Travel agency cancels holidays with 200 customers warned flights ‘under review’

Tourists have been left stranded abroad after the travel agency made a worrying announcement, with many now finding their money may have been taken off them

Travellers have been left stranded abroad while others are stranded at home despite already-paid-for holiday packages, after a worrying announcement from a travel agency.

Travel agency AVG Travels, based in Melbourne, Australia, went radio silent after it emailed more than 200 customers last week to advise them that their travel itineraries were “under review” due to “operational scheduling adjustments”, Australia’s public broadcaster, the ABC, reports.

Some travellers were dumped days ahead of planned trips, while others were already abroad when AVG Travels made the announcement. The agency previously sold heavily discounted package holidays to destinations around the world, but the majority of packages impacted in the mass cancellation were to China, the ABC understands.

To add insult to injury, the mass email sent to hundreds of travellers also exposed the email addresses of its recipients in a mass data breach.

A second email followed, apologising for an “administrative error”, in which customer addresses were “unintentionally visible to other recipients”.

In the initial email sent, chief executive of the travel firm David Dao wrote that “many customers are concerned while waiting for travel updates and final flight confirmations for upcoming departures”.

“We sincerely apologise for the uncertainty this has caused,” the email added.

“Due to ongoing operational disruptions during this current peak travel period, some bookings are taking longer to finalise.”

It comes as the Council of Australian Tour Operators (CATO) confirmed it had suspended AVG Travels’ membership in the wake of the mass the cancellations, with travellers also taking to the Australian Competition and Consumer Commission (ACCC) to report the consumer breach.

“On becoming aware of complaints against AVG Travels this week, we moved quickly to review their accreditation status. That review has resulted in the immediate suspension of AVG Travels’ CATO accreditation,” CATO general manager Mira Yates told the ABC.

The Australian Travel Industry Association (ATIA) also cancelled the company’s membership in August 2022 for failing to meet required “financial and ethical standards”.

In a statement, AVG Travels said it was “engaging with all affected travellers to provide fair and appropriate resolutions”.

It said it remained “fully operational” and “some customers may receive their final travel documents … later than usual”.

Melbourne woman Elizabeth Jennings booked an 11-day tour to China and spent weeks unsuccessfully trying to get her tickets and itinerary from the collapsed agent, instead receiving “the brush-off every time”.

“We were told the trip had been cancelled a few days ago, and we could either travel in August or September, or take a credit voucher. I said no three times. I just want my money back,” she said.

Perth resident Sam Chisholm had the same problem, with travel dreams turning into weeks of stress after forking out £1,456 for an 11-day trip to China that was supposed to depart from Perth on May 27.

“We are very interested in architecture and landscapes and were looking forward to learning about and experiencing a different culture as well,” Ms Chisholm said.

Booking information had stated that e-tickets and hotel details would be provided about 30 days before departure. Airline tickets would be issued four to six weeks prior to travel, according to the travel agency, however she told the ABC she had received nothing.

Last week, she received the same mass email from the travel agency offering to reschedule her trip, or provide a refund.

She told the ABC that she had still not received her requested refund.

But, on Monday (May 18) afternoon, after the ABC published a story on the travel firm, AVG Travels refunded both Ms Jennings and Ms Chisholm in full.

A Facebook support group has been formed with more than 230 members, sharing stories of their cancelled departures, missing flight tickets and unanswered calls and emails.

In a statement, AVG Travels said they took “customer concern seriously”.

“While current industry-wide and operational pressures have necessitated some itinerary adjustments, our team is proactively engaging with all affected travellers to provide fair and appropriate resolutions,” it stated to the ABC.

“We are maintaining close collaboration with our global network of partners to ensure the continuity of our services. Our focus is on resolving all pending matters swiftly and restoring the high standard of service our customers expect.”

The travel firm describes itself as “proudly Australian-owned” despite beginning as an online travel agency in Vietnam in 2012, before establishing an office in Melbourne in 2015. It opened offices in Japan and the UK last year.

The website also states it has a stellar reputation in the industry as it is “trustworthy and knowledgeable” agency. The agency is still accepting bookings online.