 > 0:15:08The advert was placed in a local magazine, but the phone didn't ring.
0:15:08 > 0:15:12Then one day, a man phoned up who said he could sell the car for her.
0:15:14 > 0:15:19He said that he had a buyer for the car.
0:15:19 > 0:15:26He could guarantee us a minimum of £2,650,
0:15:26 > 0:15:29which was great because we'd only advertised it for £2,500.
0:15:29 > 0:15:31So we thought, "That's good."
0:15:31 > 0:15:34The man was calling from a car-matching company
0:15:34 > 0:15:37called Vehicle Seller UK Ltd
0:15:37 > 0:15:39and he had a slick sales pitch.
0:15:41 > 0:15:43He said they had a database of buyers
0:15:43 > 0:15:47who were looking for cars such as this
0:15:47 > 0:15:50and it was going to cost me £89.99.
0:15:50 > 0:15:53Paula was told the car would also be advertised
0:15:53 > 0:15:55on Vehicle Seller's website
0:15:55 > 0:15:58and £90 was starting to sound like very good value.
0:15:58 > 0:16:04So you're then to pay £90, but the process will be cut short
0:16:04 > 0:16:07and you will have achieved your sale.
0:16:09 > 0:16:11Sandy's story is almost identical.
0:16:11 > 0:16:14She'd been trying to sell a sporty convertible
0:16:14 > 0:16:17which she'd bought as a treat to herself.
0:16:17 > 0:16:19I enjoyed it for just over a year.
0:16:19 > 0:16:24Then I thought, "OK." I paid for it and I thought, "Time to sell it."
0:16:24 > 0:16:27That's the reason. It just wasn't big enough for the family, really.
0:16:27 > 0:16:31Sandy advertised her smart low-mileage convertible
0:16:31 > 0:16:34for the bargain price of £7,000.
0:16:34 > 0:16:37After three weeks, no-one had rung about the car,
0:16:37 > 0:16:40but then Vehicle Seller UK got in touch.
0:16:40 > 0:16:41The guy that rang me up,
0:16:41 > 0:16:44he said there was a lot of people waiting for cars like mine.
0:16:44 > 0:16:47There was actually people queuing for cars like mine
0:16:47 > 0:16:53and it would be gone, like, within a week and I would have no problems.
0:16:53 > 0:16:55Sandy was sceptical at first,
0:16:55 > 0:17:00so the salesman suggested she go away and look at their website.
0:17:00 > 0:17:03I spoke to my husband and said, "What do you think?"
0:17:03 > 0:17:04We looked at the website,
0:17:04 > 0:17:09there was cars actually on there like mine, so a proper website.
0:17:09 > 0:17:12So we thought, "OK, it seems legit, it seems all OK,
0:17:12 > 0:17:15"maybe if he does ring me back, we'll go for it."
0:17:15 > 0:17:21The salesman phoned back and Sandy found herself parting with £200.
0:17:21 > 0:17:25The longer you leave it, the less money you're going to get for it.
0:17:25 > 0:17:27It was a good deal, really.
0:17:27 > 0:17:30But as soon as Sandy and Paula handed over their cash,
0:17:30 > 0:17:34the salesman at Vehicle Seller UK went mysteriously quiet.
0:17:34 > 0:17:36I mean, the thing that worried me,
0:17:36 > 0:17:40that he had phoned me twice or three times in one day
0:17:40 > 0:17:42and then the next day when I was having qualms,
0:17:42 > 0:17:44I couldn't get hold of him.
0:17:44 > 0:17:47I didn't hear nothing, so I wanted to know what went on,
0:17:47 > 0:17:49so I was ringing this phone number
0:17:49 > 0:17:51and it just rang and rang.
0:17:51 > 0:17:53Desperate to find out what was going on,
0:17:53 > 0:17:56Sandy got in touch with someone else whose car was being advertised
0:17:56 > 0:17:58on Vehicle Seller's website.
