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Schools Get Fake Invoices

BBB logoSedona AZ (September 26, 2014) – The Better Business Bureau (BBB) is warning schools and school districts across the country about possible fake invoices for educational supplies. In the past weeks, there has been a rush of complaints filed with BBB against Scholastic School Supply, which claim either a Nevada or New Jersey address that are only mail drops.

BBB Serving Southern Nevada received its first complaint against Scholastic School Supply on August 20, 2014, and since then has received nearly 70 complaints from schools across the country, three from Arizona. The company’s online BBB Business Review has also received more than 3,000 inquiries and, for this reason, BBB has included an alert to make visitors aware of the suspicious nature of the invoice. The company maintains a mail drop in Sewell, New Jersey, and Las Vegas. BBB New Jersey has also received more than 20 complaints, so far.

The bogus invoices have been for the bulk purchase of English-language arts practice books totaling $647.50, or math practice books totaling $388.50 – although the amounts and products could change at any time. Complainants say the company cannot be reached to inquire about the products or amounts allegedly owed, and all have denied previous interactions with the company to set up initial orders.

scam fraud logoBBB urges schools not to pay the invoices but to send them to the local Postal Inspector and the Federal Trade Commission, as well as their state’s Attorney General’s Office or consumer protection agency.  So far, none of the complainants have sent money; however, BBB has no way of knowing if any schools have unknowingly paid the invoice, since they would not have filed a complaint.

To date, BBB has received complaints from schools in 27 states: Alabama, Arizona, California, Colorado, Florida, Hawaii, Idaho, Illinois, Indiana, Iowa, Kentucky, Louisiana, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada, Ohio, Oregon, Pennsylvania, Tennessee, Texas, Utah, Washington and Wisconsin. Due to BBB’s process for handling complaints, which gives a business up to a month to respond, complaints received to date are still considered pending and do not reflect on the company’s BBB Business Review. Only one complaint has been resolved by the company, with BBB’s assistance.

Contact information available on the invoices was initially going unanswered, but now, email is bouncing and the phone number has been disconnected.  BBB has been unable to locate any corporation filings, business licensing, or documentation to substantiate a physical location in Nevada. Recently, an agent in New Jersey filed as a Limited Liability Corporation (LLC) under the same company name, and BBB is investigating the connection.

The UPS Store in Las Vegas is a BBB Accredited Business and is cooperating with the Postal Inspector and other agencies to investigate the scheme.  Scholastic School Supply has no affiliation with Scholastic, Inc., a well-known publisher of children’s books who has issued a statement regarding the fraudulent use of their name and trademarks.

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