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Jum Balea · · 2 min read

Ensogo customers and merchants feel ripped off, but company has no answers yet

ensogo-merchant-at-padlocked-store

It’s like a storm that has swept through Southeast Asia, leaving a huge mess and scores of casualties.

The Ensogo debacle continues as shoppers and merchants slam the company for shutting down its online stores “abruptly,” “suddenly,” and “with no prior warning,” say reports coming from all over the region.

Merchants are left in the dark as to when – or if – they would be able to get pending claims from the collapsed company.

There have been reports about consumers with Ensogo daily deals coupons being turned away by stores and restaurants too.

In Hong Kong, merchants are said to have turned to the police, accusing the company of fraud.

In Thailand, shoppers are reportedly demanding refunds from their banks and credit card providers.

In the meantime, Ensogo staff in Singapore who came to work this week were sent home without notice.

Ensogo management in Australia told Tech in Asia via a statement Tuesday that it was shutting down all its marketplaces in Southeast Asia and laying off staff.

The statement didn’t mention plans for how to deal with shoppers who have already paid for deals that are now useless. It only said that “communications will be made in the coming days.”

We asked Ensogo whether or not staff would receive compensation packages, and this was their reply to us: “Ensogo is bound by [Australian Securities Exchange] disclosure requirements, which preclude early disclosure of new information that has not been shared with the market first.”

We also asked what the next steps are for consumers and merchants. The company sent us this statement today:

In light of the recent withdrawal of support by our Australian shareholder, we are working on our options and next steps. We apologize for any confusion and/or inconvenience this may have caused our customers and merchants. We hope to be able to provide more details and clarity very soon.

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Community Writer

Jum Balea

A Filipino journalist who's preparing to join a Southeast Asian VC (soon). She formerly held roles at The Ken, Tech in Asia, and Manila-based Rappler and ABS-CBN. Twitter: @jumbalea