Discovery Tours LLC, operating out of north Centralia on Harrison Avenue, has the motto on its website of “Sit back and relax … let us do everything but pack!”
The business offers day and extended trips for senior citizens, mostly via bus, but also train and cruise ships. The next trip scheduled to start on Aug. 20 is the “Ultimate Alaska Wilderness Adventure ... Alaska Highway, Anchorage, Fairbanks, Denali & Holland America Cruise Home” as currently advertised on the Discovery Tours website. Cost is $3,898 for the 20-day trip, which includes a bus ride up and a cruise ship trip back.
It sounds like great fun and relaxation. It is anything but.
On July 12 Discovery Tours LLC filed for Chapter 7 bankruptcy. This forces the company to shut down and liquidate all its assets to pay off creditors (the company’s three buses will be sold at auction). And there are lots of them — more than 850 potential creditors.
Most creditors will never see their money returned. The Washington state Attorney General’s Office has received 84 complaints against Discovery Tours.
In a separate action, the Washington state Department of Financial Institutions filed charges against Discovery Tours for violations of the state Securities Act for selling investments without proper licenses. It appears that the owner of Discovery Tours — Melody Miranda — was selling the chance to invest into her company, with promises of a 7 percent return.
One Centralia man invested $7,000. He has not received a payment for more than a year.
A Centralia woman last year paid Discovery Tours more than $5,000 for a cruise to Hawaii. A week before she was set to sail, the cruise was canceled. She did not receive a refund.
When The Chronicle started reporting on Discovery Tours and the allegations swirling around its operations, those friendly to the tour company started a campaign defending the company and attacking our coverage. It was a common blame-the-messenger strategy.
The reality today is quite clear. And it gets worse.
Miranda opened up a new business called Discovery Tours NW LLC the same day she filed for bankruptcy. She simply added “NW.” According to the Secretary of State’s office, it is all legal. She also filed it not as Melody Miranda, but as Melody Barnes, her maiden name. Another subtle change: The company is no longer listed as located on Harrison Avenue in Centralia, but with her residential address on Ivan Street in Rochester.
This is clearly a sham and a continuation of fraud against a vulnerable part of our citizenry — trusting senior citizens.
The state’s Securities Division Chief Suzanne Sarason, as reported in The Chronicle, said anyone who receives a call from Miranda or someone representing Discovery Tours should report it to the department’s fraud hotline.
We think Discovery Tours should change its website motto to: “Sit back and relax … and book your trip with someone else.”
