Hawaii residents are being targeted in a nationwide scam that involves sending fraudulent newspaper and magazine subscription notices in the mail.
Sixteen Honolulu Star-Advertiser subscribers have alerted the newspaper that they have received renewal notices requesting that they send payments to Associated Publishers Network at a Henderson, Nev., address. The notice asks for $429.95 for a one-year subscription, or nearly double the actual price of $239.40.
The Star-Advertiser is in no way affiliated with the Associated Publishers Network, and subscribers should ignore the notice, said Dave Williams, Star-Advertiser vice president/circulation.
Williams said legitimate subscription offers for the Star-Advertiser are handled directly by the newspaper’s local subscription departments in Kapolei or Honolulu. Individuals with questions about whether an offer is valid can call 538-6397.
Associated Publishers Network has an "F" rating from the Southern Nevada Better Business Bureau and has received 289 complaints in the past three years, including 154 in the past 12 months.
"Complainants state they send in payment for renewal of their subscriptions to various magazines (but) … the magazines are not received," the BBB states on its website. "When consumers contact the magazine companies, directly, to check on their subscription they are informed that payment was never received. Additionally, renewal payments to APN are higher than the original renewal fee from the magazine company."
Other newspapers and magazines that have been targeted in the scam include the Wall Street Journal; New York Times; Seattle Times; Los Angeles Times; Minneapolis Star Tribune; Denver Post; News & Observer of Raleigh, N.C.; Cincinnati Enquirer; New Yorker Magazine; Forbes Magazine; and Barron’s Magazine.
U.S. Postal Inspector Brian Shaughnessy in Honolulu said the agency is aware of these complaints.
"While we cannot comment on the specifics of any individual complaints, we advise that anyone who receives a fraudulent invoice in the mail should report the matter to the U.S. Postal Inspection Service," he said. "We also ask that the false invoice be turned over to the nearest post office."
Shaughnessy said the penalty for defrauding the public through a false billing scheme is severe. A conviction of mail fraud could lead to up to 20 years in prison and a fine of up to $250,000, or both, for each count.
The Hawaii Better Business Bureau has received three complaints about the fraudulent notices, according to spokesman Tim Caminos.
"A consumer’s best defense when renewing their subscription is to expect that the payment should be made directly to the publication," he said in an email. "It is important to remember that invoices should always be examined closely. Some things to look out for include: who the payment is being made to, an unfamiliar looking invoice, and the amount of the invoice."
Associated Publishers Network says in its renewal notices that it offers more than 600 magazines as an independent subscription agent between the magazine publishers and clearinghouses to facilitate sales and service, and "as an agent we do not necessarily have a direct relationship with the publishers or publications that we offer."
Renewal notices also list a website where a payment can be made with Publishers Payment Processing in Oregon. The BBB for Oregon, Washington and Alaska rates Publishers Payment Processing an "F" for improper billing and collection practices. The BBB lists Publishers Payment Processing as having 876 complaints in the last three years, including 281 in the last 12 months.
Henderson Police Department spokesman Keith Richards said they have not received any complaints about Associated Publishers Network.
Honolulu Police Department spokeswoman Michelle Yu said the mailings are "possibly a form of fraud if they don’t have the Star-Advertiser’s permission."
