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2014-3903 Ordinance ORDINANCE NO. 2014-3903 AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 46 OF THE CODE OF THE CITY OF MIAMI BEACH, FLORIDA, ENTITLED "ENVIRONMENT," BY AMENDING ARTICLE III, ENTITLED "LITTER," BY AMENDING DIVISION 1, ENTITLED "GENERALLY," BY AMENDING SECTION 46-92(a), ENTITLED "DEFINITIONS," BY ADDING A DEFINITION FOR THE TERM "RIGHT-OF-WAY," BY AMENDING SECTION 46-92(g), ENTITLED "PROHIBITION ON COMMERCIAL HANDBILL DISTRIBUTION," BY AMENDING THE REGULATIONS AND PROHIBITIONS FOR THE DISTRIBUTION OF COMMERCIAL HANDBILLS; PROVIDING FOR REPEALER, SEVERABILITY, 9 CODIFICATION AND AN EFFECTIVE DATE. WHEREAS, Washington Avenue from 5th Street to Lincoln Road ("Washington Avenue"); Ocean Drive from 5th Street to 15th Street ("Ocean Drive"); the area bounded on the north by, but not including, 17th Street, bounded on the east by, but not including, Washington Avenue, bounded on the south by Lincoln Lane, and bounded on the west by Alton Road ("Lincoln Road Area"); the area bounded on the north by 15th Street, bounded on the east by Ocean Drive, bounded on the south by 5th Street, and bounded on the west by Washington Avenue ("Collins Avenue Area"); Espanola Way from Pennsylvania Avenue to Collins Avenue ("Espanola Way"); and Lummus Park, are located within or adjacent to unique historic districts in the City of Miami Beach ("City") and are nationally and internationally popular tourist destinations; and WHEREAS, the City of Miami Beach and, in particular, the Lincoln Road Area, Espanola Way, Lummus Park, Ocean Drive, Washington Avenue, and the Collins Avenue Area, are located in the "South Beach" area, which attracts a reported 6.8 million tourists from around the world annually and is host to a myriad of major events, such as Art Basel - Miami Beach, The Food Network South Beach Wine & Food Festival, the Miami International Boat Show, White Party, Winter Party, Winter Music Conference, Miami Marathon, Art Deco Weekend, South Beach Comedy Festival, Mercedes Benz Swimwear Fashion Week, among others, that attract local, national, and international visitors; and WHEREAS, situated within the Lincoln Road and Collins Avenue Areas, and along Ocean Drive, Washington Avenue, Lummus Park, and Espanola Way are a multitude of retail, dining, and entertainment venues that include restaurants, sidewalk cafes, nightclubs, the Miami Beach Convention Center, the Fillmore at the Jackie Gleason Theater, the New World Symphony, City parks, and retail stores, all of which are heavily trafficked by residents, visitors, and tourists who desire to visit, shop, dine, and attend cultural performances, or to simply stroll along these areas without any disruption and intimidation; and WHEREAS, the distribution of commercial handbills on these heavily traveled pedestrian areas causes increased pedestrian congestion, harassment of the tourists and residents who traverse these historic areas, and increases litter on sidewalks, streets, and in sidewalk cafd areas; and WHEREAS, the litter on public property caused by persons distributing commercial handbills has been a problem in the City of Miami Beach for many years and has been the subject of City Commission discussions; and WHEREAS, the harassing and excessive commercial handbill distribution in or on Washington Avenue, Ocean Drive, the Collins Avenue Area, the Lincoln Road Area, Espanola Way, and Lummus Park has resulted in significant complaints to the City, and to local business owners, from residents and tourists who seek a pleasant strolling and sightseeing experience and is an invasion of the privacy of pedestrians and a detrimental nuisance which adversely impacts the City's tourist industry; and WHEREAS, the harassing and excessive commercial handbill distribution on the public rights-of-way that are adjacent to and within sidewalk cafe areas is also a detrimental nuisance which invades the privacy of cafe diners and adversely impacts the City's interests in preserving its aesthetic ambience, tourist industry, and image as a beautiful and enjoyable beachfront destination; and WHEREAS, the businesses that engage in commercial solicitation activities through the distribution of handbills disrupt the activities of the surrounding outdoor cafes, restaurants, nightclubs, retail establishments, and entertainment venues, by physically approaching, harassing, and intimidating residents, visitors, and tourists in places where it is difficult to exercise the right to decline to listen to them or avoid their requests; and WHEREAS, the commercial solicitation activities engaged in by some businesses dissuade residents, visitors, and tourists from traversing the aforementioned areas, resulting in a disruption of business to the surrounding outdoor cafes, restaurants, nightclubs, retail establishments, and entertainment venues; and WHEREAS, the City recognizes that commercial speech, including speech disseminated through commercial handbills, is entitled to First Amendment protection and its regulation must be content-neutral and narrowly tailored to serve significant government interests while leaving open alternative channels of communication; and WHEREAS, the City has significant governmental interests in protecting the character of its historic districts, developing high-end retail and high-end promenades within its historic and entertainment districts, promoting luxury tourism, minimizing the harassment of pedestrians along the public right-of-way, minimizing congestion, reducing litter, and improving the aesthetic experience for residents and visitors; and WHEREAS, it would serve the aforementioned governmental interests for the City Commission to enact an Ordinance increasing the City's ability to enforce its litter regulations by prohibiting the distribution of commercial handbills in and along Washington Avenue, Ocean Drive, the Collins Avenue Area, the Lincoln Road Area, Espanola Way, and Lummus Park. 2 NOW, THEREFORE, BE IT DULY ORDAINED BY THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH AS FOLLOWS: SECTION 1. That Division 1 of Article III of Chapter 46 of the Code of the City of Miami Beach, Florida is hereby amended as follows: Chapter 46 ENVIRONMENT ARTICLE III. LITTER DIVISION 1. GENERALLY Sec. 46-92. Litter; definitions; prohibitions on litter; penalties for litter and commercial handbill violations; commercial handbill regulations, fines, and rebuttable presumptions; seizure and removal of litter by the city; enforcement; appeals; liens. (a) Definitions. The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: (3)Handbill means any handbill, flyer, paper, document, dodger, circular, folder, booklet, letter, card, pamphlet, sheet, poster, sticker, banner, notice or other written, printed or painted matter or object that conveys any information, except that "handbill" shall not include a newspaper or its contents. (4) Commercial handbill means any handbill that conveys any information about any good or service provided by a business. (8) Right-of-tivay means and includes, but is not limited to, any state, county. or city- owned public street, sidewalk. street corner, curb, bicycle path, or pedestrian walkway. (g) Prohibitions on commercial handbill distribution. (1) Historic Areas. It shall be unlawful for any person to distribute commercial handbills on the right-of-way in any of the following areas in the City of Miami.Beach: a The area bounded on the north bv, but not including, 17th. Street, bounded on the east by, but not including, Washington Avenue, bounded on the south by Lincoln Lane, and bounded on the west by Alton Road; 3 b. Ocean Drive from 5th to 15th Streets; C. Collins Avenue from 5th to 15th Streets; d. Washington Avenue from. 5th.to :l..,incol.n. Road; e. All cross streets and bvstreets bounded on the north.by 1.5th. Street, bounded on the east by Ocean Drive, bounded on the south by 5th Street, and bounded on the west by Washington Ave; f. Espanola Way from Pennsylvania Avenue to Collins Avenue; wid �ly. Lummu.s Park. The prohibitions in this subsection (g) shall apply to the distribution of commercial handbills on any right-of-way. including but not limited to any doorway, stairway, window-or other opening of a building abutting on or adjacent to such right-of way. All rights-ot-way identified as prohibited areas shall include the entire width of the right-of-way. including all sidewalks. (44 , , sh have the --,,---.-i.bed to them in this subseetion, exeept where the eentexxt elearly indicates a diff- r-en+ m t g appendix !1. . v of time as y designated e}ty mr+nnrter d r;nrr hinh ++1,« �-.11r,«+inrr r-nntr� I (; There icy n designated ma�r t��[�as•�t�c�- There IILT T�� maintenanee of r limited.ty street elo stir-e , lano elesu fes shuttle sera,iee)--, (iii) 1--lotel oee��ney=1ev'1_S-mot'a iei ate d-t3-ha greater+hnn '7C (iv) Mutual aid of other assistanee f+em eutside r-equir-ed to Pfovi.de f4r the. safety and well. being of residents and vi.sitefs t estination; and ( (v) An event on publie pfopet4y is antieipated to fesull in-rnore than 2-5,000 visitors to state,0. Ri& 4way means and ineludes, bet is tiet limited to, any eounty.. --oil-yowned pttbiie street, sidewalk, street comef, ettr-b, bieyele path, 0 pedestrian walkway. periods. 4 not be disti4buted in the art deco hisiefie distr-iet b th+etigh 15th , Collins Avenue- f+em 6th thfouggh 17th Streets, and on any pertion of 1-4neeln Read. (2-3) Sidewalk cafes. Commercial handbills shall not be distributed on the right-of-way: a. Within 20 feet in any direction from the outside perimeter of any approved sidewalk cafe (as indicated in the approved site plan attached to the city-issued permit); and b. On any right-of-way within the approved sidewalk cafe. (34) Beaches. Commercial handbills shall not be distributed on any city beach east of the dunes. SECTION 2. CODIFICATION It is the intention of the Mayor and the City Commission of the City of Miami Beach, and it is hereby ordained that the provisions of this Ordinance shall become and be made a part of the Code of the City of Miami Beach, Florida. The sections of this ordinance may be renumbered or re-lettered to accomplish such intention, and the word"ordinance"may be changed to "section," "article," or other appropriate word. SECTION 3. REPEALER All ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. SECTION 4. SEVERABILITY If any section, subsection, clause or provision of this Ordinance is held invalid, the remainder shall not be affected by such invalidity. 5 SECTION 5. EFFECTIVE DATE PASSED and ADOPTED this I? day of fpVerqj6r, 2014. This Ordinance shall take effect on the aq day of PMrtj eC, 2014. ATTEST: �,a Philip Le ine � FJ RP ORATED' / Raf l E. Granado, City Cle TO Underscore denotes additions Stroke through denotes deletion (Sponsored by Mayor Philip Levine) APPROVED AS TO FORM & LANGUAGE & FOR EXECUTION �— (131(4 City Attorney`A� Date 6 COMMISSION ITEM SUMMARY Condensed Title: Second Reading to consider an Ordinance Amendment pertaining to the distribution of commercial handbills. Key Intended Outcome Supported: The government interests supporting these proposed amendments include: (1) Protecting the historic character.of these districts, the City's economic engine; (2) Developing the high-end retail and high-end sidewalk cafe promenades in the district; (3) Promoting luxury tourism; (4) Minimizing harassment of pedestrians along the public right-of-way; (5) Minimizing congestion; (6) Reducing litter; (7) Improving the aesthetic experience for residents and visitors. Supporting Data(Surveys, Environmental Scan,etc The City has received numerous complaints from residents,visitors,and business owners and managers regarding the proliferation of commercial handbills. Item Summa /Recommendation: FIRST READING The proposed amendment to Section 46-92(g)seeks to prohibit the distribution of commercial handbills along the public right-of-way in the following areas: (1) The area bounded on the north by, but not including, 17th Street, bounded on the east by, but not including,Washington Avenue, bounded on the south by Lincoln Lane,and bounded on the west by Alton Road; (2) Ocean Drive from 5th to 15th Streets; (3) Collins Avenue from 5th to 15th Streets; (4) Washington Avenue from 5th to Lincoln Road; (5) All cross streets and bystreets bounded on the north by 15th Street, bounded on the east by Ocean Drive, bounded on the south by 5th Street, and bounded on the west by Washington Ave.; (6) Espanola Way from Pennsylvania Avenue to Collins Avenue;and (7) Lummus Park. As in the current version of Section 46-92(g), the ban on the distribution of commercial handbills within 20 feet from the outside perimeter of any approved sidewalk cafe, on any right-of-way within the approved sidewalk cafe, and on any City beach east of the dunes would remain in force throughout the City. The Administration recommends that the City Commission approve the Ordinance at Second Reading. Financial Information: Source of Amount Account Funds: 1 2 3 OBPI Total Financial Impact Summary: In accordance with Charter section 5.02,which requires that the"City of Miami Beach shall consider the long-term economic impact(at least 5 years)of proposed legislative actions,"this shall confirm that the City Administration evaluated the long-term economic impact(at least 5 years)of this proposed legislative action,and determined that there will be no measureable impact on the City's budget. City Clerk's Office Legislative Tracking: City Attorney's Office—Camilo Mejia(Ext.6731) Si -O D t Director Assistant City nager ity Manager HD JMJ - JLM - T:\AGENDA\2 No tuber\HANDBILL Commissi o MIAMMEACH DATE AGENDA ITEM � V 11- - COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members f the Ci Commission FROM: Jimmy L. Morales, City Manager SECOND READING PUBLIC HEARING CC: Raul J. Aguila, City Attorney DATE: November 19, 2014 SUBJ: AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING CHAPTER 46 OF THE CODE OF THE CITY OF MIAMI BEACH, FLORIDA, ENTITLED "ENVIRONMENT," BY AMENDING ARTICLE III, ENTITLED 66LITTER," BY AMENDING DIVISION 1, ENTITLED "GENERALLY," BY AMENDING SECTION 46-92(a), ENTITLED 66DEFINITIONS," BY ADDING A DEFINITION FOR THE TERM 66RIGHT-OF-WAY," BY AMENDING SECTION 46-92(g), ENTITLED "PROHIBITION ON COMMERCIAL HANDBILL DISTRIBUTION," BY AMENDING THE REGULATIONS AND PROHIBITIONS FOR THE DISTRIBUTION OF COMMERCIAL HANDBILLS; PROVIDING FOR REPEALER, SEVERABILITY, CODIFICATION, AND AN EFFECTIVE DATE. ADMINISTRATION RECOMMENDATION The proposed Ordinance was approved by the City Commission on First Reading on September 30, 2014 and referred to the Neighborhood and Community Affairs Committee for public hearing and debate. At its October 31, 2014 meeting, members of the Committee heard testimony from the public and City staff, and considered supporting documents entered into the legislative record by the Administration. At the conclusion of that hearing, the members of the Committee unanimously recommended approval of the Ordinance and returned it to the full City Commission for Second Reading. The Administration recommends that the City Commission approve the Ordinance on Second Reading-Public Hearing on November 19, 2014. BACKGROUND Section 74-1 of the Code of the City of Miami Beach currently prohibits any person from soliciting pedestrians for any commercial purpose. This prohibition applies throughout the City. Section 46-92(g) prohibits the distribution of commercial handbills during high-impact periods on certain streets within the City's art deco district (Ocean Drive from 6th through 15th Streets, Washington Avenue from 6th through 17th Streets, Collins Avenue from 6th through 17th Streets, and on any portion of Lincoln Road). 1 In 2012, the City Commission amended the enforcement provisions of both Section 74-1 and 46-92 by: (a) altering the penalty scheme for the violation of these provisions; and (b) transferring the enforcement responsibilities from the City's Police Department to the Code Compliance Division. Throughout the last year, in response to complaints from visitors and residents, the City Commission directed the Administration to step up its enforcement efforts to address commercial solicitation along the City's most popular tourist destinations, with an emphasis on Lincoln Road and Ocean Drive. As a result, the number of citations issued by the Code Compliance Division pursuant to these provisions has increased substantially. CURRENT REGULATIONS A. Chapter 74-1: Current Prohibition on Commercial Solicitation. In its current form, Section 74-1 of the Code of the City of Miami Beach places restrictions on the solicitation of pedestrians for commercial purposes. More specifically, this Section provides that: It shall be unlawful for any person, while upon any public street or sidewalk or while in any building, doorway, stairway, window or other opening abutting on or adjacent to such street or sidewalk, to accost or attempt to accost any pedestrian on such street or sidewalk for the purpose of soliciting him to purchase any property, real or personal, or any food, beverage or service, or to solicit him to enter any place of business for the purpose of selling to or inducing or attempting to induce such pedestrian to purchase any property, real or personal, or any food, beverage or service. B. Chapter 46-92(a): Current Prohibitions on Commercial Handbill Distribution. Section 46-92(g) prohibits the distribution of commercial handbills during high-impact periods on certain streets within the City's art deco district: Ocean Drive from 6th through 15th Streets, Washington Avenue from 6th through 17th Streets, Collins Avenue from 6th through 17th Streets, and on any portion of Lincoln Road). The City Code defines high-impact periods as "those periods of time as annually designated by the City Manager during which one of the following occur: (i) There is a designated major event period; (ii) A maintenance or traffic plan is required; (iii) Hotel occupancy levels are anticipated to be greater than 75 percent; 2 (iv) Mutual aid or other assistance from outside agencies is required to provide for the safety and well-being of residents and visitors to the destination; and (v) An event on public property is anticipated to result in more than 25,000 visitors to the destination. In addition to the above prohibition, Section 46-92(g) also bans the distribution of commercial handbills within 20 feet from the outside perimeter of any approved sidewalk cafe, on any right-of-way within the approved sidewalk cafe, and on any City beach east of the dunes. PROPOSED AMENDMENTS A. Proposed Amendment to Section 74-1 The proposed amendment to Section 74-1 prohibits commercial solicitation along the public right-of-way only within the following areas: (1) The area bounded on the north by, but not including, 17th Street, bounded on the east by, but not including, Washington Avenue, bounded on the south by Lincoln Lane, and bounded on the west by Alton Road; (2) Ocean Drive from 5th to 15th Streets; (3) Collins Avenue from 5th to 15th Streets; (4) Washington Avenue from 5th to Lincoln Road; (5) All cross streets and bystreets bounded on the north by 15th Street, bounded on the east by Ocean Drive, bounded on the south by 5th Street, and bounded on the west by Washington Ave; (6) Espanola Way from Pennsylvania Avenue to Collins Avenue; and (7) Lummus Park. As in the current version of Section 74-1, the prohibitions , on commercial solicitation in the proposed amendment would apply at all times. Additionally, the proposed amendment eases the enforcement of the city's regulation of commercial solicitation by clarifying the