0:17:58 > 0:18:03I rang him and I said to him about selling his car
0:18:03 > 0:18:08and he told me he had been with this company a year
0:18:08 > 0:18:10and he has not had one phone call.
0:18:10 > 0:18:13So in my head, I was thinking, "This ain't right.
0:18:13 > 0:18:15"This has got to be a scam."
0:18:15 > 0:18:18And Sandy was right.
0:18:18 > 0:18:20She and Paula had become the latest people
0:18:20 > 0:18:22to be duped by Vehicle Seller UK,
0:18:22 > 0:18:26a company who had conned thousands of others in a similar fashion,
0:18:26 > 0:18:28but not for much longer.
0:18:29 > 0:18:32Sandy, Paula and scores of unhappy customers
0:18:32 > 0:18:34complained to Trading Standards.
0:18:34 > 0:18:38Trading Standards called in the Insolvency Service,
0:18:38 > 0:18:41a government agency which has the power to shut companies down
0:18:41 > 0:18:43if they're up to no good.
0:18:45 > 0:18:49Paul Titherington is an official receiver for the Insolvency Service
0:18:49 > 0:18:53and was one of the men charged with investigating Vehicle Seller UK.
0:18:53 > 0:18:55It wasn't capable of providing the service
0:18:55 > 0:18:59that it purported to customers it would provide, and therefore,
0:18:59 > 0:19:03customers were not receiving a service that they paid for.
0:19:04 > 0:19:07The challenge for the Insolvency Service was to prove
0:19:07 > 0:19:11that Vehicle Seller UK Ltd had never intended
0:19:11 > 0:19:13to provide a real car-matching service
0:19:13 > 0:19:18and that the company was set up to scam people like Paula and Sandy.
0:19:18 > 0:19:20To do this, they needed to know
0:19:20 > 0:19:23what Vehicle Seller UK had been promising,
0:19:23 > 0:19:25whether they had any car buyers on their books
0:19:25 > 0:19:29and whether they'd helped anyone sell their car.
0:19:29 > 0:19:31Step one was to look at all the complaints
0:19:31 > 0:19:33and see if there were any common threads.
0:19:33 > 0:19:39When initially looking at how Vehicle Seller had run its business,
0:19:39 > 0:19:41we were looking at what it was telling customers
0:19:41 > 0:19:44about the service it was to provide.
0:19:44 > 0:19:46That it had numbers of customers
0:19:46 > 0:19:48waiting to buy that particular vehicle.
0:19:50 > 0:19:54If they paid now, it's likely they would be round that night, the customer, to buy the vehicle.
0:19:54 > 0:19:59It was also saying that the likelihood was
0:19:59 > 0:20:03that the seller would get more from the customer
0:20:03 > 0:20:06than they would do by selling it elsewhere,
0:20:06 > 0:20:10It was starting to become clear that Vehicle Seller UK Ltd
0:20:10 > 0:20:14had a very good reason for only charging a relatively small amount.
0:20:14 > 0:20:18The customer's unlikely to do too much about it,
0:20:18 > 0:20:21they'll just chalk it up to, "Unfortunately, I've lost £100,"
0:20:21 > 0:20:24The Insolvency Service now knew the tactics
0:20:24 > 0:20:29Vehicle Seller UK Ltd were using to get people to part with their cash.
0:20:29 > 0:20:32The next stage was to start gathering hard evidence
0:20:32 > 0:20:36so Chris Mayhew, the company's investigation supervisor,
0:20:36 > 0:20:38set his team to work.
0:20:38 > 0:20:41We appointed an investigator to exercise statutory powers
0:20:41 > 0:20:46and go out to the trading address and carry out an investigation.
0:20:46 > 0:20:48The investigator was armed with a warrant
0:20:48 > 0:20:51allowing him to search Vehicle Seller's offices
0:20:51 > 0:20:54and seize any relevant documents, but when he got there,
0:20:54 > 0:20:56he found the company had virtually no records,
0:20:56 > 0:20:58either on computer or paper.
