Extreme Rip-Off?: Where's the Money? - KCBD NewsChannel 11 Lubbock

6/2/08

Extreme Rip-Off?: Where's the Money?

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We know after speaking with a former Extreme Fitness employee of Shon Perez, at least 1500 memberships were sold.  If that's the case and at 10 dollars a membership, we know that Perez collected at least $15,000.  So, where's the money?  Better yet, will these people ever get a refund?  

Remember when we caught up with Perez last time, he didn't really want to talk to us.

Cecelia Jones: "People want to know what happened to their money. Got any explanations?"

But if you were like Mike Board, one of the 1500 hundred people who paid for a gym that never had any equipment, I bet you were waiting to hear the answer to that question.

"Seeing him on TV when you interviewed him the first time driving up in his Hummer,  I (was) wondering how he bought the gas for it that day.   That didn't impress me," said Mike.

He paid in January just over $50 for three memberships.   After seeing our story, he sent a certified letter to the business, wanting his money back.   "Two days ago, I get that letter back.  It was never received.  I discovered it is really this address they asked me to send it too," said Mike.

He's referring to the place where the gym was supposed to open on Frankford and 50th Street. That place has been shut down for good. The landlords have put up a sign. They're looking for a new tenant.  Since our story aired, the Better Business Bureau received 143 complaints from people who wanted their money back. Those complaints were forwarded to the Texas Attorney General's office for review.

We were also able to contact Perez again by phone, asking the burning question, "Where's the money?" We won't go into how heated that conversation got, but his wife, Desiree Masters, told us they have no plans to open and that everyone is getting their money back.       

Masters also told me they have worked everything out with the Texas Attorney General's office.  So we put a call in to confirm her story.  The AG's office, which normally doesn't confirm investigations, told me her statement wasn't true.  They are still having serious conversations with Perez, reviewing his business documents, and investigating his business practices.  If you would like to file a complaint with the BBB, check out this link by clicking here.

The Better Business Bureau
For more information on consumer guidance, business guidance, dispute resolution, and consumer news and alerts; click here to goto the Better Business Bureau's web site.

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