prohibitions on commercial 3 solicitation by setting forth restrictions based upon designated locations for the purpose of soliciting him or her to purchase any good, service, food, or beverage. The government interests supporting these proposed amendments include: (1) protecting the historic character of these districts, the City's economic engine; (2) developing the high-end retail and high-end sidewalk cafe promenades in the district; (3) promoting luxury tourism; (4) minimizing harassment of pedestrians along the public right-of-way; (5) minimizing congestion; (6) reducing litter; (7) improving the aesthetic experience for residents and visitors; (8) protecting the right of pedestrians to be let alone in their quiet enjoyment of these districts; (9) maintaining the unique ambiance the city has created in these sectors; and (10) the expansion of other areas where commercial solicitation is allowed within the city. B. Proposed Amendment to Section 46-92(a) The proposed amendment to Section 46-92(g) seeks to prohibit the distribution of commercial handbills within the following areas: (1) The area bounded on the north by, but not including, 17th Street, bounded on the east by, but not including, Washington Avenue, bounded on the south by Lincoln Lane, and bounded on the west by Alton Road; (2) Ocean Drive from 5th to 15th Streets; (3) Collins Avenue from 5th to 15th Streets; (4) Washington Avenue from 5th to Lincoln Road; (5) All cross streets and bystreets bounded on the north by 15th Street, bounded on the east by Ocean Drive, bounded on the south by 5th Street, and bounded on the west by Washington Ave; (6) Espanola Way from Pennsylvania Avenue to Collins Avenue; and (7) Lummus Park. As in the current version of Section 46-92(g), the ban on the distribution of commercial handbills within 20 feet from the outside perimeter of any approved sidewalk cafe, on any right-of-way within the approved sidewalk cafe, and on any City beach east of the dunes would remain in force throughout the City. 4 The government interests supporting these proposed amendments include: (1) protecting the historic character of these districts, the City's economic engine; (2) developing the high-end retail and high-end sidewalk cafe promenades in the district; (3) promoting luxury tourism; (4) minimizing harassment of pedestrians along the public right-of-way; (5) minimizing congestion; (6) reducing litter; (7) improving the aesthetic experience for residents and visitors; (8) protecting the right of pedestrians to be let alone in their quiet enjoyment of these districts; (9) maintaining the unique ambiance the city has created in these sectors; and (10) the expansion of other areas where commercial solicitation is allowed within the city. ANALYSIS A. History of Art Deco District. Miami Beach's Art Deco District ("the District") is the first 20th-century neighborhood to be recognized by the National Register of Historic Places. Prior to its historic preservation, this acclaimed sector was a working-class district on a downward spiral. The District was plagued with drug use and crime. Physical decay was rampant. In the 1970's, many of the buildings and structures in the District were slated for demolition. The desire to save many of these small hotels promoted a widespread interest in preserving the area and eventually made Ocean Drive a fashionable address. Now a focal point of revitalization and redevelopment, Miami Beach's renowned Art Deco District is both a national treasure and an international attraction. Miami Beach was recently named one of the "Great American Public Places" and the "Hottest Destination in the World." In addition to the architectural beauty of the Art Deco District, its unique tourism, the single most important other feature ambiance, and its importance for tou g p of the area is its sidewalk cafes. The numerous sidewalk cafes on Ocean Drive and throughout the Art Deco District facilitated the area's popularity and ensure its continued success. In a 1996 survey conducted by the Greater Miami Convention and Visitors Bureau, visitors to Greater Miami were asked what features they liked most about the region. Given the wide range of amenities and attractions in Greater Miami, Ocean Drive restaurants and cafes were remarkably selected by almost twenty percent (20%) of the visitors. The importance of the Art Deco District and its cafes is also evidenced by the increase in Resort Tax for Miami Beach and the South Beach District. The Art Deco district and South Beach were the top tourist attractions in Miami-Dade County in 2013, visited by nearly 43.6% of its 14.2 million visitors. Resort Tax sales are room, alcohol, and food sales collected by establishments in Miami Beach. Resort Tax sales for Miami Beach have increased from a negligible amount in 1989 to $59,613,311 in fiscal year 2012-2013. Resort taxes accounted for 16% (FY 11/12) and 17% (FY 12/13) of Revenues for City in Government Activities. The District has become the City's economic life blood. 5 The District can be divided into three major neighborhood types based on function and use — the seasonal hotel area, the commercial areas and the residential area. Architecturally, these zones are easily recognizable and coincide with the long-established street configuration. The seasonal hotel area is concentrated along Ocean Drive from 5th Street to 15th Street and along Collins Avenue from 6th Street to 23rd Street. A secondary concentration of such hotels is located in the Collins Park/James Avenue area north of Lincoln Road and east of Washington Avenue. The commercial areas are largely restricted to two streets which traverse the District from north to south (Washington Avenue) and east to west (Lincoln Road). The residential area which surrounds Flamingo Park includes both multi-family and single family buildings. This approximately 125 square block area contains the largest concentration of 1920s and 1930s era resort architecture in the United States. Dozens of grand, Mediterranean Revival style hotels were built during the 1920s. In the early 1930s the City was being promoted and developed as a tropical playground. It is during this phase that a new building boom began, and would last until the beginning of World War ll. The vast majority of the over 800 buildings constructed in the 1930s were designed in the Moderne (Art Deco and Streamline) style of architecture. These apartment houses and commercial buildings were built by only a few architects working for a small number of developers, resulting in a uniformity of scale, architectural style and extraordinary architectural compatibility, and giving the district an extremely cohesive character. In 1979, the Miami Beach Architectural District was listed on the National Register of Historic Places. This act set a historic precedent because it marked the first recognition of a 20th Century district. Today, the Art Deco district of Miami Beach is'one of America's most famous neighborhoods. Its Art Deco architecture has formed the backdrop to many fashion shoots, movies, television shows, and music videos. Benefiting from its unique geography and history, the preservation of Miami Beach has had a significant regional economic impact. In May of 1979, thanks in large part to the efforts of the Miami Design Preservation League, the Miami Beach Architectural District was listed on the National Register of Historic Places. In addition to marking the first time that a 20th Century district obtained this designation, this event was also significant because many of the buildings in the district were not over 50 years old, which until that time was considered necessary for inclusion in the Register. Since its addition to National Register of Historic Places, the City has heavily regulated the District to protect its unique aesthetics and ambiance. Specifically, the City precludes all commercial solicitation (except the sidewalk cafe tables) from the streets and sidewalks in the District and the buildings and cafes are subject to an extensive design review process for all physical 6 structures and fixtures associated with them. Moreover, the City recently added even stricter criteria to the regulations which govern the sidewalk cafes. The City is committed to maintaining the District's historic significance and aesthetic beauty and ensuring its continued success. Between 1986 and 1992 the City filled in the boundaries of the National Register Historic District with four locally designated historic districts. These locally designated historic districts include the Ocean Drive/Collins Avenue Historic District, Espanola Way Historic District, Flamingo Park Historic District, and the Museum Historic District. Three of the four locally designated historic districts are made up of portions of major commercial streets that are included in the area regulated by the amendments proposed'today: Ocean Drive Ocean Drive is the cultural and economic backbone of the City's tourism industry. The sidewalk cafes on Ocean Drive between Fifth and Fifteenth Streets have become the economic lifeblood of the City. In a 1996 study, almost twenty percent of the tourists to the Greater Miami area listed the cafe district as their favorite area attraction. Indeed, the architecture, colors, and style of Ocean Drive and the Art Deco District have come to symbolize the entire City. Lincoln Road In 1914, a year before the "Town of Miami Beach" was incorporated, Lincoln Road was conceived of and built by Carl Fisher (developer of the Indianapolis Speedway) to command the attention of America's industrial and social elite. Lincoln Road was destined to become "The Fifth Avenue of the South". Fisher, who was often referred to as "the Father of Miami Beach", specifically intended for the road to be the "high end" retail hinge of Miami Beach. Fisher's vision gave exceptional urbane credibility to the otherwise small and fledgling seaside resort community built on a sandbar. It not only brought visitors seeking the warmth of the tropical sun but also wealthy new residents accustomed to the amenity of fine shopping and high profile promenading. Time and history have proven that the urban success of Lincoln Road is highly dependent upon creating and maintaining a critical balance of energizing uses — retail, outdoor cafes, fine dining, cultural amenity, and joyful promenading along a tree shaded corridors, in tandem with exceptional adaptive reuse and restoration of historic structures simultaneous with the creation of brilliant new design at a world class level. If any one of these decisive factors is undervalued or undermined the Road could once again slip back into commercial and cultural decline as witnessed in the 1950s and the 1970s, 80s, and early 90s. 7 Washington Avenue Washington Avenue has historically served as one of the primary commercial streets in our city. It has contained a mix of retail stores, restaurants, hotels and sidewalk cafes. Washington Avenue contains a one mile corridor from 5th Street to Lincoln Road, comprising thirteen blocks and containing 98 Historic Properties. Washington Avenue landmarks include Old City Hall, the historic United States Post Office, the Blackstone Hotel, Feinberg-Fisher Elementary School, the Wolfsonian-FIU Museum of Art, and the historic Espanola Way district. Collins Avenue Collins Avenue region from 5th Street to 17th Street is one of the two major commercial thoroughfares in the Ocean Drive/Collins Avenue Historic District. This geographic region contains a concentration of hotels that house a significant percentage of the city's tourists, and a large number of historically relevant hotels and other structures. Espanola Way Espanola Way sits on land which formed the northern boundary of Ocean Beach; the first recorded plat in what was to become Miami Beach, as recorded by the pioneer Lummus Brothers' Ocean Beach Realty Company in 1912. The street was built by Francis F. Whitman in 1922 as "Whitman's Spanish Colony." The undeveloped land consisting of 20 corner lots and 40 inside lots was purchased by N.B.T. Roney and the Spanish Village Corporation in 1925 at the peak of the first great Florida land boom. Roney, one of the most prolific builders in early Miami Beach envisioned creating an artists' colony ... "where artists and lovers of the artistic might congregate amid congenial surroundings." The idea of such a bohemian village was first suggested to Mr. Roney by former New Yorkers who mentioned that Miami Beach lacked an area with a creative atmosphere for artists as one would find in New York's Greenwich Village, or the artists' q uarter in Paris. B. Commercial Solicitation Threatens the Historic Districts. Commercial solicitation of pedestrians along Ocean Drive, Lincoln Road, Washington Avenue, Collins Avenue, and Espanola Way causes increased pedestrian congestion and harassment of the tourists and residents who frequent these historically significant and popular tourist destinations. Commercial solicitation has been a problem for the City for some time, as reflected by numerous complaints from residents, businesses, and visitors, as well as the observations of City officials, regarding the harassment and accosting of 8 pedestrians arising from commercial solicitation activities. As an internationally famous tourist destination, the visual blight caused by commercial solicitation harms the City's goal of promoting tourism and continuing to be an internationally renowned tourist destination. Commercial solicitation along these historically significant and popular areas reduces pedestrians' enjoyment of these areas and impedes the City's vision of these areas as pleasant and tranquil promenades. Both the aesthetics and special ambiance of these districts are being adversely affected by commercial solicitation along the streets and sidewalks. C. Commercial Handbill Distribution Threatens the Historic Districts. The distribution of commercial handbills along Ocean Drive, Lincoln Road, Washington Avenue, Collins Avenue, and Espanola Way causes increased pedestrian congestion and harassment of the tourists and residents who frequent these historically significant and popular tourist destinations. The proliferation of commercial solicitation, including solicitation through the distribution of commercial handbills, is a burgeoning problem for the City, as reflected by numerous complaints from residents, businesses, and visitors, as well as the observations of City officials, regarding the harassment and accosting of pedestrians arising from these activities. As an internationally famous tourist destination, the visual blight caused by the handbills that end up as litter harms the City's goal of promoting tourism and continuing to be an internationally renowned tourist destination. The distribution of commercial handbills along these historically significant and popular areas reduces pedestrians' enjoyment of these areas and impedes the City's vision of these areas as pleasant and tranquil promenades. D. Evidence Considered in Support of the Amendments. The City has received numerous complaints from business owners and managers regarding the proliferation of commercial solicitation activities and commercial handbilling within the regulated areas. Although the experiences of these business owners and managers vary, they include, but are not limited to, the following observations: • Employees of several retail stores and restaurants along Lincoln Road actively solicit pedestrians on the public right-of-way by approaching them in an aggressive manner, including by touching a potential customers' hair or body, questioning pedestrians insistently, and continuing to speak with and walk along pedestrians who ask to be left alone. 9 • Commercial solicitation has damaged the reputation of Lincoln Road, creating a "honky tonk" atmosphere. • On at least one occasion, a pedestrian was "cursed out" when said pedestrian refused to go along with a sales pitch from a solicitor. • On another occasion, a pedestrian verbally objected to the solicitor's unwanted advances, and the solicitor followed her to her car in an attempt to intimidate her and possibly cause her harm. • Employees of stores engaging in commercial solicitation are scaring customers, tourists, and pedestrians away from entering nearby businesses. • Customers often complain about their anger, annoyance, and discomfort resulting from the exposure to commercial solicitation tactics. • Often, pedestrians will avoid the entire side of the street where the commercial solicitation activities are taking place, or will quickly walk past these areas in order to avoid the harassment. • Employees of neighboring retail and food establishments avoid the areas where commercial solicitation takes place, and are forced to take alternate routes to get to work, in order to avoid the harassing conduct of commercial solicitors. • City staff reports that several businesses conducting commercial solicitation along Lincoln Road have appropriated the public right-of- way by marking their "territory" with black tape on the sidewalk, impeding pedestrians from walking through the "box." • While the box discourages pedestrians from walking through the illegally appropriated space, the commercial solicitors do not confine themselves to the box, instead chasing pedestrians down the street. In addition to complaints of business owners and managers, the Administration has also received numerous complaints from residents and visitors. These include email accounts of not being able to walk along Lincoln Road without fear of being hassled and/or harassed, as well as descriptions of rude behavior and comments when a pedestrian chooses to avoid the commercial solicitation activities. 10 E. Alternative Solutions for Consideration. The Administration has considered several alternatives with a view towards resolving the problems of commercial solicitation. One of these alternatives involves the creation of free speech "bubbles," which would essentially require that any commercial solicitation activities take place beyond a minimum threshold distance surrounding a pedestrian. This alternative has been discussed and, ultimately, rejected due to the difficulties that arise in connection with the enforcement of buffer zones in the high-traffic pedestrian areas where solicitation is a problem. A second alternative is to create commercial solicitation "boxes" or "zones," in which commercial solicitation would be allowed with little or no limitation. The Administration considered several such areas, including: (1) the intersection of Lincoln Road and Washington Avenue; (2) the intersection of Ocean Drive and Fifth Street; and (3) the intersection of Ocean Drive and Tenth Street. Several unacceptable enforcement and administrative challenges arise in connection with this alternative. First, this alternative does not address many of the legitimate concerns raised above because it still would create a bazaar atmosphere. Also, it is difficult to determine the geographic limitations of these zones, as well as the extent of the limitations on speech, if any, on commercial soliciting within these zones. Second, commercial speech zones would create enforcement challenges, as it would be difficult to define the boundaries of the zone itself, and, in addition, there would likely be some spillover effect outside of the zone and into the surrounding bystreets and side streets. As a third alternative, the Administration considered limiting the application of the commercial solicitation ban to aggressive solicitation. As with the other alternatives, this limitation poses several important enforcement problems. First, it is more difficult than restrictions or limitations based on location to enforce. Similarly, training Code enforcement officers to recognize whether particular conduct is in fact aggressive, and thus subject to a violation, would also be more costly and difficult. In addition, limiting the ban to aggressive solicitation would not help to resolve the more prevalent problem of commercial solicitation along the City's rights-of-way. Accordingly, the Administration does not recommend adopting this alternative. F. Availability of Alternative Channels of Communication. The Administration has carefully considered alternative channels that commercial entities have to convey their commercial messages other than direct solicitation and handbilling in the historic districts under consideration. Various alternatives do exist: 11 1. The regulated area is small. It comprises only short stretches of six streets within the City's historic districts. The vast majority of the City is available for commercial solicitation and handbilling. 