Last summer, Funscapes set up shop on the South Side. The company used the lure of a free vacation to sell memberships to Travel Service Network for up to $5,000 per couple.

Some people who bought the memberships, and one company insider, told Team 4's Paul Van Osdol that they were worthless.

Team 4 learned that these were not the first complaints against the people behind these travel companies.

The following investigative report by Van Osdol first aired Nov. 21, 2003, on Channel 4 Action News at 6 p.m.

---

Dreams of Disney and of discounts convinced Michelle Ivosevic, of Darlington, Beaver County, to spend $4,000 joining Travel Service Network.

Ivosevic: "We wanted to take our kids somewhere. My 10-year-old hasn't gone to Disney World, and that was one of our biggest things."

The offer of a free trip, as well as a chance to take his grandchildren to Disney World, also convinced Tom Bercik, of Jefferson Hills, to part with $4,000.

Bercik: "They gave us this line of a free trip, no strings attached."

In order to qualify for the free trip, Bercik and Ivosevic had to attend a seminar at Funscapes on the South Side. Until recently, Funscapes was the local distributor for Travel Service Network, a national travel club.

Despite the promise of steep discounts, both consumers found they could get a better deal by going to AAA. As for the free trip, Ivosevic got a notice saying it would not be honored.

Van Osdol: "What were you really getting?"

Ivosevic: "What was I really getting, besides screwed? They gave me a lot of cookies."

Bercik: "They misrepresented what they stand for. If they stand for lower prices, lower costs, I'm certainly not getting those."

Records provided to Team 4 by a former employee at the Funscapes office on the South Side show that dozens of other people also demanded their money back, saying the service was not what it was promised. Some, like Ivosevic, got their money back. Others, like Bercik, did not.

In a telephone interview, the president of Travel Service Network acknowledged getting complaints, but she said it's not her fault. She blames Funscapes.

"I no longer let them distribute my product," Beth Valente told Van Osdol. "The biggest problem I have is sales people overpromising."

Earlier this year, the District Attorney in Kansas City filed a lawsuit accusing Travel Service Network and another distributor of "deceptive or unconscionable acts and practices" in violation of state law.

Stephen Howe, assistant district attorney: "We felt deceptive and misleading statements and acts were done in sales presentations which consumers relied upon and were not able to obtain."

Valente blames the Missouri distributor, just like she blames Funscapes for the complaints in Pittsburgh.

Team 4 has learned some top officials in Funscapes have had run-ins with authorities in other states.

Funscapes President Todd Lynch was banned from doing travel business in Minnesota for 10 years after the Attorney General charged that he and another company were misleading consumers.

Lawsuits by attorneys general in Texas and Missouri allege Jerry McDonald, a former Funscapes employee who set up the Pittsburgh office, deceived consumers in those states.

When Team 4 visited the Funscapes office, we were met by an employee who identified himself only as joey.

Van Osdol: "Some people have told us they think this is basically a ripoff."

Joey: "No, it's not a ripoff. It's actually a pretty good deal, so come on down and see us."

When we asked to see one of the seminars, we got a different reception.

Employee: "Interview over. You have to leave now. Leave now. It's private property. Get off. Leave now."

Van Osdol: "Why do people say this is a scam?"

Employee: "Leave now. Call the police. Get out of my office, man. Time to go. Get out of my office, dude. It's private property."

Van Osdol: "Can we sit in on one of your seminars?"

Employee: "No, you can't. Get the hell out. There's the door. Don't come in again."

Bercik now wishes he had also been shown the door at Funscapes.

Bercik: "I should know better. If it sounds too good to be true, it probably is. I'm proof of that right now."

Van Osdol: "What advice would you have for anybody who wants to sign up for one of these free travel clubs and gets a call promising a free vacation?"

Ivosevic: "Hang up."

Van Osdol talked by telephone to Lynch, who says the company is doing nothing to misrepresent its products. Lynch says he made the decision to stop using Travel Service Network, but that's not what TSN's president says.

The prosecutor in Kansas City says to be careful if you're thinking about buying into one of these travel clubs, and make sure you check the place out and do your homework before you sign up.