Passengers Demand Criminal Probe into Cruise Company as $16 Million in Refunds Remain Unpaid

A Group of Passengers Seek Criminal Investigation

A group of passengers who were eagerly anticipating a three-year voyage around the world with Life at Sea Cruises are now demanding a criminal probe into the company. The cruise was abruptly canceled just two weeks before its scheduled departure, leaving customers desperate to recover approximately $16 million in refunds.

Letter Sent to US Attorney for Criminal Fraud Investigation

A coalition of 78 passengers has sent a letter to Markenzy Lapointe, the US attorney for the Southern District of Florida, requesting his office to initiate a criminal fraud investigation into Miray Cruises, the parent company of Life at Sea. The passengers accuse Miray of misappropriating customer funds amounting to around $16 million, allegedly using the money to purchase a ship.

Failed Acquisition of Vessel

Miray Cruises ultimately did not acquire a suitable vessel capable of accommodating over a thousand passengers for a three-year voyage. The company's decision to cancel the trip in November, just two weeks before its maiden voyage, left passengers devastated and seeking answers.

Customer Payments Allegedly Misused

In their letter to Lapointe, the passengers claim that the company assured them that their payments were not being used as upfront capital. However, it is now alleged that the funds were indeed misused by Miray Cruises.

Attractive Offer Tempts Customers

Life at Sea Cruises initially enticed customers with an appealing offer: the opportunity to travel around the world for three years at an affordable rate, starting from approximately $38,500 per year. Some customers even sold their homes or businesses to take advantage of this rare opportunity, hoping to explore 140 cities while potentially spending less than the average American household does in a year.

Disastrous Turn of Events

Unfortunately, the plans fell apart when Miray Cruises announced on November 17 that they had failed to secure a suitable vessel for the trip. Miray Cruises CEO Vedat Ugurlu admitted in a memo that the company was not financially capable of purchasing a ship worth $40-50 million.

Management Issues and Severed Ties

In addition to financial difficulties, management issues plagued the company several months prior to the voyage. This eventually led to Life at Sea and Miray Cruises severing ties in May. Some passengers, including Kimberly Arizzi, withdrew from the trip due to these internal company problems, and Arizzi received a refund for her $5,000 down payment.

Refunds Remain Unpaid

However, customers who are now demanding a criminal investigation claim that they have yet to receive any refunds. Some individuals, including retired passengers, find themselves homeless or in search of work after investing significant amounts of money into the ill-fated cruise.

Heartbreaking Stories of Financial Hardship

David Purcell, a 78-year-old retired lawyer, sold his house and car after his wife's death to purchase a fare and heal from his loss. Now, he is left broke and homeless, along with others who put everything they had into the cruise. Adam Pers of Bristol, UK, spent six figures and paid upfront to secure a discounted fare. Unfortunately, the cancellation of the trip coincided with his diagnosis of cancer. Pers is now struggling to find work to cover his mortgage and treatment expenses.

GoFundMe Page Established for Affected Passengers

A GoFundMe page has been set up by another Life at Sea passenger to support individuals like Adam Pers. The page acknowledges the sacrifices made by passengers and highlights the financial difficulties they now face due to the cancellation of the trip and the subsequent unpaid refunds.

The organizer of the GoFundMe page has not responded to a request for comment.—————————————————————————————————————————————
By: lloydlee@insider.com (Lloyd Lee,Brittany Chang)
Title: Passengers Demand Criminal Probe into Cruise Company as $16 Million in Refunds Remain Unpaid
Sourced From: www.businessinsider.com/life-at-sea-passengers-3-year-cruise-demand-criminal-probe-2024-1
Published Date: Fri, 19 Jan 2024 02:32:52 +0000