2. Within the regulated zone, commercial businesses may convey their commercial messages on lighted billboard type signs that are leased for that purpose. 3. Commercial businesses may convey their message, subject to lawful restrictions of type and size, on signage on their building and in their windows. 4. Subject to lawful restrictions on number, spacing, and volume, messages may be conveyed with a permit within the regulated area by incorporating them into a performance such as a song. 5. The City permits newsstands (subject to lawful regulation) within the regulated area. Commercial entities are free to purchase advertising space within newspapers of all kinds from publishers that have a permit to place a newsstand on City Streets (or to seek a permit to place a newsstand for a newspaper published by the commercial entity). 6. The Internet is widely available within the regulated area, including via City provided free Wi-Fi coverage. Location services on the Internet such as Yelp, AroundMe, and Facebook allow businesses to communicate to the public within the regulated area the location of the business, information about the business, and consumer reviews of the commercial entities within the regulated area. Commercial entities are free to communicate their message to consumers who want it via this medium. 7. Most businesses within the regulated area are permitted to place a single video monitor within their window in order to communicate with the public regarding the services offered inside. 8. Advertising on the local television and radio stations is readily available. 12 G. Failure of Current Regulatory Regime and Likelihood that Proposed Regulations Will Successfully Address the Continuing Challenges. The current regulatory scheme for commercial solicitation and handbilling within the City has proven ineffective. It requires an economically infeasible investment of staff and enforcement resources. Additionally, as tourism and commercial revenue within the regulated area increases exponentially, the problems associated with commercial solicitation and the litter and environmental harm associated with commercial handbilling are correspondingly multiplied. The Administration concludes that the limited prohibition of commercial solicitation within the historic districts regulated here (as opposed to the entire city) will allow city code enforcement officers and police officers to more effectively regulate commercial solicitation in these historically sensitive areas. Additionally, the prohibition on commercial handbilling within the regulated historic districts will more effectively address the economic, aesthetic and environmental problems created by the distribution of commercial flyers in this culturally sensitive area. FINANCIAL IMPACT In accordance with Charter section 5.02, which requires that the "City of Miami Beach shall consider the long-term economic impact (at least 5 years) of proposed legislative actions," this shall confirm that the City Administration evaluated the long-term economic impact (at least 5 years) of this proposed legislative action, and determined that there will be no measureable impact on the City's budget. CONCLUSION The Administration recommends that the City Commission approve the proposed ordinance on Second Reading. JM/rfr 13 Di co ca-Oi�5F2 T �c°n aci•`-°m" oA �'m �•E �� c '_`u mNC roc «U '-Q �ovQ ._ 7Q .od � c Y 0y m>0 n pv �a v m o �>s U c G.=m ocw o N U-)coo-)coo m o e_W 0> - o i c Q�O r0 i� U o p U lr m aC maGC'"F��a-O o Mv C O•�O m Q'm EU°F-nq C m !C rvn'a"q c_ cT=mC m n^> ¢F-«v''�j m cm NO m 2m cnn N'-m Tm CQ'- mC U>v=^ v c"i x o v o x o v EC- '" m NEoLL3-m 2c z- Em om�"° E M=C) O u m m F- m Q O m c c J m W Co ee D m a LL -0 2 U Su. 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Nw °'s0:G ew0 my? o p'�._ cn ppv .mLo«'C cn Jr Ecvi `n �,{`...%� VN pmCO'C NLvp GC7� CtO°� Me•d Cm COC l9 C.HT GXCCO �e•1 C.HO p.�CO..�N+~-.... � CO ZOpmj 7d>• U� Zi zU QaU_mF oo ¢m¢ av� raoaU¢ LL¢oa �awx cc< V) V)nomooaa c`E. LLm aL� F a a �i MIAMBEACH City of Miami Beach, 1700 Convention Center Drive,Miami Beach, Florida 33139,www.miamibeachfl.gov COMMISSION MEMORANDUM TO: Mayor Philip Levine and Members of the City Commission FROM: Office of the City Attorney DATE: November 19, 2014 SUBJECT: Declaration of Camilo Mejia Attached please find the Declaration of Camilo Mejia in support of Items R5A and R5B. DECLARATION OF CAMILO MEJIA CAMILO MEJIA, pursuant to 28 U.S.C.A. § 1746, declares the following: 1. I am a Senior Assistant City Attorney for the City of Miami Beach Office of the City Attorney. The statements in this declaration are based on my personal knowledge. 2. Throughout the past several months, I have had the opportunity to discuss the issue of commercial solicitation with a number of Miami Beach residents, business owners, and employees of businesses that operate on Lincoln Road. 3. In the course of these conversations, I have learned about the aggressive and relentless solicitation practices of serveral cosmetics retailers that have recently established themselves on Lincoln Road. With few exceptions, the individuals with whom I spoke expressed frustration, anger, and despair, caused by the solicitation activities of these cosmetics retailers. These individuals stated that these activities are harming the reputation and appeal of Lincoln Road, creating an undesirable atmosphere where this style of "free-for-all" aggressive solicitation is the norm. 5. According to one Lincoln Road employee, one of these retailers, known as Timeless Cosmetics, solicits business by intimidating and publicly ambushing pedestrians along Lincoln Road. These employees will often stand in the middle of the right of way, and will stop pedestrians and demand their attention by saying things like "I have a question for you." To avoid being rude, pedestrians will often agree to speak with the Timeless Cosmetics employees, only to be lured into the store with the promise of"free" cosmetics. 6. Additionally, if a Timeless Cosmetics employee approaches a pedestrian who is not interested in their products, or sees someone throw away one their handbills, the employees have no problem hassling and intimidating the pedestrian even further. 1 7. Another employee told me about an incident in which an employee of Timeless Cosmetics offered her and a co-worker a copy of a commercial handbill. When she refused, the Timeless Cosmetics employee continued to follow them, saying things like "I love your haircut." After they continued to ignore the employee, without making eye contact, he scoffed at them, "Ugh, you're welcome; look both ways before crossing the street ladies." 8. Another Lincoln Road employee stated that she has often seen Timeless Cosmetics employees engage and interact with pedestrians by distributing handbills, and by trying to stop pedestrians from walking away. On more than one occasion, individuals who work and shop on Lincoln Road explained to me that they had felt compelled to walk on the opposite side of the street in order to stay as far away as possible from the constant harassment, insults, and taunts by the employees of Timeless Cosmetics. These individuals also indicated that they felt humiliated and embarrassed by this form of constant, aggressive solicitation. 9. These Lincoln Road employees initially agreed to convey these incidents verbally and in the form of a written sworn declaration. However, fear of physical and legal retaliation has led these people to withdraw their declarations and to withdraw their offer to verbally convey this information. 10. One employee related to me that one night after she photographed the cosmetics employees on Lincoln Road, the cosmetics employee followed her to her car while taking her photograph in what the witness described as a physically intimidating manner. 11. The fear of retaliation by the cosmetics stores has led several of the people with whom I spoke to refuse to speak or write their statements publicly. 12. I also completed research regarding the sales tactics of some of the cosmetics companies on Lincoln Road. The results of this research included customer complaints of high- 2 pressure sales, overpriced products, and rude and intimidating behavior, including but not limited to: (a) A Complaint filed with the Better Business Bureau against Timeless Cosmetics; (b) customer reviews submitted to Yelp.com, describing high-pressure sales and overpriced products sold by Timeless Cosmetics and Forever Flawless; (c) City of Miami Beach Police Computer Aided Dispatch (CAD) Reports and Case Detail Reports describing disputes between consumers and cosmetic retailers regarding solicitation, disagreement over refund amounts, insults to customers who refuse to accept commercial handbills, and other related issues; and (d) A customer complaint review submitted to ripoff.com, titled"Timeless Cosmetics Forever Flawless High Pressure Sales Tactics." 13. The cosmetics companies engaging in these practices on Lincoln Road appear to follow a similar business model adopted by other companies operating in the U.S. and other countries. Several online resources indicated that a number of cosmetic companies, and in particular, one calling itself"Dead Sea Spa," typically resort to high-pressure sales and intense hawking techniques to sell their product. Several articles describing these tactics, attached hereto as Composite Exhibit "A," describe high-pressure sales to an autistic man, a man suffering from a short-term memory loss disorder, and an elderly woman who was pressured into buying $5,000 worth of face cream. I verify under penalty of perjury that the foregoing is true and correct. Executed on October;'/ , 2014. e z",0 Camilo Mejia 3 Dead Sea Spa targets the impaired TVShows 3 News Page 1 of 2 Dead Sea Spa t the impaired By Anna Burns-Francis Reporter Thursday 26 Jun 2014 7:39 p.m. Last night, Campbell Live bought you the story of an 82-year-old woman who was bullied into buying $5000 worth of cosmetics — mostly wrinkle cream for a range of different skin types. Ms T, who didn't want to reveal her identity, was an unwilling victim of a scam that sits front and centre in shopping malls right across the country. The Dead Sea Spa range is a small kiosk business staffed by youthful, good-looking Israelis selling product from the homeland. Thankfully late yesterday afternoon the Kiwi Income Property Trust, which owns the Lynnmall shopping centre, evicted Dead Sea Spa. The kiosk was wheeled away by security staff just before the mall closed at 5:30pm. It will no longer be allowed to trade in that shopping centre, and the trust told Campbell Live that it had been assured all monies had been refunded, and it had apologised to Ms T and her son. However throughout New Zealand today the sales pitch continued in Dead Sea Spa kiosks, pushing for hard sales and still taking advantage of people — like Robert, who lost everything to the Dead Sea Spa, lured in by the slick sales pitch and an attractive woman. Robert went on a spending spree at Dead Sea Spa kiosks over three days. The same Deep Sea staff member charged Robert's credit and EFTPOS cards more than a dozen times. The total was more than $13,000. It's almost unbelievable - except for the fact Robert has short-term memory loss. Within minutes of a purchase, he would forget it had ever happened. Robert was once a high-flying executive in retail, but brain surgery that saved his life also left him unable to remember things. EXHIBIT http://www.3news.co.nz/tvshows/campbelllive/dead-sea-spa-targets-the-impaired-201 Dead Sea Spa targets the impaired I TVShows 13 News Page 2 of 2 LJ But one thing he does remember - every single sale at Westfield's WestCity and Sylvia Park malls were made with the same saleswoman, whom he felt was a friend. When his credit card finally ran out at Sylvia Park she took him to the bank to make more room on it. Robert came home with boxes and boxes of face cream, youth serum, eye and lip creams - none of it ever opened. It's the exact same story as Maartin van der Neut, who was sold $4,000 worth of Dead Sea Spa cosmetics in just half an hour. Mr van der Neut is autistic and he doesn't make friends easily, but the Dead Sea spa staff was all too willing to pretend. But by the end, he'd spent all his money —the same staff member charged his credit and EFTPOS cards five times in half an hour. The total was $4400, and there was $1000 he couldn't account for - it wasn't detailed on the receipts. Embarrassed, he went home, hid the bags and never said a word. What he got for his money, he doesn't know— some items were free while some items were different prices. Watch the full report from Anna Burns-Francis. http://www.3news.co.nz/tvshows/campbelllive/dead-sea-spa-targets-the-impaired-201406... 10/30/2014 Elderly woman falls victim to Dead Sea pressure tactics I TVShows 3 News Page 1 of 3 Ate : .4, ElderlV woman falls victim to Dead Sea pressure tactics By Anna Burns-Francis Reporter Wednesday 25 Jun 2014 5:00 p.m. Over two weekends, an 82-year-old woman was bullied into buying $5000 worth of cosmetics — mostly wrinkle cream for a range of different skin types. On the first occasion, Dead Sea Spa staff kept the woman at the booth after the mall had closed, making three separate sales totalling more than $3000, taking partial EFTPOS payments, and then accompanying her to ATMs around the mall to pay the balance in cash. On the second occasion the elderly woman was sold more cosmetics in two separate $999 sales, emptying her bank account. Ms T, who doesn't want to reveal her identity, says she is embarrassed. "I feel as if I'm a silly old chook," says Ms T. "Honestly, at my age spending all that money on that product is ridiculous." But Ms T has been an unwilling victim of a scam that sits front and centre in shopping malls right across the country. The Dead Sea Spa range is a small kiosk business staffed by youthful, good-looking Israelis selling product from the homeland. Everyone loves a free sample - so that's what they offer. But what comes next is a tiresome, never-ending hard- sell for expensive beauty products. Ms T was at her local Lynnmall shopping centre on Sunday afternoon when she was approached by Dead Sea sellers. http://www.3news.co.nz/tvshows/campbelllive/elderly-woman-falls-victim-to-dead-sea-p... 10/30/2014 Elderly woman falls victim to Dead Sea pressure tactics I TV Shows 13 News Page 2 of 3 "I had just come from the car park and he just approached me, talking to me, you know, and then it got beyond that," says Ms T. "He had me sitting on the chair, showing me what I could do with my face - a lot of uplift, get rid of my wrinkles." Yes, you read right - they were selling an 82-year-old anti-wrinkle cream - pots and pots of it. "Quite a few of the same sort of thing - he would say you know, 'You're such a lovely lady. I'll give you this for free, extra,"' says Ms T. It only occurred to Ms T after she had left that she had been sitting with the Dead Sea seller for three hours and she had spent $2000. What's worse is that this was the second big spend-up in just a few weeks, with the grand total of all her Dead Sea Spa products coming to $5000. "I thought heck, what am I going to do?" says Ms T. "So I just put them in the wardrobe." She hasn't used a single product. > Ms T went home with no money - not even enough to buy 6UA the groceries she went out to buy that afternoon. Her son, Roger, is absolutely appalled that this has happened to his mother and is sure that she was targeted as a vulnerable old woman. "I'm sure they can spot people a mile off," he says. "They now if they keep talking and using their sales patter on Val the right sort of people they can wear them down and y c: keep selling to them until the well is dry." It wasn't until Roger checked her bank accounts on Monday that he realised they'd been emptied out — and it wasn't the first time. Two weeks ago Ms T was given the same pitch. Her spend that time was $3000, and not even the mall closing for the night and an EFTPOS machine that wouldn't work could stop the sale going through. Instead, the salesman took her to ATM after ATM, as she withdrew the last of her cash. Campbell Live wanted to visit the company that sells Dead Sea Spa products, so we went to their head office. But the staff quickly fled, and the door was locked. They're normally all too happy to talk, and many of you will have heard the pitch, the friendly approach, hugs and cuddles. Ms T describes the man who served her as a "lovely guy" who hugged her at the end of her purchases. How much they charge depends on how much they think you've got. There are no prices on anything. "It's very clever; they are very subtlety taking advantage of her," says Roger. "They know that she doesn't need these products —that would be clear to anybody." Roger believes that the amount of money that they charged his mother was a lot for anybody to spend, especially for someone who is living on a pension. Ms T never wanted any of it, but Dead Sea Spa's manager, Aviva Raisun, says "people buy what they want". "An 82-year-old can have wrinkle cream." Ms Raisun says she isn't going to change the way Dead Sea Spa sells their products. http://www.3news.co.nz/tvshows/campbelIlive/elderly-woman-falls-victim-to-dead-sea-p... 10/30/2014 Elderly.woman fa'1ls.victim to Dead Sea_pressure tactics TVShows 1.3 News Page 3 of 3 Late this afternoon`the Kiwi Income:-Property.Trust, which owns the LynnmallY shopping centre, evicted.Dead Sea 2 `Spa 4 The kiosk>wa's wheeled:away"by'aecucity staff just.before the mall closed at 5 30pm The "'will`no ion longer be allowed to'tcade in shopping-centre, and the trust told:Cam ,bell Live that it had been Y 9, , PP 9 P assured all;moriies`had been refunded; and-it had_apologised to Roger and'.,his-.-mothw for the experience Campbell Live YL http://www.3news.co.nz/tvshows/campbe'lllive/elderly-woman-falls-victim-to-dead-sea-p... 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 1 of 20 Find Near Miami Beach,FL Log In Home About Me Write a Review Find Friends Messages Talk Events yelp:: Dead Sea Products Seacrets Kiosk ©� 32 reviews , $$$$ Cosmetics&Beauty Supply '=j Yelpers report this location has closed. a s`,-i"13r s1001. 