NSW revellers are being ripped off by unscrupulous promoters whose "mystery" parties are a far cry from the lavish events promised.
NSW Fair Trading Commissioner Rod Stowe is warning people not to buy expensive tickets from promoters promising well-organised events at exclusive venues, such as harbourside mansions.
He says many customers have been burnt, and when they show up the venues are nothing like the ones promised in social media ad campaigns. Some venues are unsafe, and such events are often oversold and understaffed.
The warning comes in the lead-up to New Year's Eve, when events at harbour front venues in Sydney attract top dollars.
Mr Stowe said Fair Trading received a raft of complaints earlier this year about a failed mystery New Year's Eve party in 2014 that was nothing like what was promised, and was eventually shut down by authorities.
"While a mystery party may sound spontaneous and exclusive, consumers should be very wary of buying tickets to mystery events where the promoters details and event locations cannot be readily identified," he warned.
A promoter had used social media to advertise the 2014 party, including a short video depicting a mansion on the Sydney Harbour foreshore.
Revellers paid up to $199 for entry-only tickets but weren't emailed venue details until the day of the event.
The venue was not the mansion featured in the video, the event was chronically oversold with 700 tickets issued, and toilet and other facilities were woefully inadequate for the resulting crowd.
The promoter subsequently closed his business and reportedly moved overseas.
"It is an offence under the Australian Consumer Law to accept payment for goods and services if those goods and services are not supplied," Mr Stowe said.
"However, it can be very difficult for consumers to obtain a refund and regulators to pursue rogue traders in these cases as those traders are often unable to be identified or located."
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