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AJ Maddah: Eventopia Were “Fully Aware” Advanced Money Was Used For Artist Deposits

Written by Nastassia Baroni on December 18, 2015

UPDATE 21/12/15 5.40PM: Eventopia have advised ticket holders that they will be processing Soundwave 2016 refunds. 

Soundwave chief AJ Maddah is continuing his ongoing battle with the defunct festival’s ticketing agent Eventopia, reiterating their obligation to handle ticket refunds and claiming the company was “fully aware” the cash advance they gave him had been used for artist deposits.

Taking to Twitter this afternoon after an uncharacteristic day of silence, Maddah refuted Eventopia General Manager Martin Cunrow’s claims that he was in possession of the money owed to ticket-holders, saying the company was aware that the money they advanced him was paid to artists as a deposit.

“They are fully aware and trying to slime their way out of obligation,” he said. When asked by one follower if that then means the company needs to wear the costs of refunds themselves, Maddah replied, “Yes. that is their business model.”

Maddah also said that even if artists returned their deposits, now that the festival has been axed, it “does not take away from [Eventopia’s] obligation to refund.”

He also claimed he was told Eventopia was “fully insured” for this kind of event “with an American company”.

Earlier today Eventopia’s GM said the company had issued Maddah a letter of demand, requesting an immediate return of advanced ticket proceeds and would begin processing refunds once Maddah returned the funds.

“The customers’ money, the people that have bought tickets to Soundwave, is with AJ Maddah,” Martin Cunrow said. “AJ is not saying that we have the money, and AJ is very aware of the payment processes, and the payments that have been made.”

Speaking to Music Feeds today a NSW Fair Trading spokesperson confirmed that under the Australian Consumer Law, Eventopia, as a supplier, have an obligation to provide refunds, even if they can’t recoup advances made to Maddah.

“Suppliers have an obligation to provide refunds to consumers when there is a failure to supply,” said the spokesperson. “ACL regulators are engaging with the ticket selling agency as the first responder. Affected consumers should contact their financial institution to discuss a chargeback.”

“ACL regulators are encouraging the promoter and ticket selling agency to work together.”

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