'Farrell St o Ea,s Po s Yerba Buena Ga Fddv Sr ^ 4 Map data 42014 Googh Westfield San Francisco Ctr Edit 2nd FI Front San Francisco,CA Union Square,SoMa Get Directions Recommended Reviews Yelp Sort English 32 Date R3tmg Elites Teale C. 13013013 1/8/2014 New Haven,CT 0 friends I must be clear I am only using the free sample I got 1 review today...I explained that I was not prepared to purchase until I see the effect over the next couple of days...but my experience with the young man was only positive...I don't Share review have a lot of money to spent on such items,being on social security...and my friend and I really were just walking in the mall for a little exercise...while igor was Compliment forceful—he remained polite and charming...so much so that I'm researching the product...that's how I came upon this site....I don't understand the negativity here...it is a just a sales spiel....if you want it you buy...if Send message not...don't....won't make my decision yet...meanwhile looking at alternative place to purchase which seem much,much cheaper Follow Teale C. Teale Caliendo New haven,ct Julian 1. © 5/24/2014 Ift San Francisco,CA 22 friends WARNING:Dont be Fooled!This place will SCAM you! 238 reviews The desperate people that work here are trained to Annoy you&try to Grab your Attention as you walk by.They do http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 2 of 20 this Stupid Demo on your skin&try to sell you their Share review Rubbish Skin Care Products&steal your Money,you'd be a fool to let them.Their products are nonsense crap! Compliment Its more Entertaining to Play Games with them&for their Sheer DESPERATION I give them 1 Star!XO! Send message Follow Julian I. Amir M. 5/23/2014 In San Francisco,CA Elite'14 Can anyone explain how they are able to get away with 9 friends this? 80 reviews Who is allowing them to sell these products,and what it says about the management at Westfield? Share review Is this a depiction of what merchantability has become in the US? Compliment Send message Follow Amir M. John C. 1/2/2014 Oakland,CA 4 Friends "$600 for a tube of serum." 25 reviews "Another$600 for a vial of mask." Share review "30%off." We were buying gifts for in-laws and they had asked for Compliment this stuff specifically so we didn't even blink.Of course there was no sign that stated there were no refunds. Admittedly,we were quite pleased with ourselves thinking we had saved a couple hundred bucks with the 30%off. Send message But then reality sets in and we do a little research on-line. And guess what:we ended up paying 400%more for the Follow John C. serum and the mask than in any decent on-line store. That's paying 400%more to be scammed by these crooks.That's 400%more for false smiles and promises. So of course we go back.Who wouldn't?And we demand a refund... "Why?What's the problem?You don't like me?" "I can't refund without my manager's approval." "He's in the mall somewhere." "Oh he's actually eating right now.You don't mind waiting?" After 20 minutes of waiting,the"manager"walks up to us. He points out that the receipt says there's no refunds.He says we should call their customer service line if we want to get this resolved.At this point we start telling the other customers what's going on and how these guys were marking up the price over 400%and how they wouldn't even give a refund.Now the manager's on the phone and http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 3 of 20 he looks at us talking to his customers while he speaks quickly into his cell.We're into it now and while the employees are coming up to people walking by trying to give out samples,we're right next to them telling them about how we just got scammed.It's quite a spectacle. Then the manager puts down his cell,walks over to the cash register,pulls out some money,and hands it to us, and says... "Here's$300.That's coming out of my pocket.You can keep the serum and mask.Will you please just leave now?" In then end,we wasted an hour of time,and a few hundred dollars,just to be paid hush money to keep our mouths shut about their little scam. So happy new year.If you're going to buy this stuff from these asswitches,take heed and don't be afraid to ask for 60-80%off the asking price.By the time you read this, they'll be desperate enough to take it. .= Jeanne B. SU 12/31/2013 Winnetka,IL 7 friends I certainly agree with all the others posts re:pushy 5 reviews salesperson'I like you so much...' 'you are so much fun to be with....' 'wait,come back here....''I have to show you one more thing.... ' 'who is someone that is Share review important to you in your lifer "Come here,I just want you to try this on your face...."I actually sat there while she put this dark stuff on my face My face,in that spot Compliment felt pretty good all day but not the next morning-and she told me I would only have to use this black stuff once a month. actually bought something for cuticles because I needed Send message something more.And I did walk away with the body lotion from the kit the salesperson was tying to push-she told me I was getting a gift and I said'NO,NO GIFT!" Follow Jeanne B. Eventually she just dumped it into one of my bags.I was at the Fashion Outlets in Rosemont,Illinois Rayne V. 11/5/2013 i�t San Francisco,CA 11 friends I literally find different routes to get around the mall just to 16 reviews avoid these people.Like,I know you recognize my face.I bought into your scam in the past(stupid of me),why try stopping me for the 100th time? Share review I feel bad for the people they have lured in to take 35 minutes of their time to sell products that I believe do not Compliment work. They make up their prices as they go along and if you tell them you're not interested in their product,they will tell Send message you that they"like you"and will"give you a discount"and will even"throw in extra"products.They will tell you that others spend hundreds,even thousands of dollars on Follow Rayne V. their products and will show you(fake)receipts of others"purchases"to make you to believe people actually buy this stuff. r Zachary T, 9/15/2013 Newark,CA 43 friends So normally I walk by this place and laugh at the people 24 reviews they have sucked in and are being lured into these scams. However today going solo this guy thought i must http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 4 of 20 be"Easy"prey and literally grabbed me in.Now I was not Share review nice to him at all.Now I did want to see what was in these products because I'm a skin care fanatic.I actually work in a cosmetics store.So I"went along with it"for a couple Compliment minutes until he decided to tell me what I need and tell me whats wrong with my skin.That's when he crossed the line. Send message Now I KNOW whats wrong with my skin.I mean it is on me so I'm PRETTY familiar with it.One huge thing about Follow Zachary T. working in skin care is you don't ever tell someone what they need or don't need just by looking at them.I could profile a customer with a shiny face and say they need something for oil but I will never automatically suggest something for them based off that I listen to what they have to say and base it off that. These people are taught so bad it's almost like a disgrace to a cosmetic seller. Learn some manners and maybe you'll actually make a profit one day. But as far as the products go I asked to read the boxes so I could see the ingredients before he royally pissed me off.And they're nothing better than a 12 dollar bottle of clean and clear.. Amanda D. 6/3/2013 Arlington,VA q 0 friends My review is nothing new it appears.I was swindled 6 reviews because I don't know a damn thing about face cosmetics, so when he put that stuff on my face and suddenly pointed out the horrible crows feet around my eyes(that I Share review hadn't really noticed until he did this,I'm only 27!)1 suddenly went from feeling all cute and dolled up for wandering around the mall to feeling like I looked old and Compliment wrinkly and that I apparently needed these things if I were ever to keep my fiance wanting to kiss me. just can't get over how stupid I feel.I've never let these Send message people suck me in before.But he was super good looking and kept telling me how cute I was,and I just moved here a few weeks ago,and I haven't seen my fiance since I Follow Amanda D. moved because he's having to wrap up back at home. Augh! :'( Now I just have this horrible feeling about using their products because I feel so stupid for having gotten them in the first place.Despite that I did try using them when I got home but clearly didn't do it right as I didn't get anything near the effects my salesman did.Thankfully(I guess)he insisted on giving me his personal business card(twice even!)and the whole kit and caboodle came with a free facial.So I emailed him and have demanded he teach me how to use this stuff. BUT,MAJOR POINT FOR ANYONE WHO GOT TAKEN BY THESE GUYS!!:small light of hope,he mentioned a price guarantee and said if I found the products somewhere else for cheaper that they would match that price.So I did my homework when I got home and unfortunately only found 2 of the bottles I had paid for selling for much cheaper,but it still amounted to a$300 difference. Better than nothing.... :( still feel incredibly dumb,weak, and taken advantage of. Elaina A. 0000 5/1/2014 Pittsburg,CA 21 friends I thought this place was pretty good!Sure the lady was a http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 5 of 20 8 reviews little gimmicky,but she's just doing her job and they are just making a living.I never stop at Kiosks and I did this one.Sure you get a little pushed into buying the product, Share review but the lady only showed me products that fit my needs(I was looking for face care already.)I really like the sea salt and the face peel.If you have ever worked in sales you Compliment would know some of the tricks behind it.So I don't mind the"we'll give you a discount"even though you know it's cheaper then the first price they say.I will say they are Send message over priced but I love my stuff and would go back for something new to try.(Given 1 will have to talk them down 101). Follow Elaina A. �. Chris j. 13131113 9/20/2012 San Francisco,CA 1 fr ena The woman who sucked me into this"scamplay"was so 28 reviews incredibly beautiful that it made my day.She did the typical"I am not cheap but I am Jewish"joke(yeah,she got it backwards,which was cute)but had a French Share review accent and her eyes were beautiful,big and brown- totally locked in mine for the duration of the pitch.She caressed my inner wrist with her thin,careful fingers.I Compliment didn't care that she was trying to suck all of my money out of my pockets-a lot of women that try and do that and it's sad that she'd probably only see a$20 commission at most for her effort. Send message When I heard her little pitch I couldn't help recognizing all the techniques used by gypsies since the dawn of Follow Chris j. European society,and I actually have a thing for snake oil salespeople.When it was clear I wasn't going to drink the Kool-Aid,another saleswoman who was almost as hot (but less seductive)took me from the other side and they double-team insulted me while I ludicrously savored the moment.It is now at the level of fetish for me.I even got to tell the French Jewish girl how incredibly beautiful she was and that was the only reason I was talking to her;I couldn't care less about some face wash or whatever. And believe me when I tell you that she is a total fox of the highest order with kinky hair and sharp cheekbones, with olive complexion and peppered freckles.A defined profile with sharp chin and Picasso-painted neckline.I wish I knew more about her collarbones. The best part was when I gave up on the polite refusals and started asking her for her phone number or some contact info.She plopped one of the bottles of cure-all into my hand and made one last effort before giving up.I handed it back to her and told her there was no way I was going to buy this crap and smiled.She recoiled so instantaneously as an internal switch flicked behind her eyes,from whence a cloud of extreme hatred and disdain came spilling forth so profusely that even her perky features now seemed jagged and resolute.This seductress had disowned me once and for all and I revealed the Cerberus beneath the siren.It was at this moment I became so incredibly turned on.You have to see her,her name is Tamra I think. Seriously,this was so worth 20 minutes and I can't stop thinking about it. Kevin S. � 5/29/2011 San Rafael,CA 37 friends After reading all these reviews while I sympathize for all of 7 reviews you,I'm kind of relieved I'm not alone in being manipulated by these people. http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 6 of 20 I usually don't like to complain about this type of stuff Share review (since inevitably the decision and choice is always ours), but it seems like this is going to turn into a legal issue for the amount of money these people managed to get from Compliment me. The manager of this Kiosk is named"Eddie Graizel"the Send message other"associates"may claim to be the Manager themselves but in all honesty,I think they're trained to say anything to make the sale and I would assume they're Follow Kevin S. being paid by commission which would explain their persistence and sneaky sales tactics. So instead of writing an anecdote I'll just put what happened in(parts) 1)1'm leaving the mall towards Bloomingdales exit 2)Some cute girl handed me something in my hand and pulled me towards a chair in a Kiosk and started talking to me as she put stuff on my hand. 3)10 minutes later I spent$168 dollars on something I didn't really feel like I needed'but sounded good based on what she told me'. 4)She looked at my belt,my shoes,my jacket and said"Money doesn't seem to be an issue for you. Come over here." 5)45 minutes later I was swindled out of another$498 dollars on stuff I REALLY DID NOT NEED.I even told her I did not want the stuff(countless times),but as mentioned in other posts'these people are persistent'. 6)Morale of the story:KEEP WALKING,RUN FROM THESE PEOPLE IF YOU MUST. I also didn't realize until I got home the"No Refund" Policy,which is why I'm going to have to give my attorney a call on Tuesday(Memorial Day Monday).Obviously I don't think it's just that they didn't mention a thing about the Refund Policy(while I should have saw it on the very bottom of the receipt as I was signing my soul away) when I was making the purchase and I'm pretty sure there are laws here in Califomia which protect US as the consumer from being entrapped,manipulated,and swindled in by these people. Google"Buyers Remorse Laws California"and I think despite the fact it says"No Refund"we may be entitled to one. I'll make an update to this after I speak with my attorney so I can give you guys that may have just recently purchased from them a way to return your items (if you don't want them). It makes me sad to know that there are really sales people like this,I'm glad I didn't get talked into buying a car or a house. If I can't get my money back it will most definitely be one expensive lesson,and I suppose I-like everyone else who has been taken advantage of from these people will forever resent and stereotype all Kiosk people who approach or try to approach me of having the same or similar tactics behind their actions and words. Ladies,you look beautiful with or without these products. Gentleman,don't be pulled in by their looks or their FAKE indicators of interest-they're not interested in you. They're interested in the 10-50%they're probably going to get from you. -Kevin http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 7 of 20 Dava T. 0000010/5/2013 San Francisco,CA 55 friends I honestly don't know what everyone is talking about,if I review you get swindled that seriously is your own fault. My experience: Share review I was walking pass pushing my 1 year old daughter.I was headed into Bloomingdales.Out of the corner of my eye this lady was passing out free samples.I had already Compliment made it past her when I decided to turn around and grab a sample...I love free stuff. She then started in with her sales technique.I'm 25, Send message tomorrow is my birthday.Although I'm obviously not on my death bed,I am feeling a bit old(I know I'm not,but ya know...I went from being a social butterfly to a stay at Follow Dava T. home mom,self esteem took a dive)ANYWAY, SANDRA was very pleasant...A very GOOD SALESWOMAN...I tried my own dodging techniques"Well I need to go" "It's late""I'll think about it""What's your name I'll come back on pay day"etc... to no avail!!DAMN,this lady was g00000d.To top it off;she was as sweet as pie. Moving right along:She kept telling me what I needed to do for my skin..."You've never had a facial?"NOPE! Sadly,I have not.I seriously do not spend this kind of money on myself EVER!!!To be honest,I do need to use moisturizer and I do need to take better care of my face, even though I look like I'm 14,it won't last forever... I was in a hurry;child upset,and I was trying to make it to the mac makeup store to buy some makeup for tomorrows Castro Street Fair... Well,the fabulous wheel and dealer Sandra brought me behind the counter and told me that she would mark down the"224k multi-vitamin deep peeling"to$70, how could I refuse? .8 seconds earlier she had said it was$1780 1 jumped on that deal.Maybe it was my daughter screaming,maybe I was feeling warn down,or maybe it was her sweet accent and the way she kept making me feel special...Whatever the reason I couldn't pass on a 60%discount. As for the product itself;my friend and I laughed afterwards how it could potentially be like the"glue" effect...but whatever,it made me believe my skin was hella dirty.OH,and she gave me like 20 free samples of the moisturizer,which will last me a year.All in all;even if it was a scam,and even if I will be eating cereal for the rest of the month(I did not need to spend any money),I felt special.She was sweet and I received a GREAT deal! way better than some of you poor fools. p.s on arriving at home I immediately began researching this product.I didn't want to use it and then find out tomorrow morning it's some radioactive toxic goo and my face melted off(NOT ON MY BIRTHDAY!!!) Which as far as I've read thus far;the product itself is great.I've come across hundreds of reviews both positive and negative,a couple main complaints are"gold is the last ingredient,waaaah"ON MY BOX it is the 4th ingredient. another one was"it's cheaper on amazon,waaaaaah" after endlessly searching Amazon I haven't found this to be true...so that's something. Kang Q. 13 7/14/2011 Nashville,TN 26 friends One day I will grow a pair and be able to say no forcefully 493 reviews and definitively,instead of being so polite all the time.You http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 8 of 20 would think that dealing with the homeless in San Share review Francisco and Berkeley for 2 decades would have taught me a thing or 2 of saying no.Thankfully,in this case,it was just me not being able to say no at the beginning Compliment only. a.)I should have kept on walking.They hook you in by asking you where you are from.And because I enjoy Send message languages,I heard his accent and asked him where he was from.Big mistake. Follow►tang Q. b.)He(Roi)tells me to come on over,because he has a free sample for me.Thinking it would be one of those one- use samples in a tiny packet,instead I get suckered into him feeling my hands and immediately telling me that my hands are the dryest he's ever felt.I should have told him that I used to have very sweaty hands,but I already felt trapped by then. c.)He proceeds to"wash"my hands in sea salt from the Dead Sea.Then he adds some sort of moisturizer. Doesn't it feel great?