June 13, 2014
Manitoba Consumer Protection Office Investigation Leads to Multiple Fraud Convictions
– – –Door-to-door Salesman Overcharged Seniors for Driveway Repairs
Following an investigation by the Manitoba Consumer Protection Office (CPO) and with the assistance of the Winnipeg Police Service, a 49-year-old Winnipeg man has been convicted of committing fraudulent acts against 10 Manitoba consumers.
On May 2, 2014, Barry Wayne Martin Scully was found guilty of 10 separate charges of fraud under $5,000 and one charge of mischief under $5,000. Scully was given a conditional sentence of two years less a day including specific conditions he must abide by, as well as ordering $6,630 restitution to be paid to the 10 affected consumers.
Following the conviction, there was a 30-day appeal period. No appeal was filed.
A CPO investigation determined that Scully went unsolicited to consumers’ homes with asphalt covered driveways in the city of Winnipeg and towns throughout southern Manitoba. Scully would seek out elderly homeowners and, using deceptive and predatory tactics, convince the individuals to purchase his service of applying a sealant to the homeowner’s driveway. The deceived consumers would then pay Scully fees in the hundreds of dollars for a driveway sealant application that is valued to be under $100.
This conviction is in addition to the Dec. 16, 2013, conviction of Scully under the Business Practices Act and under the Consumer Protection Act. In that instance, a CPO investigation determined Scully went, unsolicited to a consumer’s home in the Roblin area and falsely presented himself to be associated with a legitimate paving company. Appearing unsolicited at the consumer’s home also breached the Consumer Protection Act as Scully was not licensed by the CPO to conduct
door-to-door sales.
In Manitoba, individuals conducting door-to-door sales must be licensed as a direct seller. In addition, the sales practices used to convince the homeowner to purchase his services were deemed to be deceptive, which is an offence under the Business Practices Act.
The Government of Manitoba is committed to protecting consumers and there are provisions in the Business Practices Act and the Consumer Protection Act to ensure that businesses treat consumers fairly and do not mislead or deceive them. The CPO is the agency responsible for the enforcement of the two acts.
Manitoba consumers are reminded that most salespeople coming to their door offering a service or a product must be licensed as a direct seller, and consumers should take all reasonable steps to ensure the business is legitimate and capable of supplying the goods or services. These steps include ensuring the business is licensed as a direct seller, checking references from the business and carefully reviewing the terms and conditions of any agreement before signing.
By knowing the rules and becoming informed about their rights under the law, consumers will be better protected. For more information, contact the Consumer Protection Office in Winnipeg at 204-945-3800, 1-800-782-0067 (toll-free) in Manitoba, by email at consumers@gov.mb.ca or visit its website at www.gov.mb.ca/cca/cpo.
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