Whilst I dont agree with the action taken, I can fully understand the owners frustration.

Kosmar/Kosmars Agents around Greece are alledgedly owned thousands and thousands of Euros from most of the summer months. To have people inside their rooms, who they think they will never receive payment for, would be frustrating and demoralising. To them, it would be a complete waste of a year.

Don't forget these guys have no earnings in the winter either.

This may be true of some owners, but I know that these two guys have fingers in other pies and businesses also. They've done very well over the years from Kosmar and other package tour companies. They also rent out independantly so they are not totally dependant on Kosmar for their income. They may be a bit short for a while - don't forget they'll get money from ATOL, but that's no excuse for the appalling treatment they meted out to innocent holiday makers who'd already paid out a substantial sum for their holiday. I and many Greek residents on Symi think their actions were disgusting, greedy and totally unwarranted. I'd never recommend that anyone ever stays there again.

The clients of Kosmar/XL were also innocent victims in this matter and to find themselves 'mugged' in this way is disgraceful. They were very unlucky to come across such unpleasant property owners, most of whom go out of their way to be helpful. I will certainly remember these property names.

That's appalling, kojak. Having been to the island a few times and lodged at one of the places you mention I find it shocking.

One thing though that may interest you. I have Greek friends on another island who own a hotel used solely by Kosmar. They have been advised that neither ATOL nor the CAA will be paying them monies owed to them by Kosmar. They have resigned themselves to a substantial loss and feel they have boarded folks for the whole summer at no charge. It seems both CAA and ATOL's obligations are to the passengers not the hotel/apartment owners.

I've searched the web for days trying to get this clarified without any success. Do you have a link somewhere that says ATOL will be paying accommodation payments to owners? I know a Greek couple who will be very grateful if you have a source of more positive news for them.

Thanks.

Bill

Yeh me too. I have just got off the phone to a friend in Greece who is owed thousands and thousands of Euros! He was close to tears. He is not aware that he will get the money back.

As I mentioned, I dont justify anyone throwing people out of their room in the early morning, but I can understand the annoyance of the whole situation.

To say these guys have fingers in other pies and Kosmar have paid them well over the years is laughable. If, after a month of work, your boss told you you werent getting paid as the company had gone bust then tried to justify it by saying they've paid you well over the years would be a joke! and Im not certain you would continue to work for them afterwards for no money?

Just a thought.

I was told in good faith that property owners would get some compensation but I'll have to try and check that out.

I have accessed the ATOL website and found the following info for hoteliers:

website: http://www.caa.co.uk/default.aspx?catid=1804&pagetype=90&pageid=10050

"We ask you to look after your customers and guests until you are contacted about their repatriation. The CAA will pay for their stay from the date of the XLLG failure, at contract rates.

We ask you to contact us regarding the XL passengers you have under your responsibility on 02891 856 547.

Your call will be directed to our call centre who are aware of the situation and will provide you with details on contacting us if it is urgent. Alternatively, you should send an email to claims@cpg.org.uk"

It doesn't mention previous unpaid accommodation charges but seems to cover current customers when XL went bust. So unfortunately it does look as if providers will lose out for outstanding payments BEFORE the crash. It still means that payment will be made at the contracted rate for those people staying in Kosmar accommodation at the time of the crash. So Opera House and Grace Studios on Symi should not have taken it out on those affected. Remember that these places also let out rooms privately.

Thanks Kojak. The information is much appreciated.

Sadly for my friends it looks like they will only get at a maximum, 2 weeks payment from the CAA. That means they have boarded guests free for the whole summer apart from 14 days. Unfortunately for them every room was under contract to Kosmar. The really sad thing is, about 12 years ago they had the same thing happen when Grecian Holiday's sunk without trace.

I am trying to persuade them to get their own website and work independently of any company and they have asked me to get more details. I really hope this is what they decide to do.

Again, many thanks.

Bill

Hello Bill, sorry my info wasn't of much help to your friends. They still can put a claim in to the Official Receiver and there is some info about this on the ATOL site. There's no guarantee that there will be anything to pay out of course...

joeyc wrote:

Whilst I dont agree with the action taken, I can fully understand the owners frustration.

Kosmar/Kosmars Agents around Greece are allegedly owned thousands and thousands of Euros from most of the summer months. To have people inside their rooms, who they think they will never receive payment for, would be frustrating and demoralising. To them, it would be a complete waste of a year.

Don't forget these guys have no earnings in the winter either.

Hi Joeyc....

The wider implications...

I've travelled Greece and Italy staying at many Family owned Hotels and Apartments and the income is often shared over a wider extended family than you see running the businesses, often supporting parents and grand parents. Although in most cases the Hotels / Apartments are owned outright by the families and staffed by family members even with "fingers in other pies" as mentioned above the effects of the losses will surely be felt over the closed season.

The businesses that will feel the most from the losses are those that lease and pay rent and Hotels and apartments that have mortgages to pay or loans for upgrades pools etc that the likes of Kosmar insist they have to get on the books in the first place.

Islanders are a tough bunch and no doubt the sunny faces and the many great characters in the resorts will be there next year after weathering this stormy closed season...

Paul.

Hi Paul,

You're spot on. I remember, for summer 2004, Kosmar insisted that every room they leased throughout Greece had to have air conditioning or they would be dropped.

So if, say, a family run block of 30 studios, required an air conditioning unit costing £300 each (I dont know how much they cost by the way ...) that is an outlay of best part of £10 000, without the labour of installing them.

That money would be lost now. So unfair!