Viagogo provides tools that could be used for fraud
Evidence obtained by the Guardian found that online tickets platform Viagogo provides a set of tools that could make it easier for people to commit fraud and speculative selling.
The findings prompted a call for a criminal investigation and came as a user reported the “inventory manager”, an online portal available only to people who sell multiple tickets.
The portal allows for similar techniques to be used by people such as the touts Peter Hunter and David Smith, who were jailed for fraud this week.
This portal makes it easier for people to commit “speculative selling”, which entails the advertising of tickets that they do not yet own, on the assumption they will be able to procure them later.
The practice can lead to sales being cancelled, leaving buyers disappointed and potentially out of pocket on travel and accommodation costs.
Hunter and Smith, who used sites including Viagogo to sell at least £11m worth of tickets, were also convicted of a separate count of fraud for using multiple identities and credit cards to bypass restrictions on ticket purchases.
The inventory manager also allows touts to give “employees” access to their account, indicating that touts could pay staff to ensure they get their hands on as many tickets as possible.
Labour MP, Sharon Hodgson, said: “As well as calling for the Competition and Markets Authority to investigate these new revelations, I now believe that there should be a full criminal investigation into the conduct of prominent resale platforms and their links to touts committing offences.
“It is of upmost importance that law enforcement ensures that these platforms are not benefiting from the proceeds of crime.”