(Not really.) d.)Roi then touches(with my permission)my wrists and tells me how dry they are.He even insulted me by asking if I even took a shower that morning.I should have left, offended,but Polite Me told me that he was Israeli and probably didn't know yet the polite way of asking me when I take my showers,not that that is any of his business. e.)He applies a third product that has to dry for a minute before some toner thing removes it.At first I thought that the flakes that came off were my actual dead skin cells, but then I realized that it was the product itself. f.)He tried telling me that the products are all natural. Although he showed the ingredients on the back of the product,he didn't give me a chance to examine the ingredients to see how"natural"they were.The ingredient list was easily 30+ingredients range,and my brief glance saw many chemicals. I g.)He tried telling me that the creams would get rid of all of the symptoms that I was*not*experiencing(dry skin, eczema,pimples,...heck,he even used the old buzzword of"T-Zone"). h.)After showing me the"price list",Roi tells me that I can get one of the creams for$99.99 and get one of the other products for free.And in fact,because they had a special one day sale(which I'm sure happened every day),I could get that product for$59.99 and still get the other product for free. Q After declining because my expenses were tied to an upcoming move,he insisted that I must have a credit card that I could use.It took me 7 years to get out of credit card debt;I haven't used a credit card in a decade. Again,Polite Me didn't leave.I did say no,but apologetically. j.)He told me my husband would love the difference it makes.I know my husband well enough that this was not a selling point. k.)He persisted;I told him I have absolutely no money in my account,which was true.He then got me mad(but not mad enough for me to leave)by wondering aloud who goes to a mall without money?I told him truthfully that I was there trying to use up an unused gift certificate I had found during my packing. http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 9 of 20 At this point,Roi realized that I was lying when I told him that I would come back.He gave up. escaped. And after reading the reviews here,I am grateful for how I managed not to get sucked into this scam.Thankfully,I was previously ripped off 20 years ago and knew better this time around. John D. LJ 2/9/2011 Bel Marin Keys,CA 28 friends These people are total scam artists and a menace to the 442 reviews community. I was walking over to one of the stores in the mall and the Share review lady asks me where I'm from.Before I know it she puts some salt into my hand so I'm trapped unless I was smart enough to just throw it down on the ground.Which I Compliment recommend you do.I literally said what is this and what am I supposed to do with this stuff? She had me rub the salt all over my hands and then she Send message rinsed it off.My hands feel gross and way dry now. Horrible. Follow John D. She also sexily put on some exfoliating gel on my wrist and rubbed it in while sorta showing me her breasts and said I have nice hands in a sexy voice.The stuff smelled like perfume or something.Gross,you couldn't pay me to use this stuff. So when I said I'll think about it she says what's there to think about?And basically wouldn't let me leave.Very high pressure sales. Next time I will humor them and pretend like I'm interested and want to purchase all their stuff.Then when it comes time to pay I'll just walk away without saying a word. More than likely though I'll just ignore them and keep walking by unless I'm trying to kill some time or something. Juliette R. 4/15/2011 San Francisco,CA 77 frends Persistent people,over-priced products,a complete 273 reviews WASTE of money and time. My sisters and I got ripped off by one Seacret associate... Share review I still remember his name...Ofek. Whenever I think about how much he scammed us,I get Compliment upset;but,the man did his job well.They're good at that... sucking people in.When you try to make an excuse to leave,they just keep pulling you back in,trying to show Send message you more products. Since that incident,I don't ever waste my time with kiosks. Follow Juliette R. Erik M. 13 2/1/2013 Montreal,Canada 11 friends Listed in--e Ye.p 100 Cha'lar.gs 141 reviews I am soo happy I am not the only one with this place.I have no Idea how this place is surviving with their grabs.I Share review just walk past the kiosk and I was pulled in from a salesgirl.The first thing she asks is"Where you from?"I http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 10 of 20 Compliment told her a foreign country so shed leave me alone... However that didn't work.She then asks which products do I use for my skin.Of course I say Bioderm and Mary Send message Kay.According to her those are the worst products to use for your skin. Follow Erik M. Trying to leave she wants to test a product...So find do it and I can leave...So she does the treatment...So they tells me how much,do you want...I say ZERO!Not good for her...She then says III remove 2 months payment? WHAT?What do you mean remove 2 months payment. Its a"yearly Payment plan"of 49.95$ 1 told her she was crazy and left. Please avoid walking by this corridor in Westfield. Judgey Von Judge 814/2012 O. San Francisco,CA So I am in the minority here but I actually like these 3 friends products(so far). 61 reviews However, I just read the same story over and over with the exact same selling tactics,down to the very line.And Share review so i give 2 stars--1 star for the unsavory practice&1 star for the fact that the scrub has madr my face like a baby's bottom. Compliment But it is disturbing how exact and aggressive they selling tactics are:drawing you in with the scrub that sloughs off dead skin and leaves the back of your hand feeling super Send message soft(&and later wondering if it was just the gel goop rolling up into little balls or was it really my dead skin??), pretending to give you a deal by throwing in"free"items, Follow Judgey von Judge o. claiming the products are only real if they come w a certificate thingy,even doing a"zip the lip"motion regarding the deal you are being given,and showing me the receipts of other people&how they paid$200$600 $1000 but that you only pay$150. All of this is super shady. BUT--in the end I walked away with products for$50 each,which is a lot of money,but not outrageous for high end products. I don't know for sure that these products are worth$50 each yet but I kind of look at it like I got a deal since others were taken for more money and they are retailed on Amazon for$114 each. What is interestig is that it appears that most complaints are about the out right lies of the refund policy,which is completely legit to demand money back after being told you can do that--but most do not mention the actual product. People are too pissed to even try it out at home (again--understandable). If the products are good,they need quit pulling scam tactics. Maybe you can play a game and see how much you can get out of them--la mer cream is$140-180,even Lanc6me cream is$100.So getting a cream,face wash and scrub for$150 doesn't piss me off.especially if the products are good. Despite all this,I can't say I will be buying from this company again because of the gross way they"do business"--all these people being scammed for hundreds and thousands of$$,being blatantly told that try can receive and refund and then see a No Refunds on the bottom of the receipt is just plain corrupt. http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 11 of 20 Too bad they tainted a potentially great product with an aggressive sell,bogus pricing&corrupt refund policy. PS:I redid the back of my hand when I came home to see if it was the gel coagulating or dead skin,and it did not ball up in my hand,but it DID ball up on my face.So I guess it is sloughing off dead skin. Rich L. io 12/4/2013 Atlanta,GA 2 friends I fell to their prey in Atlanta. Luckily,I bought a minimum 3 reviews of product. An hour later,when I learned she charged me double AFTER 2 50%off discounts and throwing product in for free,I went back to the mall to return it. Of Share review course,they said there are no refunds and no exchanges. I asked where that sign was and she pointed to it put away behind the counter and said they did not Compliment have it out for today. She also had me sign the charge on the computer so I conveniently did not get a paper receipt where it said'no returns'. But even if I did get it, Send message the receipt that says it is AFTER the sale! After the two-faced sales lady and manager said no refunds no matter what,I called American Express on the Follow Rich L. spot. I explained the situation and being THE card company to stand behind their customers they said the charge would be refuted. When they asked to speak to the sales person she declined to talk to them so AmEx said they will reverse the charge. I even took a photograph of the sign behind the register. I told AmEx that they would not accept the product back so he said to just keep it for now. My experience was in Atlanta at Perimeter Mall but I hear that they are at 4 malls including Cumberland here. I hope everyone starts complaining to the MALL managers about their tactics. I believe coming out of their Kiosk and going after people is against the rules but to hide their No Refund Policy is also a violation. Also,call your credit card company. With enough complains their merchant services will be revoked. Beware of Seacrets skin care products and their salespeople. XTA s. 13 4/30/2010 Updated review San Francisco,CA 13 fnerds Stars haven't changed,but i just wanted to share that i 17 reviews received a call from the leasing office at Westfield Mall and yes,i was terribly surprised!i mean,i emailed the concierge,but i did not expect a reply... Share review They apologized for what happened and promised to speak to the workers at the stand,and it felt like a real Compliment conversation,not perfunctory or even short!I hate the kiosk,but that leasing office staffer i spoke to,5 stars! Send message 3/26/2010 Previous review Follow XTA s. WOW.One of the workers in this kiosk was incredibly rude to me.My son and I stopped to look at... _-E Kerry D. 4/8/2014 New Fairfield,CT o friends I got pulled in by a beautiful saleswoman at the Palm 1 review Beach Outlet stores in West Palm Beach,FL.All the http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk - CLOSED - Union Square - San Francisco, CA Yelp Page 12 of 20 stories I have read here happened to me too,so I won't Share review repeat them.The one thing not mentioned was the mirror they use to show you the"before and after".Just beware that it has two sides and different magnification.I resisted Compliment and did not buy;stay strong and they will give up. Send message Follow Kerry D. Larry N. 9/12/2012 San Francisco,CA 41 friends We got"suckered"into close to$900 in 14 reviews products. Actually,I love the Milk and Honey body butter, the apricot face scrub,and the green tea bath salt stuff. We were(well,at least I know I was)feeling a little Share review pretty after lunching and I guess it showed,hence all logic went out the door(as did-$900). Heavy selling by a particularly aggressive person,and it didn't help matters Compliment that the guy was attractive. Perhaps some college-age guys who probably got the job to help pay tuition. Great idea! Send message Those DSP items that I like? I found the same products on the web for$$$$less! Follow Larry N. Matt W. 12/21/2010 4 San Francisco,CA 1 friend "Excuse me mister,where are you from?" Thats what 59 reviews they all say,and is your first clue to keep walking past the lying sale-scum. So I was on my way to Khiel's to get some more face moisturizer. I passed by this Kiosk,and Share review was intrigued. I've pretty much stuck with Kiel's stuff for years,so was willing to listen to this sales pitch to maybe try something new. I did,and will spare you the details Compliment other than the entire time the salesman used flattery. The quoted cost was ridiculous-almost comical. I started to walk of course,and then they offer you a huge discounted price. So you think you are getting a good deal....but Send message alas....a quick(and easy)check on the internet found the same exact prices they were giving you at a"huge special discount'as standard. In other words,this place is a huge Follow Matt W. misleading ripoff. If your lucky enough to get a special low price of$30(and i hope you do),you just picked yourself up cream worth...well....$30. Not the$150-200 cream you thought you were getting. And yeah you read that right...they sell$30 cream for$200. But the real ripoff kicker is that...read the fine print....they offer you no refunds. No legitimate business has a no refund policy. If you like the products fine,but do you really want to buy them from a person who can look you straight in the eye and say its worth$150? Test the products here,then go buy on amazon. These scamming kiosks should be illegal. Bennett W. 13 4/29/2012 San Francisco,CA Elite'14 Listed in Scar-s a-:i icrs,-3,T-3cs 419 friends 992 reviews Dead Sea Premier Kiosk at Westfield Shopping Center is known as Premier Skin Care and at Stonestown Galleria Shopping Center as Premier Spa?Now the second floor of Westfield Shopping Center this business operates a http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 13 of 20 kiosk known as Dead Sea Products Seacrets Kiosk?How Share review many names does this business operate with?Not only are they trying to trick consumers,but with they run this beauty and cosmetic supply business with several Compliment different names is giving shopping mall visitors a serious confusion! Send message Some of the similar beauty,cosmetics and facial products sold by the kiosks operated by Dead Sea Cosmetics are items you might even see at retail department stores.If Follow Bennett W. you buy such related products at other businesses with way better codes of business ethics,you'll see that the prices are set in a range that is appropriate for any consumer's budgets.The Oro Gold store in Stonestown Galleria is also operated by the same people who run the DSC sales carts(kiosks)at Stonestown Galleria and Westfield Shopping Center!From reading these 1-star& 2-star reviews for the DSC sales kiosks,these sales people has a very bad reputation with shopping malls and its visitors nationwide.DSC&Oro Gold are very good examples of businesses with very pushy and aggressive business tactics.I don't see a price tag on their items on their products which is just very tricky as well.On their website,they claim that the prices for their items are one price but they tell you a different price at their kiosks. Such similar beauty,cosmetics and facial products sold by these kiosks or stores in certain locations are jacked higher than normal retail pricing which already indicates a sign of endless greed and very unethical business tactics. I suspect that these sales associates are being paid on commission,not only are their business tactics unethical but it is very pushy and aggressive as well.The tactics they use in selling these products to consumers are very sly.Jacking up prices of beauty,cosmetics and facial products three times higher than original retail market pricing just to think more customers will come buy their beauty,cosmetics and facial related products at your kiosks or stores is not a very smart approach.You are more than likely not going to get any customers at all since no one would be okay with buying items that is way out of their range! AS AN ADVISORY,IF YOU ARE GOING TO A MALL KNOWING THAT DSC IS LIKELY TO HAVE A KIOSK OR A STORE ON PREMISES,PLEASE TAKE SHORTCUTS BY ALL MEANS IF POSSIBLE TO AVOID THESE SALES ASSOCIATES AT ALL COSTS.THESE FOLKS ARE KNOWN TO HAVE VERY PUSHY AND AGGRESSIVE BUSINESS TACTICS.IF ANY OF YOU YELPERS OUT THERE ARE READING THIS ADVICE, PLEASE FEEL FREE TO SHARE THIS WITH OTHER PEOPLE AROUND YOU,ANYONE YOU KNOW! Here is the website to California's Better Business Bureau's Office:goldengate.bbb org and Consumer Action Helpdesk:consumer-action.orgihelp . Feel free to click on the provided links for more information! Kevin S. 5/8/2013 San Francisco,CA 8 friends 1 check-in 39 reviews These guys like a hunter waiting people and catch them tell lies and just want to sell their cheap products with high Share review price.Bcoz of these people it's hard to walk in the mall, they just bothering people.They don't even know English but when u say I am from Spain or wherever they trying to Compliment talk in ur language all they know a few words with their accents!!! http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk - CLOSED - Union Square'= San Francisco,,CA I Yelp Page 14 of 20 Send message Follow Kevin S. j Zoe G. � 9/14/2011 S San Francisco,CA ®i� . 63 friends Class action lawsuit........IS It possible? 23 reviews Share review Compliment Send message Follow Zoe G. Mark L. ( - 5/18/2013 Adur,United Kingdom 1 friend Avoid these stammers like the plague.Although it is 5 reviews hilarious to:string them along and then just walk off. Share review Compliment Send message Follow Mark L. http://www.yelp.com/biz/dead-sea-products-seacrets-.kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 15 of 20 bluemoon p. 4/22/2012 San Francisco,CA 8 friends docs.google.com/viewer?a... 51 reviews I PRINT OUT ALL THESE DOCUMENTATION:This illegal business should close asap. Share review I absolutely agree with other reviews that DSC products sale people don't have any commercial ethic and clean Compliment conscience when it comes to sales to sells more and more with endless greediness. Indeed,the set price is not more twenty dollars per one bottle of products. However,its sale people totally take advantage Send message of gullible innocent people who don't know their trick and subterfuge at the first place. I really don't want to other people tricked by their cleaver subterfuge to ripping off. Follow bluemoon p. Can you believe that they charge two thousand dollars to three hundred dollars for the same products? They can take advantage of people who won't be their regular customers. But i know that their essence extract cost only dollar but it transformed as a one thousand dollars bottle. When I realized that I've tricked the evil sales woman who came from Israel said that"Of course,I can not refund you". I think some one has to report their sales fraud against shopping mall customers and so does the Stonestown DSC products sales cart people and the ongold store. Eddie S. ' 1/3/2012 - Pacific Grove,CA 1 friend DSC products may indeed work as well as other similar 10 reviews products.They are sold on-line at a fraction of the mall kiosk price.DSC Mall Traps,though,are a nationwide problem.Read how this came to be on Share review Wikileaks wikileaks.org/cable/2009... Compliment Send message Follow Eddie S. Dee G. 3/31/2010 San Francisco,CA 0 friends The method of operation for this company is: 83 reviews APPROACH,BEFRIEND,FLATTER,INTIMIDATE CUSTOMER INTO A DEMONSTRATION, INTERROGATE,SUCK THEM IN,START OFF Share review HIGH IN PRICE AND THEN BARGAIN RIDICULOUSLY! I was approached by a salesperson at the Premier Dead Sea products kiosk at the Westfield Mall on Market Street.I Compliment allowed the man to demonstrate their dead sea salt product and body Send message butter on my hand.My hand did feel very soft after the treatment. I felt the price(a so-called special)was too much and Follow Dee G. declined to purchase the products.First of all,the two products were$69.00 each-but they were on special for $49.99 each. I stated that I was really not interested in spending$100. on them. Then the fun started. I was suddenly his special customer and because he liked me so much,he came down in price and http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-fancisco 10/30/2014 Dead Sea Products Seacrets Kiosk - CLOSED - Union Square - San Francisco, CA Yelp Page 16 of 20 finally sold them to me after much B.S.for$49.00 for the two.Okay,I went for that and purchased them. Then he talked me into trying out some facial products....mask,eye serum and creme. I thought what the heck and went for it knowing well this guy was full of it. When done....he acted as though a miracle had occured and I was transformed! Well,I saw a tiny little difference at first,but within 10-15 minutes or so after alot more B.S.came out of his mouth, that side of my face looked exactly again like the side with no treatment.Then came the pricing:Each of the three facial products were approx$150-$350.each.....I said there was no way I would spend that much for them. Bargaining went on and on and on,and the price kept coming down and I finally was offered all for$148 for two of the products.I said no thank you,and he was shocked and could not believe that I was turning down his great offer. I had to get out of there-it was becoming sickening.Finally,when he knew he could not go down farther,and I was not going to buy any more products,he rather coldly shook my hand and sand thank you and good bye and I was not his special customer any longer. Later on when I walked passed this kiosk again,there was a woman purchasing products from them,and the salesperson was whispering in her ear,like he did mine,telling her what a special deal she was getting and to not let anyone else know. Listen, these Israeli's are smart!Even though great ali's to the USA,they are shrewd........it is the custom of their country.So just beware! I am going back to exchange one product,as it appears it was not new.They do not give refunds...excchanges only which is mentioned on the receipt.It is up to you,the customer, to check what the return policies are wherever we shop! Michael P. 11/18/2011 BL CK Sacramento,CA HOLE 2 friends Apparently,Roi is still employed at this kiosk,because, 7 reviews four months after Rachel D.'s(7/14/2001)review,he got me in for the salt scrub,layer of weird plastic feeling coating on the arm,etc..Actually,I don't remember him Share review giving me his name but Rachel described him as Israeli, and at the time I assumed by his appearance and manner,"This guy must have been in the IDF for a while, Compliment or even the Mossad".Carnival barker meets shakedown attempt.If it isn't the same guy,maybe this business is run by Zeev Rosenstein's boys.It was pretty much the same as Rachel's experience as well,except I never let Send message him get to the price.I also didn't bother to read the ingredients although there was no way by that cheesy alcoholish smell that there were all natural ingredients. Follow Michael P. When I told Roi-or-whatever-his-name-was that I needed a cooling off period to reconsider he asked me if it was the product,the price or his presentation that was keeping me from handing over the cashola.I picked"the product", because it was something i would never use.Of course he kept trying to press so I just told him,hey,I gotta go, actually I don't think I'll be interested but I'll try to send some business his way.Heh.Then I wandered around some more and there was a THIRD floor kiosk,same crap,slightly different setup with what seemed like a half dozen"associates"doing the same predatory sales pitch. May have been a different brand name,but at that point I didn't care.A young lady with what seemed like another Middle Eastern accent tried to get me roped in and I declined this time.The homeless on Market Street and http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA Yelp Page 17 of 20 around Union Square are alternately easier to refuse or give money to than this marketing scam. Jhaz P. ® 4/13/2013 Clackamas County,OR o friends Total bullshit product,total scam on how they ridiculously 1 review price the product at the retail store,obviously they desperately need to sell their product.And not actually listening to their customers and addressing their needs Share review Compliment Send message Follow Jhaz P. http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED - Union Square - San Francisco, CA Yelp Page 18 of 20 Shawna M. ®; ; ; Lj 2/21/2011 Los Angeles,CA 0 friends Judging by the date of the last review,it seems like this 5 reviews kiosk will never go away or will ever change. Yeah,I got sucked in,too. Share review Yeah,I'm actually pretty good at saying no,especially - — - - since I'm poor.My hubby and I went out for the day,and I usually say no to samples,as I have no intention to buy Compliment the product in the first place.We passed by a girl holding a tray of cups,so I decided to be nice and pick on up. BIG mistake. It wasn't a drink or food. Send message We got sucked into the long demonstration.My husband was kind and could see I didn't want to spend that kind of money.He asked for her card(his nice way of saying no), Follow Shawna M. but she gave us the same spiel you have already read from the other reviews.We were gonna miss out on a"special sale".I just kept looking at him,and saying,"No,we are still recovering from the holidays" (true story,ugh..).She talked me into getting the facial, and gave us the salt scrub for"free".I know that's all fake; as if she could really part with a supposed$80 product at no charge. Walked away with sixty-something dollar charge on a credit card that I'm still trying to pay down:( I was sad enough that my husband offered to go back by himself to return it,but I didn't want to bother.It's a$65 lesson learned. The facial peel is supposedly meant to be used once a week,and can last a year.I intend to make both products last as long as possible. I especially won't come back or buy again because everyone always assumes my husband and I are much younger than we are,so we're obviously doing something right about taking care of our skin,etc. One star because I hate pushy sales people and the products can be found elsewhere for a better price.The products themselves actually work,but yeah...go online. Page 1 of 1 20 other reviews that are not currently recommended $$$$ ! f Price range Ultra High-End i I i Edit business info i Hours More business info Accepts Credit Cards Yes By Appointment Only No XTA s. First to review http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk - CLOSED - Union Square - San Francisco, CA Yelp Page 19 of 20 People also viewed Orogold Kiosk Exclusive ®®®tl J' 26 reviews Israel hooked me up with some wonderful products and was very kind. Denon 8 Doyle Event Entertainment -�-��--- QQQQ® 195 reviews Highly recommended for affordable photo booth rentals. Fresh f?*eS1)• ®®®CAE]90 reviews Soy Face Cleanser(how I got hooked on the line. Browse nearby Restaurants,Nightlife,Shopping,Show all People Viewed This After Searching For... Oro Gold San Francisco Best of Yelp San Francisco—Cosmetics&Beauty Supply mar KRYOLAM �S+ The rrr,` lovv ' Kryolan a ®�p -- © 27 reviews ®© .. - � YQ ®®®®� 74 reviews See More About Help More Languages About Yelp Advertise Careers English Yelp Blog Content Guidelines Yelp Mobile Press Support The Weekly Yelp Countries Investor Relations Business Support Yelp SeatMe '— - United States Terms of Service Developers RSS Privacy Policy Top Searches Ad Choices San Francisco Business Listings # A B C D E F G H I J K L M N O P O R S T U V W X Y Z Newly Added Site Map Atlanta I Austin I Boston j Chicago I Dallas j Denver Detroit Honolulu I Houston I Los Angeles Miami Minneapolis( New York( Philadelphia Portland( Sacramento I San Diego I San Francisco I San Jose I Seattle( Washington,DC( More Cities http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Dead Sea Products Seacrets Kiosk- CLOSED -Union Square - San Francisco, CA I Yelp Page 20 of 20 Copyright©2004-2014 Yelp Inc.Yelp,yelp::, :C and related marks are registered trademarks of Yelp. http://www.yelp.com/biz/dead-sea-products-seacrets-kiosk-san-francisco 10/30/2014 Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall - WSJ Page 1 of 5 I IYSJ WSJ L NE 11A eRKFIWAYCH� <O.WS i .v._.i<.4EFS81P � DJk' � ,10RE News.Quotes,Companies,Videos SEARCH 9 LOG IN SUBSCRIBE EN $12 for 12 Weeks I suBSCRISE NOW 'N SMALL BUSINESS 1 of 12 I ® 2 of 12 2 3 of 12 j or 12 Small Firms Drop -- SoftBank Invests ; N'Vh\ Are These � Hella Plans S5 Billion Health Plans in Indian Firms People Pedaling? Frankfurt 1PO ¢ _ To Nlake... RUNNING A BUSINESS Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall Determined Vendors Haggle, Hail Customers From Kiosks; $500 for a Day's Work Email Print 25 Comments By ILAN BRAT and MIRIAM JORDAN Updated Dec.3,2008 1201 a.m.ET Ana Guembes made a quick trip to the Westfield Fashion Square mall in Sherman Oaks,Calif.,one recent morning to pick up some face powder at Macy's. i But before she could get to the department store,she was accosted by a salesman at a cosmetics Cart in the middle of the mall corridor."Hello,miss.I want to show you something,"he called out to her,brandishing a tube of lotion with Dead Sea minerals. Soon the salesman was applying eye gel,salts and creams to Ms.Guembes's skin while chatting away about their cleansing and beautifying properties. "I didn't mean to buy anything,"said Ms. Guembes,a 40-ish nanny.But after 45 minutes at the cart,she'd spent$129 on a container of eye gel and two nail-care kits."They know how to catch you." At malls across the country,shoppers are being besieged by a determined crop of Young Israelis are manning kiosks in just about every salespeople:young Israelis who man significant mall in the U.S.thanks to a song by one of mobile carts and have a no-holds-barred their own.wSss Ilan Brat reports. selling style. Amid the grimmest holiday season in years,these workers are approaching passing mall shoppers or calling out from their stations,pitching body lotions,irons,toys and knickknacks.They demonstrate their wares by flying remote-control helicopters, steaming shirts and applying makeup. Instead of charging American-style fixed prices, they harness the culture of the bazaar and often quote numbers based on what they think a customer will be willing to pay. It's a far cry from the selling style of many of their fellow cart vendors who tend to be more passive and let customers come to them. 'We're Hunting!' "We're not selling here--we're hunting!"said Ms.Guembes's Israeli vendor,who gave his name only as Yaniv.Working 12-to 14-hour shifts for commissions of 20%to 30%, the Israelis can take home$500 a day during the holidays. Turkish,Chinese,Indian and other immigrants have long played a big role in the mall-cart business,thanks in part to the relatively low cost of entry--about$10,000 for setting up a cart or kiosk. But in the past decade,Israeli vendors have become the dominant players in the cart world.At the annual trade show rz;, for the retail cart and kiosk industry,nearly a third of the "r^ RECOMMLNDLD STORIES http://online.wsj.com/news/articles/SB 122826483720274329?mg=reno64-wsj&url=http... 10/30/2014 Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall - WSJ Page 2 of 5 trackers. In a first,next year's show in Las Vegas will host a Ana Guembes cart-operating workshop entirely in Hebrew. 1 s Most Israeli-run carts are manned by two to four people.Typically,the mall stints are a fast way to amass cash to finance a globe-trotting trip,a rite of passage for many i Israelis after they complete their mandatory military service.Some hear about the jobs m on Hebrew-language Web sites,such as"The Jackpot,"where cart operators Business advertise.Operators often offer a kind of package deal,where they subsidize housing i and transportation for their temporary workers. For five consecutive seasons,Angelina Kissa sold aromatic pillows,head-massagers and hair-straightening devices at carts in Ohio,Colorado,New Jersey,Pennsylvania and Massachusetts. She lived in apartments in groups of up to eight,with rent deducted by her bosses r from her paychecks.She says she made$8,000 her first season at carts near Akron, Ohio. "Christmas in America,people buy so much,"says Ms.Kissa,who is now 28 years old and works in Las Vegas as a distributor for a fruit-juice company."A good hustler can sell anything,like ice to Eskimos." Some of these temporary workers are here without work visas. Immigration and Customs Enforcement has conducted occasional raids,including a sweep of several malls in 2004 and 2006 that led to the arrest of more than 40 Israelis who were working illegally,according to ICE.But those crackdowns haven't appeared to temper the number of Israeli cart vendors.Some Israeli-owned companies are lobbying Congress to create a special temporary work visa for the mall-cart workers. Israeli folk-rock musician Rami Feinstein first worked the carts in 2003,dreaming about making enough money to record an >' album.He felt awkward in the beginning because of the pushy iA`V4 tactics required to sell fingernail-buffer kits and other products at a cart in a suburban Minneapolis mall. ' "You have to be very strong mentally to hear,'No,no,no,'and to still be smiling...and still wait for the person that would buy," Mr.Feinstein says. But the money was good,so he persisted. He's sold at malls every holiday season since then. ..cry mss; M Rami Feinstein He channeled his frustration into a song called"Something Amazing,"about the sales pitch he used to sell cosmetics. Seacret Spa LLC,a Phoenix-based company that sells skin-care products using minerals from the Dead Sea,learned of Mr.Feinstein's song and offered to produce a video as a recruitment tool. The video became popular among Israeli youth when it first appeared on YouTube in 2007.The 32-year-old's album came out earlier this year.Izhak Ben-Shabat,president of Seacret Spa,says thousands of Israelis have signed up to staff carts that sell his products.He says the products are now in 550 U.S.locations,up from 20 in 2001. Wholesalers say cart operators have tried hiring Americans to staff carts,but they lacked the art of the hustle--too polite to move the merchandise,especially for 12 hours straight. "Israelis are natural-born closers"on the sales floor,says Steven Malkin,marketing director for Vancouver-based Relaxus Products Ltd.,which supplies slippers,toy Popular Now What's Tnis? airplanes and other items to cart operators. ARTICLES Obama May Cut Holiday Sales Adva Arnon,an Israeli who was saving Deportations WSJ Columnist's Holiday Picks:Bargains for a South American trip,pushed $_Y;�.a and Slurges remote-control helicopters and Dead Sea Tech Gift Guide:Gadgets,games,handhelds skin-care products at carts in upstate Holiday Sales News Tracker:News and New York and on the West Coast two analysis seasons. Maine Nurse Resists recent holiday Heard on the Runway:Fashion&Trends y 2 Ebola Quarantine Complete Coverage:Holiday shopping news, r "r- i 1IECOMN11�NI)E�1)STORIES http://online.wsj.com/news/articles/SB 122826483720274329?mg=reno64-wsj&url=http... 10/30/2014 Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall - WSJ Page 3 of 5 excel at the job.But she learned to grab customers and rub their hands with lotion or .. ... .. - - . ..... -... Dead Sea mud,telling them of the wonders it would do for their skin.She started high 3 Opinion: Democrats Crash- . and then lowered the price if the customer agreed to buy two products,or threw in Land the Planet another item free if the customer took two at"full"price.She remembers selling$450 �'�-. worth of Dead Sea products to a single customer on several occasions. The on now 28 and a university talk.ty student in Jerusalem let the NATO Tracks A customer think too much,"says Ms. 4 Russian Air Activity The Israelis'hands-on approach irks some Americans.In recent weeks,Katie Kovacik --� says she has watched Israelis at several carts in a mall outside Chicago use the same clip-on hair extensions and straightening irons on one shopper after another."That's gross, said the 26-year-old,who's studying to be a skin-care professional. Mars Inc.: : "al ;r= ,; � Chocolate Minus - :''`° :�... .. After fielding complaints about overly aggressive vendors,some mall operators have Wall Street �==_:_ •: taken measures.The Natick Collection,a mall in Natick,Mass.,forbids cart ! +lIi II I I salespeople from calling out to customers as they pass. l�11n No-Touch Policy VIDEO The Westfield Group,an international owner and operator of malls,has a no-touch 1 Woman Hears Over , too Cat Calls + '�� policy for cart sellers,unless a"customer shows interest and agrees"to product Walking Through _+ sampling.The company also stipulates that salespeople must stay within 24 inches of NYC wy �, their carts."There are very specific rules of engagement,and they are enforced,"says Katey Dickey,a spokeswoman for the Westfield Group in the U.S. Deportation of Some non-Israeli cart operators have mixed feelings about the competition. Israelis Illegal Immigrants "are really hassling people a lot,"and people are losing respect for the carts,says Could Be t c Ayhan Yuce,a Turkish immigrant who sells jewelry,sunglasses and toys at carts in Eliminated " about 60 U.S.malls.Still,he's considering studying Hebrew. "I really would like to hire some of those Israelis,"he says."They are really good Scrap of Amelia salesmen.You have to admire them." Earhart's Plane Found Write to Ilan Brat at ilan.brat wsj.com and Miriam Jordan at miriam.iordan(cD-wsl.com Email Print 25 Comments Order Reprints _ 4Augmented Reality Ar Driving Is Closer to WSJ In-Depth Reality t�= � Tin - y Architectural � •� �I Models a Big L Business in London . Skinnier Seats on Please Call Me Dad, Newest Legal ; r More Crowded Planes Not`Steve' Laborers in Bolivia: Children F � J Cure for Office How Technology Is Cuban Nave Arrives Burnout:Mini Killing NFL Defenses by Land Sabbaticals 11WCOMMENDI11i)STORIES http://online.wsj.com/news/articles/SB 122826483720274329?mg=reno64-wsj&url=http... 10/30/2014 Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall - WSJ Page 4 of 5 SPONSORED RESULTS • Top Stocks To Buy Now • Best Investments For 2014 • Dividend Stocks To Buy . Best Stocks To Buy Now • Hot Penny Stocks To Buy . Best Stocks To Invest • Top 5 Stocks To Buy . Best Dividend Paying Stocks • High Yield Savings Account . High Yield Bond Funds Join the Discussion LOG IN TO COMMENT There are 25 comments. 1 person watching. Newest ARCHIVED COMMENTS Newest I Oldest Dana Marshad _I There is no reason going to the mall to buy Seacret spa skin care products,I use to do it on-line (www.seac retspa.com). They have Hugh discount and coupons as well as items on sale!! Just go to: WWW.SEACRETSPA.COM Sep 1,2009 Joseph Kohn Was at a mall in Beachwood OH yeasterday.As I passed one of these kiosks,I was approached by one of the swarming salesman.I simply said"Nice article about you guys in the Wall Street Journal!," and he backed off.These hawkers have replaced the previous"most annoying vendors,"the cell phone dudes. As I see it,mall management should police at least two things:1)keep the vendors within about 3 feet of their kiosk and 2)keep loud blaring music inside the stores where it can only affect the hearing of their employees and customers. Dec 6,2008 1 � SUBSCRIBE NOW fo a ® ® e. ❑ ❑ ❑ ❑ ❑ ❑ ❑ ❑ Subscribe / Login Back to Top [1l;'JCOMMENDEI)STORIES http://online.wsj.com/news/articles/SB 122826483720274329?mg=reno64-wsj&url=http... 10/30/2014 Shalom, Christmas Shoppers: Israelis Sell Cosmetics, Toys at the Mall - WSJ Page 5 of 5 New'Live Help Cookie Policy Place a Classified Ad Emails&Alerts Reprints Contact Us Data Policy Sell Your Home Graphics&Photos Content Partnerships WSJ Weekend Copyright Policy Sell Your Business Columns Conferences Contact Directory Subscriber Agreement Commercial Real Estate Ads Topics SafeHouse &Terms of Use Corrections Recruitment&Career Ads Guides Mobile Site Your Ad Choices Franchising Portfolio News Archive Advertise Locally Old Portfolio Jobs at WSJ Copyright&2014 Dow Jones R Company,Inc.;`.II Rights Reserved. i RIXOMMU'JNDED STORIES http://online.wsj.com/news/articles/SB 122826483720274329?mg=reno64-wsj&url=http... 10/30/2014 Cable reference id: #I OTELAVIV 140 Page 1 of 9 CABLE REFERENCE ID: #1 OTELAVIV140 Aide header "All of them,those in power,and those who want the power,would pamper us,if we agreed to overlook their crookedness by wilfully restricting our activities."