Owner took thousands and dodged their calls, customers say
When Heidi Amiri handed over $88,000 to the Iran House of Exchange nearly two years ago, she thought it would show up in her brother’s bank account within five days.
But 19 months later, Amiri said her brother still hasn’t received the money and Reza Torkamani, who owned the money-transfer business, refused to refund it. Amiri filed a complaint with the Better Business Bureau of the Southland.
She wasn’t alone.
It turned out that five patrons of Torkamani’s West-L.A. based money transfer outfit lodged complaints with the bureau in 2001 and 2002, alleging $135,000 in lost funds, officials said.
None of the complaints have been answered.
And despite his clients’ allegations, Torkamani said he’s paid back everybody but one person.
OWNER PROVIDES TWO STORIES Torkamani, who closed the business last year to focus on his Santa Monica Boulevard restaurant and separate kebab shop, gave two different explanations of where the missing money went.
Torkamani said last week that business in Iran dried up and he couldn’t get the transfers through. Because of the way the business is structured, Torkamani said there must be money going in both directions at once.
“There is a delay,” he said. “Some of (the transfers) got delayed for a month or two months because of the contacts in Iran. It is a complicated business.”
But Torkamani changed his story on Monday.
He blamed his Iran-based contact for disappearing with bundles of cash and said he is the one who is owed money.
“I can’t find these people,” he said, adding that he is still owed more than $100,000.
COMPLAINTS LEAD TO FBI INVESTIGATION Torkamani’s change in story is consistent with the experiences of his customers. They describe Torkamani as evasive and say he still hasn’t paid up on thousands of dollars in debts.
They claim Torkamani took their money and promised it would be transferred to relatives in Iran in three to four days.
When the money didn’t register in their relative’s accounts, House of Iran customers said they tried to reach Torkamani but he wouldn’t return their telephone calls.
Once they did reach him, customers said Torkamani came up with a variety of excuses to stall them and finally promised the cash would arrive soon.
Realizing the money wasn’t coming, customers eventually contacted the Better Business Bureau, said Lona Luckett, senior trade practices consultant for the bureau.
The bureau then initiated its own investigation, sending letters and placing calls to the business. (See related story.) When the Iran House of Exchange refused to respond, the bureau notified the FBI, which is investigating the allegations.
HOUNDING FOR REFUNDS Customers who have been repaid by Torkamani said they were forced to pester him for refunds after their cash transfers failed to make it to Iran.
“He was very calm on the phone,” said Ameneh Breest, who hired Torkamani to wire $1,600 to her brother. “Every time I called he said he sent the money yesterday.”
When the cash didn’t make it overseas, Breest said she and her husband spent months calling and writing letters to Torkamani. Eventually, the couple threatened him with legal action. Weeks later, a refund check arrived at her home.
Another customer said he demanded a refund after his $40,000 transfer didn’t go through. When Torkamani finally wrote him a check, it bounced because of non-sufficient funds, the customer said.
Torkamani had an answer for that, too.
“We told him to hold onto the check,” he said. “I told him ‘You have to wait two to three days because it’s Christmastime.’”
STILL WAITING ON CASH While some customers say they were finally paid back by Torkamani, others say they’re still waiting for him to pay up.
“He stalled, and stalled and stalled,” said Amiri, who spotted Torkamani’s ad in an Iranian newspaper. “Finally, after three months, I realized he doesn’t intend to send my money or give it back.”
“He stalled, and stalled and stalled. Finally, after three months, I realized he doesn’t intend to send my money or give it back.” — — HEIDI AMIRI Customer
Amiri said the $88,000 was to be used by her brother for an apartment in Tehran, Iran.
After confronting Torkamani, Amiri said she agreed to accept repayment of the debt in installments. But after $37,000 had been repaid, she said the payments dried up.
As of last week, Amiri said Torkamani still owes her $51,000, plus the interest she’s paying on her $88,000 loan.
Asked why she hasn’t pursued Torkamani legally, Amiri said she’s been persuaded that “the legal system in this country does not work” by relatives and by her experience as a landlord.
If Torkamani doesn’t pay up soon, Amiri said she will be forced to hire a lawyer.
Last week, Torkamani denied having any outstanding debts at all.
“They’ve all been taken care of,” he said. “Everybody got their money back.”
But confronted with Amiri’s story Monday, Torkamani changed his tune and admitted he still owes Amiri about $9,000.
He said he plans to pay her back in full.
Originally published in the Santa Monica Daily Press print edition on April 22, 2003. Read the original PDF.