Parents who paid to send their children to a private art school say they have been ripped off by managers who cancelled classes and then refused to issue refunds.
About 30 Shanghai KidzArt customers complained that the company delayed or refused refunds after they paid up to 30,000 yuan ($4,838) for classes, only to find they had been canceled due to several outlets shutting down as a result of poor management, the city's consumer watchdog said yesterday.
The company, which has refused to take part in mediation to resolve the matter, took 304,000 yuan from parents, Shanghai Consumer Rights Protection Commission said.
The authorities are investigating and the commission will help parents who wish to file lawsuits against the international company.
Meanwhile, the commission received 40 complaints from people who bought membership cards from Shanghai Shenjian Commerce Service Co Ltd.
One consumer, surnamed Cai, paid more than 2,000 yuan to become a two-year VIP member in November last year. According to the agreement, Cai was entitled to two free four- or five-star hotel coupons and a medical examination coupon worth 2,400 yuan. However, when Cai asked for them the company refused.
Other consumers said they were dissatisfied with the company's services during their 2-year membership period, but the company refused to give them a refund.
The commission said the company is in breach of contract and offered to assist consumers wishing to take action.