0:21:01 > 0:21:03If a company is acting legitimately,
0:21:03 > 0:21:05you would expect accounting records,
0:21:05 > 0:21:08co-operative staff, co-operative officers behind the company.
0:21:10 > 0:21:12With limited company records,
0:21:12 > 0:21:16the investigator had to painstakingly piece together evidence
0:21:16 > 0:21:18from what little paperwork there was
0:21:18 > 0:21:21but as he did, the full scale of the scam began to emerge.
0:21:22 > 0:21:27Vehicle Seller had boasted they had 3,000 clients on their books,
0:21:27 > 0:21:28but it seemed most of them
0:21:28 > 0:21:32were people like Sandy and Paula who had been scammed.
0:21:32 > 0:21:36Our investigator was able to ascertain
0:21:36 > 0:21:40that there were over 2,700 complaints.
0:21:40 > 0:21:42It's probably fair to say in this instance
0:21:42 > 0:21:45that of all the alleged 3,000 people on their books,
0:21:45 > 0:21:48not one person actually sold a car through this company.
0:21:48 > 0:21:52The Insolvency Service now had the evidence they needed
0:21:52 > 0:21:55to take Vehicle Seller UK to court.
0:21:55 > 0:21:57The team prepared their case
0:21:57 > 0:21:59and put together a winding-up petition,
0:21:59 > 0:22:04a recommendation that Vehicle Seller UK Limited be forced to close down.
0:22:04 > 0:22:06That letter came before the High Court
0:22:06 > 0:22:10who agreed with the findings and ordered the company into liquidation
0:22:10 > 0:22:11on grounds of public interest.
0:22:14 > 0:22:18So in April 2009, six months after their investigation had begun,
0:22:18 > 0:22:22the Insolvency Service closed down Vehicle Seller UK for good.
0:22:25 > 0:22:27But the Insolvency Service weren't done yet.
0:22:27 > 0:22:30They wanted to make sure the men behind the company
0:22:30 > 0:22:32didn't just go off and start all over again.
0:22:34 > 0:22:36So in came Paul Titherington.
0:22:36 > 0:22:39On the winding up of a company,
0:22:39 > 0:22:42the job falls to me to investigate its affairs,
0:22:42 > 0:22:44to identify its cause of failure
0:22:44 > 0:22:46and to decide whether there is misconduct
0:22:46 > 0:22:49on behalf of the directors that warrants action
0:22:49 > 0:22:52under the directors disqualification provisions.
0:22:53 > 0:22:57Paul needed to interview the two directors of Vehicle Seller UK Ltd
0:22:57 > 0:22:58to see if they could explain
0:22:58 > 0:23:01why they hadn't provided the service they promised
0:23:01 > 0:23:04and why there was such huge blanks in the company's records.
0:23:04 > 0:23:07A significant amount of money had been withdrawn in cash
0:23:07 > 0:23:12and there was no explanation where that had been, where that had gone.
0:23:12 > 0:23:16There was also a significant amount of payment by way of cheques.
0:23:16 > 0:23:18Again, no evidence to where that money had gone
0:23:18 > 0:23:21and whether it was a legitimate expenditure
0:23:21 > 0:23:22on behalf of the company.
0:23:24 > 0:23:26The directors were called in for interview
0:23:26 > 0:23:29but nothing they said could legitimately explain the goings-on
0:23:29 > 0:23:32at Vehicle Seller UK Ltd.
0:23:32 > 0:23:35It seemed certain that the company had been set up purely
0:23:35 > 0:23:36to con people out of their cash.
0:23:38 > 0:23:41The courts decided to disqualify both men
0:23:41 > 0:23:43from being a company director for 11 years.
0:23:46 > 0:23:49So, thanks to the hard work of Paul, Chris
0:23:49 > 0:23:51and the Insolvency Service team,
0:23:51 > 0:23:54Vehicle Seller UK Ltd and its directors
0:23:54 > 0:23:56could no longer pose a threat to innocent people
0:23:56 > 0:23:57like Paula and Sandy.
