The Fijian Competition and Consumer Commission is investigating the sudden closure of a hotel in Nadi after guests who had already paid for their stays were told to leave the property at short notice on 17th September.
FCCC says its enforcement team started enquiries on 18th September after being alerted to the matter.
Based on information provided to FCCC, the closure followed a court ruling in a legal dispute concerning the property from which the hotel operated.
FCCC Chief Executive Officer Senikavika Jiuta says a property dispute is no reason to leave customers stranded.
Jiuta says people paid for a room in good faith and, whatever problems a business is going through, guests should not be the ones paying for them.
She says that where a hotel is unable to provide accommodation that has already been paid for, it should act promptly to provide appropriate redress to affected consumers, including arranging refunds or, where acceptable to the consumer, suitable alternative accommodation.
The hotel has since responded to FCCC in writing and apologised to affected guests.
It says it is going through every affected booking and is committed to refunding money paid for stays it could not provide.
It says alternative accommodation at its other property will only be offered where the guest finds it acceptable.
However, the hotel has not yet given a date for refunds, and FCCC has asked for supporting documents and a clear timeframe.
FCCC says how guests get their money back depends on how they paid.
It says guests who paid the hotel directly will need to contact hotel management for a refund, while guests who booked through online travel platforms are being refunded through those platforms.
FCCC has received a complaint from a guest who booked through Expedia, and the hotel has told FCCC that it is making arrangements with Expedia for that refund.
The Commission is facilitating these arrangements and will continue checking until every affected guest has been assisted.
FCCC says the investigation remains ongoing and it will consider appropriate enforcement action if evidence establishes a breach of the FCCC Act 2010.
Jiuta says the case should serve as a reminder to the accommodation sector, especially small and independent operators.
She says most hotels and guesthouses in Fiji look after their guests well, but it only takes one incident like this to damage Fiji's reputation as a destination, because visitors go home and talk about their experiences and write reviews.
She says every operator, whatever their size, is expected to honour confirmed bookings and warn guests early if something goes wrong.
She says once an operator becomes aware that it is unable to honour bookings, it should stop accepting further bookings or payments for accommodation it may not be able to provide.
FCCC is reminding all accommodation providers that Section 88 of the Fijian Competition and Consumer Commission Act 2010 prohibits a business from accepting payment for goods or services when, at the time payment is accepted, it does not intend to supply them or has reasonable grounds to believe it will not be able to supply them within the specified or a reasonable time.
FCCC says anyone whose booking has been cancelled by an accommodation provider, including guests affected by this closure, should ask the hotel or booking platform for a refund in writing and keep booking confirmations, receipts, bank statements and any messages or notices from the hotel.
Those who paid by card should ask their bank whether a chargeback is possible and lodge a complaint with FCCC if the matter is not resolved.
Complaints can be lodged by calling 8921991, emailing helpdesk@fccc.gov.fj, submitting a complaint online or using any other communication channel listed at linktr.ee/fijianccc.
