The office of Attorney General Andrea Joy Campbell on Monday filed a petition objecting to the proposed terms of the chapter 11 voluntary bankruptcy of Vantage Travel, the Boston-based international travel company that went out of business last month, the Boston Globe reported. In a 15-page petition filed in U.S. Bankruptcy Court in Boston, Campbell joined with the attorney general of New York in saying the proposed terms of liquidation of Vantage’s paltry remaining assets doesn’t do enough for consumers. Thousands of Vantage customers are owed a total of more than $100 million in refunds for trips the company booked but then postponed or canceled. The attorneys general in New York and Pennsylvania earlier this year sued not only Vantage on behalf of customers in their state, but also Vantage’s founder and longtime owner Hank Lewis, who may have personal assets that could be subject to the proceedings. The suits accused Vantage and Lewis of “persistent fraudulent conduct” and “deceptive and unfair business practices” in the handling of customer deposits. In Monday’s filing, Campbell’s office said the bankruptcy proceedings unfairly treats customers as “general unsecured” creditors, when they should be treated as priority creditors for at least the first $3,350 owed to them. It also says future travel credits offered to customers “are really just coupons” which aren’t appropriate for settling claims.
