Travel Agencies Seeking to Slow $1B+ Fraud Case, Continue to File Appeals
Some of the Biggest Names in the Travel Business continue to slow down a Fraud Case that will result in a windfall of over a $1B for the State of Nevada. These High-Powered Companies are seeking to have the lawsuits dismissed by the Nevada State Supreme Court. They will continue up the Legal Chain, delay, delay, delay, without “Answering the Complaint.” Using every trick possible to avoid or delay a judgment favoring the State of Nevada. The lawsuit alleges the companies committed “consumer fraud” under Nevada’s Deceptive Trade Practices Act. The suit filed in Apr 2020, by well-known Las Vegas communications consultants Sig Rogich and Mark Fierro, seeks damages on behalf of the State of Nevada against the biggest names in the business, including Orbitz, Travelocity, Expedia,Priceline and Hotels.com
It alleges the Travel Companies committed “consumer fraud” under Nevada’s Deceptive Trade Practices Act. More than $1 billion in lost revenues and damages stand to be recovered. According to an amended state court complaint, the booking companies for years have been contracting with hotels in Las Vegas and elsewhere in the state to buy rooms at discounted prices and then selling them on their websites to consumers at higher rates. The companies have been charging their customers for the room taxes based on the more expensive retail rates but have only been paying the state at the discounted prices, the suit alleges The 2020 suit, filed by well-known Las Vegas communications consultants Sig Rogich and Mark Fierro, seeks damages on behalf of the state against the web-based companies. Nevada Attorney General Aaron Ford is backing the case. Michael Cristalli, one of the attorneys representing Rogich and Fierro, said he hoped the Supreme Court would act fast. More than $1 billion in lost revenues and damages stand to be recovered.
A similar lawsuit filed by Clark County to reclaim tax revenues from the online travel companies is proceeding in federal court. Gentile and Cristalli represent the county in that suit.