Cash4Gold, a premier company that provides its customers cash in lieu of their gold, has been indicted on the charges of fraud and misrepresenting its services to the customers. The complaint that has been submitted as a class action lawsuit in the U.S. District Court for the Central District of California, has accused the parent company Green Bullion Financial Services LLC of negligence and fraud among other charges.

The complaint has been filed on the behalf of two Californian residents, who have allegedly been duped by Cash4Gold. The company essentially provides its customers, cash valuing to the gold the customers send in. After sending the checks to the customers, Cash4Gold has set a 12 days period for the return of the jewelery, if the customers aren’t satisfied with the amount they receive.

According to the lawsuit,

“The high degree of care claim for the jewelery is a lie, as items sent to Cash4Gold are commonly ‘lost. At best, this means that Cash4Gold is not exercising the high degree of care it has promised and is liable for negligence. At worst, this means that Cash4Gold is intentionally stealing the goods sent to it and is liable for conversion.”

The complaint also states that the 12 days return policy employed by Cash4Gold is an absolutely fake. As per the customers, the return policy period begins from the day the check is signed and issued and not from the day, the customers receive it. Taking advantage of this loop hole, Cash4Gold sends in the checks days after they have been issued. This leads to the lapse of the return period time and the loss to customers.

According to the court papers,

“The ‘return policy’ is a lie. Importantly, it is measured from the date on the check sent to consumers. Then Cash4Gold, as a matter of company policy or practice, routinely issues the checks, sets them aside, and mails them out days later so that customers do not receive their checks until after the 12-day return window has already passed…customers are simply unable to reject Cash4Gold’s offer or to have their jewelry returned to them. In fact, in many cases, Cash4Gold actually melts down jewelry before the ‘return period’ has even passed, since it knows that due to its mailing schedule, customers literally have no way to successfully exercise the ‘return policy.”

Via National Jeweler.