News

Cruise fraudster convicted over £400k Ponzi-style scam

A cruise fraudster who scammed 184 victims out of more than £400,000 has been convicted after a decade-long investigation.

Richard Lester was found guilty at Chelmsford Crown Court on Tuesday of fraudulent trading and concealing criminal property after he was caught at the head of a Ponzi-style scam selling ‘cruise miles’.

Miles were bought through agents and exchanged for cruises through Lester’s website at heavily discounted prices, but no sailings were booked.

Some people only discovered this when they turned up at ports for holidays and were turned away by cruise operator, according to police.

Lester stole £406,856.39 from 184 people over three years.

He will be sentenced at the same court on February 11.

Essex Police said it had been investigating Cruisemiles and Lester for 10 years.

Disgruntled victims began to report the scam, and the National Fraud Intelligence Bureau contacted Essex Police in July 2013.

An investigation discovered victims across the world – in the UK, US, Australia, New Zealand, Canada, France, Germany and Japan.

Lester used several aliases to avoid justice, going by Henry Lester, Les Richards, Lord Lester, Richie Lescovitch and Barry Williams.

PC Leanne Smith, who has been investigating Cruisemiles and Lester since 2014, said: “This has been a large and complex investigation, with officers gathering dozens of statements from victims.

“Securing justice for these victims meant scouring several bank accounts to trace exactly where their money has gone.

“All their money leads back to Lester. His greed left hundreds of people thousands of pounds out of pocket.

“They were tricked into committing more and more money to his scheme, unaware that money was going directly into Lester’s pocket.

“Many of the cruise companies they were expecting to holiday with had no record they were ever due on board their ships.

“Lester poured funds into a lavish lifestyle he bragged about to the same victims he defrauded.

“Money was frittered on online poker websites and his other business interests.

“He’s now been found guilty thanks to the testimonies of those who wouldn’t believe his excuses.”

ROL Cruise clarification statement: 

In response to recent media coverage concerning an individual convicted of running a Ponzi-style scam under the name ‘Cruisemiles’, ROL Cruise (Reader Offers Ltd.) would like to categorically clarify that this fraudulent enterprise is in no way associated with our company, our long-established Cruise Miles loyalty programme, or any of our affiliated brands.

We acknowledge that the term “Cruisemiles” has been used by this unaffiliated fraudster to mislead victims into purchasing discounted cruise holidays that were never legitimately booked.

We wish to state unequivocally that ROL Cruise, Reader Offers Ltd, and our Cruise Miles trademark and programme have no connection with this convicted individual or his activities.

Since its inception, ROL Cruise has maintained a steadfast commitment to integrity, transparency, and customer satisfaction.

Our genuine Cruise Miles programme, owned and operated solely by ROL Cruise, remains a legitimate, secure, and trusted loyalty scheme for rewarding our valued clients. Any suggestion or implication that our company is linked to the recently reported fraud is completely unfounded.

We are taking every appropriate step to ensure clarity among our trade partners, cruise lines, and industry colleagues.

We also encourage those within the trade press to help disseminate this clarification so that consumers and industry stakeholders alike understand that ROL Cruise and its Cruise Miles programme stand entirely apart from this fraudulent case.

Share article

View Comments

Jacobs Media is honoured to be the recipient of the 2020 Queen's Award for Enterprise.

The highest official awards for UK businesses since being established by royal warrant in 1965. Read more.