— "Refus Global" ,Paul-Emile Borduas Main • Full-text search • Private cart • Browse tags • Overview - History Media • Crowdsource Central • Manning's alleged chat logs diff • Donate This site is best viewed using a modern,highly-compliant browser (scare—90) Internet Explorer doesn't support(or doesn't correctly support)all features,visual or otherwise,available on this page. Ak ................................................_.....,. 10TELAVIV140 aka kA;kiieaks id x245;36 ? Reference id Subject In Depth: Dead Sea Cosmetics And Skincare Industry Fraud Origin Embassy Tel Aviv(Israel) Cable time Mon,25 Jan 2010 05:37 UTC Classification UNCLASSIFIEDHFOR OFFICIAL USE ONLY Source http://wikileaks.org/cable/2010/01/10TELAVIV140.htmI References 09TELAVIV423, 10TELAVIV423 History . Time unknown: Original unredacted version, leaked to Wikileaks • Wed,24 Aug 2011 03:21: First publication, unredacted, however non-text content differs . Thu,1 Sep 2011 23:24:Original unredacted version published,with HTML goodies Extras ?Comments VZCZCXYZ0008 RR RUEHWEB DE RUEHTV#0140/01 0250537 ZNR UUUUU ZZH R 250537Z JAN 10 FM AMEMBASSY TEL AVIV TO RUEHC/SECSTATE WASHDC 5076 INFO RUEHRO/AMEMBASSY ROME 8617 RUEHJM/AMCONSUL JERUSALEM 3571 RHMFIUU/DEPT OF HOMELAND SECURITY WASHDC UNCLAS TEL AVIV 000140 SENSITIVE DEPT FOR CA/FPP, SARAH SEXTON CA/FPP: PLEASE PASS DOL CA/FPP: PLEASE PASS DOJ CA/FPP: PLEASE PASS FPMS DEPT FOR DS/IP/NEA DEPT FOR DS/DO/ICI DHS FOR CIS/FDNS DHS FOR CBP DHS FOR ICE ROME FOR DHS/ICE SIPDIS E.O. 12958: N/A TAGS: CVIS[Visas] ASEC[Security] , KFRD[Fraud Prevention Programs] , KCRM[Crkninat Activity] , CMGT[Consular Administration and Management] , PINR [intelligence] [IS SUBJECT: IN DEPTH: DEAD SEA COSMETICS AND SKINCARE INDUSTRY FRAUD REFTEL: �ence Israel 1 A)09 TEL.AVIV 423¶1.(SBU)SUMMARY:Tel Aviv has been investigating visa fraud in the U.S. Dead Sea Cosmetics and skincare industry since 2007,when it became a noticeable problem. From September 2008, Dead-Sea related fraud has been one of Tel Aviv's Fraud Prevention Unit's(FPU)and Assistant Regional Security Officer-Investigator's(ARSO-1)main foci. Since then Tel Aviv has learned a great deal about the multi-million dollar Industry and Its fraudulent activities. Of particular concern is that the majority of the workers in this industry are Israeli,whether they are B1 B2 visa holders, LPRs or dual American-Israelis; key companies have told us that they prefer to hire Israelis instead of Americans. Of late,the industry has been using its kiosk marketing experience to branch out into related fields: hair straighteners, hair extensions, hair accessories and other assorted items such as other types of cosmetics, perfumes, pillows,toys,wind spinners and even, roasted nuts.The Dead Sea industry has spread to more than 36 states,creating a major presence across America.This industry also operates in countries like Australia, New Zealand,the UK, and Germany. Unfortunately, its U.S. presence is not entirely"clean,"for there are known issues of B1 B2 visa holders working illegally; illegal worker exploitation; no federal or local taxes being paid on workers'earnings;filing applications for extensions and/or changes of status as a means of continuing illegal work; bogus marriages to keep key staff in the United States; B1 in lieu of H3 letter and H3 visa scams; non-transparent corporate structures established to create distance from illegal workers;transport of huge sums of cash to Israel suggesting organized crime and money laundering; as well as an increased number of real estate ventures that suggest the same. Moreover, it is culturally acceptable for post-army Israelis to work illegally in the United States; key parts of the Dead Sea industry have been able to base a large part of their business models upon the employment of illegal workers.These issues and other important topics of concern will be delineated in this lengthy background cable.The unifying factor is that all of these issues have wider implications.Aside from the criminal aspects of this fraud,a key implication is the increased visa revocation/refusal and denial of entry rates for post-army Israelis,which among other things,complicate Israel's high-profile desire to join the Visa Waiver Program.Contact information for readers who wish to receive e-mail updates is available at the end of this cable. END SUMMARY-------------------------------------H213 Workers Capped- B1 B2 Workers Essential--------------________________________¶2.(SBU)The number of H26 workers has been capped at 66,000 per fiscal year,with 33,000 to be allocated for employment beginning in the 1st half of the fiscal year. From 1 Oct-31 Dec 2009,Tel Aviv issued 283 H213s-all for the Dead Sea industry.Our experience tells us that there are far more than 283 Israelis working at kiosks across the United States--we suspect the numbers to be in the thousands;those additional, illegal workers are mainly B1 B2 visa holders as that path is far cheaper and less hassle than filing petitions, and etc.The Dead Sea industry knows it cannot sustain itself with just H213, H3,J1 SWT, E and L visa and American-Israeli workers.Thus, 131 B2 workers(61 B2ers)are vital to their oft-stated plans to employ only Israelis. Further, an argument can be made that these companies are hiring in a discriminatory fashion in that their main goal is to hire Israeli workers to the exclusion of others.To illustrate how crucial B1 B2ers are to these companies:say a Dead Sea company has 2-4 kiosks in nine medium-sized metropolitan-area malls with 2-3 workers per kiosk.Assume 3 kiosks per mall and 2-3 workers per kiosk.The number of workers ranges from 54-81 in this area with just ONE company. Now,extrapolate that scenario across the United States. https://cablegatesearch.wikileaks.org/cable.php?id=l OTELAVIV 140 10/30/2014 Cable reference id: #IOTELAVIV140 Page 2 of 9 With the hundreds of Dead Sea companies and thousands of kiosks in existence, it becomes clear that Israeli-Americans, H2Bs,Js,etc. cannot sustain the Israeli workforce plan--B1 82ers do. Given that there are many more kiosks now than several years ago, it becomes more obvious that the decline in H2Bs and the rise in 13162ers enabled the H2B program to become a"fig leaf'for these companies and their illegal workers.$3.(SBU)Bolstering the above scenario is Document Benefits Task Force(DBTF)information(passed to ARSO-1)containing names of 50 Israeli 131 B2 or VWP workers who had been working in the Houston area. Post is currently analyzing these 50 cases:22 B1 B2s were issued by Tel Aviv in 2008-9 alone; 11 B1 132s were issued by Tel Aviv prior to 2008; 11 are thought to be VWP nationals and,6 names were too common to distinguish. Further,the DBTF's activities have led to a particular company's scramble to replace/move elsewhere their B2 workers with those holding H2Bs.$4.(SBU)ARSO-1 has been notifying the Government of Israel(GOI)of all incoming criminal deportations from the United States. He also receives notification of all deportations and has noticed a sharp increase in young Israelis being deported for overstays or visa status violations.Though anecdotal evidence, it points to a wider problem.15.(SBU)The list of 50 Houston-based workers is not the first or only one Tel Aviv's Fraud Prevention Manager(FPM)has received; CBP sent a list of 60+workers who had been discovered working illegally at a Florida-based company.As part of a multi-faceted fraud strategy, FPM has since revoked(and sent revocation requests to CA)a large number of B1 B2s belonging to known workers.Tel Aviv's interviewing officers are constantly trying to find ways to detect Israelis who intend to work; needless to say, coaching and other assistance has made it very difficult to detect these cases. An analysis of case notes pertaining to the applicants on both lists showed that most of these Israelis had given solid stories, thereby convincing consular officers to overcome 214b.The toughest aspect for 214b is not determining whether the applicant will return, but whether s/he will abide by their visa's terms.Tel Aviv FPU is open to ideas on improving its detection of those intending to work;we are continually brainstorming solutions, but none have proven effective thus far.$6.(SBU)H2B statistics: In the past several fiscal years,Tel Aviv's overall H2B workload has dropped from a high of 1,658 cases in FY 2008 down by more than half to 528 cases in FY 2009. Reflecting enhanced scrutiny of these applications is the increase in the FY 2010 H2B refusal rate to 45 percent from 10.9 percent in FY 2008. H2Bs FY 2006: 179 H2Bs issued;25 refused. (204 cases) FY 2007: 997 H2B issued; 79 refused. (1,076 cases)FY 2008: 1,495 H2B issued; 163 refused. (1,658 cases)FY 2009: 381 H2Bs issued; 146 refused. (528 cases)FY 2010 to Dec 31:283 H2Bs issued; 129 refused. (412 cases)-----------------_—___ Recruitment of 131 B2 Workers:Well-Organized--------------------------------------$7.(SBU)Recruitment of B1 B2ers is largely peer-and Internet-oriented and occurs year-round; not surprisingly, recruiters and Dead Sea managers themselves are usually former illegal kiosk workers. It also begins while they are still in the military; recruiters have participated in job fairs for those finishing their mandatory service.The hiring process is highly organized and done with no paper trail.$8.(SBU)Israelis preparing to leave the army generally want to earn money(whether domestically or abroad)to pay for school,travel and other life goals. Israelis have a close-knit social network and as such, it is not hard to find peers who have worked illegally and be reassured by the fact that they were not caught. FPM spoke with an Israeli who had been swept up in a raid, and he said that the vast majority of his peers obtain a tourist visa with intentions of working and that a majority are not caught.This situation creates a relatively permissive recruitment environment.While in the United States, an Israeli can walk up to a kiosk and ask about employment;they also can utilize online social networks such as Facebook to find jobs.$9.(SBU)With a few variations, recruiters rosily promise such things as the ability to earn USD 3-4,000 per month, 20-30 percent commission, payment of half of the airfare, housing at resort-like apartment complexes and availability of a car. In some locations, rent is a token sum and in others, upwards of USD 500 per month is charged. Qualifications are minimal:strong English skills and a U.S.visa.�10.(SBU)Companies advertise in newspapers and online;an interested worker only needs to complete a questionnaire and wait until someone calls them.Typically,they are given a number to call when they land in the United States. One variation is that recruiters will meet the prospective worker at a local cafe or mall to finalize details. Others call Web-site listed telephone numbers and leave a message;someone returns their call and then convinces them to work. If they don't have a U.S.visa, recruiters have been known to coach them on how to evade our scrutiny.$11.(SBU)Prior to arrival in the United States,workers typically are given an address to write on their 1-94-which may or may not exist. Upon arrival in the United States,they usually are met at the airport and taken to their housing. Should there be problems at immigration,they are provided with a number for someone closely connected to this industry.As described by a former Israeli worker,the entire process was"all well organized."Substantiating this is an 1275 Q/A comment, "They know when we are coming.They come to the airport to collect us."---------------------------------------------131 B2ers: Lack of Consequences Helps Dead Sea Industry and Perpetuates Israelis'Cultural Acceptance of Illegal Work-------------------- ----------------__$12.(SBU)There is an array of reasons why post-army Israelis work illegally in the United States;a key part of this fraud problem is these young Israelis'cultural acceptable of illegal work.The prevailing perception amongst these Israelis is that selling Dead Sea products is a simple way to earn a lot of money,can be done easily and that most are not caught.One turnaround said, "people[in Israel]told me it was ok[to sell Dead Sea products].There are a lot of people[who] sell Dead Sea products in the United States. According to another Israeli who was caught and jailed, most of his peers know the intend to work well before applying for U.S.visas and obligingly tell interviewing officers that the know this work is y 9 Y illegal. Illustrating the situation's pervasiveness is that some Israelis travel annually to work; others travel every two years. This Israeli also estimated that there are"thousands of B1 B2 workers across the United States";statistics and anecdotal evidence cited in this cable strongly support this estimate. He also theorized that quite a few come from the lower end of the socioeconomic scale--not poor, and not upper middle class. Post has seen cases of Israelis relinquishing good jobs,such as those with the National Police,to work illegally and cases of illegal Israeli workers with a high-profile government or corporate parent.Of note is that,due to the preference for Army service, Israeli-Arab kiosk workers are rare.¶13.(SBU)The deception by those intending to work illegally begins well before they arrive at the visa interview window and repeats at POEs. In a secondary interview with CBP,one turnaround said,"....I don't remember who told me what to say, but everyone in Israel knows about going to America to work, and they say to tell the U.S. Embassy that you're going on vacation. It's easier to get the via."Companies and recruiters have been known to advise applicants to:create a fake reason for the trip, such as attending a friend's wedding(in one case, CBP discovered the friend was already married!);and not to worry as"[After entering]as a tourist...they would take care of my paperwork."Other examples are instructions to: "...tell US consular officials that he intended to visit a friend's aunt in NYC so that he could obtain a US visa and, ...to tell POE that I was coming for"retail manager in training program"(she worked as a secretary for a Dead Sea CEO). In addition to the lies,this B1 B2 applicant pool tends to write on their DS 156's"None"for their U.S.destination and contact information(they know that if they were to put Ohio,we'd know they intended to work). Interviewing officers have a hard time pinning them down to an exact https://cablegatesearch.wikileaks.org/cable.php?id=I OTELAVIV 140 10/30/2014 Cable reference id: #IOTELAVIV140 Page 3 of 9 U.S. address or contact as they generally say they are going to New York or some other common destination to see family such as an uncle or aunt(when they intend to work in AZ,TX,OH,TN or even in AL). By contrast, H213 applicants diligently provide this information as given to them by the companies.�14.(SBU)ln general, kiosk workers are not a static bunch. Some work several weeks or months at a kiosk in one area, say Cleveland,and then shift to another area such as Las Vegas for a few weeks or months and so on.A strong network of Israelis paves the way for their job moves-if things do not work out at one kiosk,an Israeli can call upon the network to help his/her transfer to a another kiosk which could be local or out of state.- ---------------Paying B1 B2 Workers-------------------T15.(SBU)Kiosk area managers and/or U.S.-based recruiters usually take care of compensating their illegal workers. Pay tends to range from USD 1,000-3,200 per month,with the majority paid on the mid to lower end of this scale. It is rare to earn a lot of money and, as expected,the higher end is occupied by those who excel at sales.Tel Aviv is aware of situations in which workers end up owing their employers money.�16.(SBU)The most common method of payment is cash"under the table."Per 1275 reports, an assortment of cash payment methods exists: having the worker establish a U.S.bank account and then depositing cash or checks; pay worker USD 1,000 for the first month while still in Israel and then thereafter, pay USD 300 per week--the USD 1,000 would be deposited into an Israeli bank account and USD 300 given in cash once state-side; having their pay wired to an Israeli bank account; having the worker open a U.S. credit card account and transferring money to the card, and etc. Some workers know that no local or federal taxes are being deducted from their pay;others are told that"that has been taken care of."------------- B1 B2 Worker Exploitation Issues----------------------------$17.(SBU)The methods of exploitation we have seen are:a. Payment of prohibited H2B fees.Those who withdraw from H2B work early state-side or while still in Israel have been unable to receive refunds of the extra, and prohibited, monies they had paid. Exemplifying this situation is a company that is known to charge Israeli H213 applicants a$100 fee as collateral for visa approval; if denied their H2Bs that company refused to return that money to the applicants on the basis that the failure to obtain a visa was the applicants'fault, not theirs. In addition,that same company charges 1126 candidates half of the$1,000 cost to petition for the visa;the candidate pays$100 prior to leaving Israel and the remaining$400 is deducted from their first four salary payments. b."Legal"status: Company told person that s/he could work legally on the B-1;told him/her it was"ok to work and that nothing was going to happen." When that person asked the recruiter about a work visa,s/he was told"not to worry about it."One company even told 131 B2ers that"[they]can work for 3 months legally and after 3 months, [they]can't."c.Job deceit: One person thought he had started a real job with an Israeli company and that he was being sent to the United States for training; he soon discovered that the"training"would be work and that there was no job waiting for him back in Israel.These companies have been known to move their employees around as they see fit.An Israeli,originally recruited to work in the logistics department,was transferred to a kiosk when the company needed more cart workers.Another variation is to promise to send a worker to,say, Los Angeles, and upon arrival, send them to, say, El Paso.d. Long hours, little pay. Six day workweeks and 11 hr workdays are not uncommon. Some workers are paid only their commission,e.g. no minimum wage salary.The majority are not paid anywhere near the$3-4,000+a month promised by recruiters.An Israeli who quit his H2B job this month informed us that he and his colleagues had been paid only a basic salary of$1500 a month and that their company took$500 a month from each of them to cover living expenses,such as rent.After adding in other expenses,they ended up having to pay their employer money when they left,earning nothing, contrary to what was promised.e. No local or Federal taxes paid. Given that the tendency to be paid in cash, most workers do not know that taxes must be paid on money earned. Nor do the companies enlighten them.f. Social Security Numbers(SSNs). Illegalities abound in this area as shared SSNs,fraudulent SSNs and having no SSN are not uncommon.g. Employment Eligibility Verification 1-9 forms not completed for workers. Dead Sea companies have failed to complete I-9s for their workers.All U.S.employers must complete and retain an 1-9 for each worker-including citizens and noncitizens. On the 1-9,the company must examine the employment eligibility and identity document(s)a worker presents to determine whether the document(s)reasonably appear to be genuine and relate to the individual and record that document information on the 1-9.This documentation provision is likely the sticking point for these companies as they do not want any evidence of hiring B162ers. h. Organized Crime enforcement tactics:ARSO-I and FPM are aware of recruiters who threaten workers if they do not do their work as intended.One such recruiter threatened a workers family back in Israel with harm if the worker did not continue working at the kiosk.ARSO-I is looking into these cases for prosecutorial potential. i. Department of Labor violations. Examples include assigning workers to employment locations different from those listed on the DOL certifications.As mentioned above,companies have been known to move workers around at will, according to current needs.j.And, no doubt,there are other methods of exploitation not described here.