0:23:58 > 0:24:01And there' been more good news for anyone selling a car,
0:24:01 > 0:24:05Along with Vehicle Seller UK Ltd, the Insolvency Service
0:24:05 > 0:24:08have investigated another ten car-matching firms
0:24:08 > 0:24:12and taken action against the con men behind them.
0:24:12 > 0:24:17There have been eight directors banned for ten years or more
0:24:17 > 0:24:21and another eight have been banned from five to ten years.
0:24:21 > 0:24:26This seems to have put the brakes on car-matching scams for now.
0:24:30 > 0:24:33But if you're selling a car, you should still be on your guard.
0:24:33 > 0:24:36Here's what you need to know to avoid the con men...
0:24:37 > 0:24:40You shouldn't be put off trying to sell your used car yourself
0:24:40 > 0:24:42because there's lots of good websites out there.
0:24:42 > 0:24:46There's lots of good magazines. Lots are household names.
0:24:46 > 0:24:48Sell your car there. Describe your car well.
0:24:48 > 0:24:50Get your car nice and clean and tidy.
0:24:50 > 0:24:53Offer it a fair price and you'll sell it through legitimate means.
0:24:53 > 0:24:58For further advice on how to protect yourself against scams, go to...
0:25:07 > 0:25:08Now, before we go,
0:25:08 > 0:25:12there's just time to tell you about some of the latest scams out there.
0:25:12 > 0:25:16I've come to meet an expert at the National Fraud Authority
0:25:16 > 0:25:19to get the low-down on what you should be looking out for.
0:25:23 > 0:25:26Today, we're looking at scams that target our health.
0:25:29 > 0:25:32I'll be honest with you, Mike. I've put a few pounds on recently.
0:25:32 > 0:25:36If you're a scam artist, what are you going to do for me?
0:25:36 > 0:25:40Well, I've got latest miracle slimming pill, Matt.
0:25:40 > 0:25:43In fact, you can carry on eating as much as like, you can have cakes,
0:25:43 > 0:25:47chocolate, anything, take these pills four times a day
0:25:47 > 0:25:50- and I'll guarantee you'll lose weight.- Really?
0:25:50 > 0:25:54Absolutely. Just send me £19.95 a month for the next six months,
0:25:54 > 0:25:55you'll get your pills.
0:25:55 > 0:25:58- What am I actually getting? - Who knows what you're getting.
0:25:58 > 0:26:00What we know, it's something that won't work.
0:26:00 > 0:26:03Yes, this news just in -
0:26:03 > 0:26:05there are no miracle cures when it comes to losing weight
0:26:05 > 0:26:07and if you order pills from the internet,
0:26:07 > 0:26:10who knows what you'll get through your door.
0:26:10 > 0:26:13But weight-loss pills aren't the only health scam out there.
0:26:13 > 0:26:16In fact, there are more harmful types of scams
0:26:16 > 0:26:18where the scammers will actually promise
0:26:18 > 0:26:21that they've cures for incurable diseases
0:26:21 > 0:26:24or can stop your arthritis, for example, or cancer
0:26:24 > 0:26:27and this robs people of their hope
0:26:27 > 0:26:29as well as robbing them of their money.
0:26:29 > 0:26:33It's just someone in a grubby office sending out these types of pills
0:26:33 > 0:26:35which won't do you any good at all.
0:26:35 > 0:26:38No matter how desperate you are for a cure,
0:26:38 > 0:26:42don't take anything without seeking medical advice first.
0:26:42 > 0:26:46Speak to your GP before trusting claims made in an e-mail or website.
0:26:48 > 0:26:52So there you go - it doesn't matter how clever the scam is,
0:26:52 > 0:26:54if you recognise the warning signs,
0:26:54 > 0:26:57you can stay one step ahead of the con men.
0:26:57 > 0:26:59Stay safe. See you next time.
0:27:16 > 0:27:19Subtitles by Red Bee Media Ltd