-------------__________________1-539 Extensions Filed to Continue Unauthorized Work------------------------------ -------$18.(SBU)Many B1 132ers fail to disclose unlawful employment on their 1539s to extend current status or switch to H213 or even H3 status.These applications are filed as a way to buy time to continue working.To reduce scrutiny, Israelis have been known to file 1539s in a different state from where they had been residing.719.(SBU)Another known tactic to keep Israeli workers in the United States is petitioning for a change of status for their workers from B2 to H3 in April since the companies have typically claimed their"peak load"occurs during the Christmas holiday season.To complicate things further, they even petition to change the same H26s who entered as 62s and then worked in the kiosks during the holiday season over to H3 trainees after they re-enter the United States as 62s again in April and May.The H3 classification is very problematic;see paragraphs 22-30.-------------Marriage Fraud------------$20.(SBU)There seems to be an overwhelming indication that the owners, principal partners and area managers of Dead Sea-related companies are enlisting U.S. citizens to commit marriage fraud in order to enable their open-ended"legal"U.S. stays.These"couples"knowingly engage in fraud, with payments to the U.S.citizen and pre-organized meetings to prepare for their USCIS interviews. In October,Tel Aviv investigated a marriage fraud case on behalf of USCIS Phoenix that resulted in the withdrawal of both the 1130 and 1485 forms. USCIS is investigating other cases of Dead Sea-related marriage fraud and Tel Aviv is willing to assist as necessary.- -------------Crooked Lawyers?--------------$2 1.(SBU)Lawyers appear to very much a part of the Dead Sea fraud scheme. FPU is aware of a lawyer who advised an Israeli to obtain a new PPT to hide his/her lengthy U.S. stay.Another lawyer reassured a group of B1 H3 workers that they were in"legal status"whilst their 1539s were pending with USCIS.Skating close to ethical"lines,"one lawyer even advised a high-level Dead Sea company owner(who was denied a visa in both Tel Aviv and Jerusalem)as to whether attempting to cross illegally from Mexico was preferable to Canada.That individual was caught trying to cross the U.S.-Mexican border by making false claim to U.S.citizenship;ARSO-I is working with DS/LAFO/DS on this case. Such is the draw for Israelis working in this industry in the United States that they are willing to risk detention and possible prison time to work there. Most tellingly,ARSO-1 and Tel Aviv FPM have noticed that there are a handful of lawyers https://cablegatesearch.wikileaks.org/cable.php?id=l OTELAVIV 140 10/30/2014 Cable reference id: #1 OTELAVIV 140 Page 4 of 9 who have been filing the vast majority of the Dead Sea industry's petitions, 1539s and 1130s/1485s with USCIS.Sometimes, new lawyers pop up,though they,too, appear to have connections to these key lawyers.------—----------------------------- Recent Arrests of Israeli B1 B2 Workers-------------—--------------------722.(SBU)Tel Aviv CONS and ARSO-1 are pleased with the uptick in attention various Department of Homeland Security(DHS)agencies and U.S.Attorneys have given to the 131 B2er problem. In November, Houston's ICE Documents and Benefits Fraud Task Force(DBTF)arrested 11 Israeli B162ers as part of a wider operation; ICE Seattle(Tri-cities office)arrested 11 more in late December and another Seattle office had arrested 5 earlier.These arrests'timing has been fortuitous to Tel Aviv's ongoing educational campaign targeted to the post-army demographic about the potential consequences of working illegally in the United States.We hope these arrests and Tel Aviv's recent 214B revocations of large numbers of B1 132ers'visas will filter through the close-knit post-army community and encourage them to think twice about working illegally. On a side note,these revocations ensure that B1 B2ers cannot re-enter the United States;some have been admitted despite TECS and other lookout entries for them. ------------- ________________B1 in Lieu of H3 Training Letter and H3 Scam---------------—----—-------------$23.(SBU)On B1 in Lieu of H3 trainee(61 H3)issues, 9 FAM 41.31 N11.9 says: a.Aliens already employed abroad,who are coming to undertake training and who are classifiable as H3 trainees.The regulations state that in order for an alien to be classifiable as H3,the petitioner must demonstrate that: (1)The proposed training is not available in the alien's own country;(2)The beneficiary will not be placed in a position which is in the normal operation of the business and in which citizens and resident workers are regularly employed; (3)The beneficiary will not engage in productive employment unless such employment is incidental and necessary to the training; and(4)The training will benefit the beneficiary in pursuing a career outside the United States.x]24. (SBU)Note that ALL four conditions in 9 FAM 41.31 N11.9 must be met to qualify for H3 status.The most difficult item to overcome is condition 1. Israel does have a Dead Sea skincare and cosmetics industry in which Israelis sell to American tourists, people from all over the world and to local customers.Thus, per this interpretation,this H3 training field IS available in Israel. In addition, 9 FAM 41.31 N11.9(4)says the training is supposed to benefit the Israeli's career abroad—however that standard is also tough to meet as these Israelis tend not to have had Dead Sea-related careers prior to going to the United States for their B1 H3"training."Their work back-grounds tend to encompass portable employment fields such as bartending, working at a gas station,cell phone sales/service,working as a secretary,etc.�25.(SBU)It is rare that young, post-army Israelis present a visa application to us requesting B1 in lieu of H3 status. In fact,Tel Aviv's Fraud Prevention Manager (FPM)is aware of only one such visa case at post since the summer of 2008—that one was refused on 214b grounds. Of concern is the situation in which Israelis in this demographic present B1 H3 letters to CBP officers at Ports of Entry for admission for 3-6 months'training, misleading both CBP and Embassy Tel Aviv consular officers.$26.(SBU)Often,these Israelis apply for a visa under the guise of going to the United States on a 2-3 week vacation(it is now rare for us to see requests for trips of longer duration)to visit family,friends,travel,etc.Tel Aviv consular officers,despite the employment of a variety of interviewing tactics, have no way of knowing which ones were specifically told by local recruiting companies to not reveal their true intention to work in the United States to them. It is known that recruiters have no interest in Israelis who do not already possess a U.S. visa as that is one of two key job requirements;the other is possession of English-language skills. After they receive their U.S.visa,the company will then furnish them with B1 H3 training letters and coach them to tell CBP that they are coming for"just for training,"etc.so as to facilitate their entry into the United States.�27.(SBU)To combat the B1 H3 letter scam,tools we employ include:the stapling of a card onto passports of those issued 131 B2 visas advising against unauthorized employment in the United States;and extensive CCD notes that include a key phrase"vacation only,"trip information as presented(e.g. location and duration)and job occupation.The latter is important as those who present B1 H3 letters will almost always say they have been working for a local Dead Sea company for at least a short period. If they recently applied for a visa at Tel Aviv,these applicants usually do not indicate during the interview or on the application itself that they already have been working for these local Dead Sea companies. In other words,a different employer is likely listed in the CCD.$28.(SBU)Regarding remuneration of B1 H3 workers,9 FAM 41.31 N11 says:There are cases in which aliens who qualify for H1 or H3 visas may more appropriately be classified as B-1 visa applicants in certain circumstances,e.g.,a qualified H1 or H3 visa applicant coming to the United States to perform H1 services or to participate in a training program. In such a case,the applicant must not receive any salary or other remuneration from a U.S. source other than an expense allowance or other reimbursement for expenses incidental to the alien's temporary stay....it is essential that the remuneration or source of income for services performed in the United States continue to be provided by the business entity located abroad, and that the alien meets the following criteria: (1)With regard to foreign-sourced remuneration for services performed by aliens admitted under the provisions of INA 101(a)(15)(B),the Department has maintained that where a U.S. business enterprise or entity has a separate business enterprise abroad,the salary paid by such foreign entity shall not be considered as coming from a"U.S. source;"(2)In order for an employer to be considered a"foreign firm"the entity must have an office abroad and its payroll must be disbursed abroad.To qualify for a B-1 visa,the employee must customarily be employed by the foreign firm,the employing entity must pay the employee's salary, and the source of the employee's salary must be abroad; and....Going against 9 FAM 41.31 N11.9(2)and(3),the B1 H3"training program"in reality has these Israelis engaging in unauthorized full time employment selling Dead Sea products at mall kiosks across the United States. In general,they are paid in cash based upon their level of sales,which can range from USD 250 to USD 800 per week.Wire transfers from the United States to workers'Israeli accounts, payments to Israeli credit card accounts, and checks deposited to a U.S. bank account are among the other known means of payment.All of these payment methods are considered U.S. source,thus not foreign as they should be. 29.(SBU)Known 131 H3 letter drafters(Israel-based)are: STS(majority user and has several TECS records),AK Global Investments and Management LLC, KIT, Gaya Inc,Global Spa LTD, Ela Marketing LLC,Tal Yosifun LTD,JNS Global Israel LTD, Sol Enterprise Israel LTD, Market Trade LTD, Mor Universal Management Consultants, and Global Market Trade LTD(formerly JG Cosmetics LTD). [NOTE:Gaya Inc and Sol Enterprise Israel LTD have residential addresses.]¶30.(SBU)Known US counterparts to above Israeli comapnies:A&B United,Coral Cosmetics, E- Marketing, Enias Beauty, Everesteam, Feel Free LLC,Gill Cosmetics,Gizbo Trading,JNS Global, Lali Beauty(aka Cart Planet), Libra LLC, LMD 4 Florida, Lucidity Enterprises, Mall Security Enterprises, MDS, Micaella, Nine DEC, Sound Creation, Spa to Go(MI),Stanga and Suns Inc.¶31.(SBU)H3 Statistics: Of note is Tel Aviv's dramatic drop in H3 cases between 2008 and 2009--likely due to the B1 H3 letter scam and submission of 1539 applications to change status to H3. H3s FY 2006: 15 H3s issued;4 refused. (19 cases)FY 2007:49 H3s issued;22 refused. (71 cases)FY 2008:47 H3s issued; 19 refused. (66 cases)FY 2009: 8 H3s issued;4 refused.(12 cases)FY 2010 to Dec. 14:0 H3s issued; 1 refused. (1 case)--- _____E and L Visas------------¶32.(SBU)E visas: Shell companies have been known to be established in order to"qualify" https://cablegatesearch.wikileaks.org/cable.php?id=IOTELAVIV140 10/30/2014 Cable reference id: #1 OTELAVIV 140 Page 5 of 9 an Israeli for E1 status. E1 visas, in general receive close scrutiny in Tel Aviv; Dead Sea-related cases,due to their non- transparent corporate structure, receive even further scrutiny.As a fraud prevention measure and, mainly because of their low volume, ConGen Jerusalem agreed to transfer their E cases for Tel Aviv to process. Of its own cases,Tel Aviv approved eight and rejected six such E1 visa cases;rejections were due to lack of qualifications.$33.(SBU)L visas:Tel Aviv recently returned to USCIS a Dead Sea company's L petition because additional information that we received revealed there was no intra-company connection between the Israeli entity and the U.S.entity other than a distributor relationship.As with E visas, Tel Aviv will be keeping a close eye on these cases.--------------------------—-------Q4 Visas for Israeli Kiosk Workers?-------- ------_---------___$34.(SBU)A Dead Sea company, one that may have organized crime(OC)connections, continues to tell us they are pushing for the creation of a Q4 visa category to permit Israelis to work at U.S. kiosks selling Dead Sea products. FPM first heard of this idea back in the fall of 2008 from this company's owner and continues to hear about Q4 plans.The argument for the Q4 visa rests upon the"uniqueness"of having an Israeli sales force within the Dead Sea industry.Tel Aviv does not view this proposed visa category as credible,for it could be used as a way to legitimize B2 workers and continue the pattern of not being open to hiring U.S. citizens.$35.(SBU)Moreover,there is nothing intrinsic to the Dead Sea that Israelis are privy to that other people in the world cannot find out. In fact, company representatives repeatedly have stated to ARSO-1 and FPM that only Israelis are capable of working for them and that they do not hire Americans because they are lazy.Their attitude has more to do with high pressure sales techniques and controlling a vulnerable work force;ARSO-1 and FPM have seen these elements in these companies'instruction manuals.----------_________________1275s-Dead Sea Information Goldmine-----------_____—_____________$36,(SBU)Dead Sea-related denials of entry easily top Tel Aviv's list of reasons for POE turnarounds.Two hundred and sixty-one(261)such 1275s have been received here since October 2007. In Jan-Nov 2009, FPM received 162 1275s, reflecting POEs'increased scrutiny of post-army Israelis—the group that is most likely to work without authorization.Since we probably do not receive every Dead Sea-related 1275 from each and every POE,the total number we have likely does not represent the total number of Israelis denied entry. Newark,with 65 cases, processed the most 1275s in Jan-Nov 2009;Atlanta Hartsfield and Chicago O'Hare are second and third, respectively,for the same period.The November 2009 CBP Travel Industry Bulletin spotlights Atlanta,which is one of the busiest airports in the world, and the mention of Israeli fraud on page two says something about the level of their concern regarding this issue. Previously, as described in reftel A, Israelis intending to work were advised by their companies and recruiters to avoid Atlanta. Disseminating this type of information has become more sophisticated due to online videos advising which airports to avoid, and etc.As with Atlanta, Israelis are beginning to avoid Newark.Where will they go next?$37.(SBU)To help close the communication gap, FPM has reached out to POEs that handle Israeli arrivals and shared information in the attempt to maintain an"advantage."The outreach is done via the FPM's ad-hoc Dead Sea a-mails that share trends/data and information with CBP, FDNS, ICE, USCIS and others. FPM maintains several e-distribution lists. Represented in the CBP POE list are:ATL, BOS, CHI, DET, HOU, IAD,JFK, LAX, MIA, MSP, NEW, PDX, PHI, PHX,SEA and SFO. If you would like to receive these Dead Sea e-mails, please write to vincentwm @state.gov.$38.(SBU)All 261 of our 1275 cases have been analyzed extensively for intel-and data-gathering purposes,and shared internally and externally.What's noteworthy?21-24 is the main age cluster;57.5 percent are females and 42.5 percent males;46 percent are from central Israel(interesting as the north and south are less well-off areas);75.5 percent applied for B2 status upon entry; 16.9 percent presented B1 H3 letters; POE denials: 52.5 percent worked on a previous trip; 31 percent intended to work if admitted to the United States; 47.9 percent were caught on the second entry attempt due to having worked on the first entry;and POE denial grounds per INA: 77.4 percent were 7A1,and 17.6 percent were 6C1 in addition to 7A1.$39.(SBU)We suspect that quite a few Israelis manage to evade CBP successfully and,for every 1275er caught,there are likely several B1 B2ers.Via word of mouth,the smart ones come for a short, 1-2 month stay to work, earn money and leave.They then return the following year for the holidays,which is the principal money making season.According to our CBP contacts,these individuals are much harder to catch.$40.(SBU)FPM encourages POEs to send via e-mail or snail/express mail copies of Dead Sea-related 1275s for intel and analytical purposes; Please see paragraph 75 for Tel Aviv's mailing address details.---------------------------Validation Studies Underway----------------------g41.In October 2008,Tel Aviv implemented changes in its evaluation of post-army visa applicants, and as a result, its refusal rate began to climb sharply. FPM requested an ATS/ADIS validation study of B1 B2ers in April 2009.The results indicated it was too early for an informative study as many of these Israelis were still in the United States.We plan to follow up on this group at the 18 month mark;we suspect we'll see lengthy stays, numerous extensions and changes of status. Meantime,we continue to flag issued cases within this demographic by adding particular phrases into NIV case notes for additional validation studies.----------------—---------_----____Transport of Cash Connected to Dead Sea Industry---—--------------------------—--------- 42.(SBU)Transport of cash from the United States to Israel has long been a concern of FPM and ARSO-1 as it not only implies illegal employment,but also money laundering, and thus, potential organized crime connections to the industry. Information gathered from the 1275s and from CBP show that Israelis, including relatives or friends of illegal workers, have been caught outbound transporting large sums of money back to Israel. In one case, a young Israeli couple was discovered transporting over USD 26,000 for their illegal worker friends to Israel;they had lied about the amount to prevent the money's seizure. Further,ARSO-1 has discovered through a source that young Israeli workers returning to Israel have been tasked with carrying back money for the company.These workers are then met by a contact in Israel;the money is collected at or near the airport and is delivered to a local company representative.�43.(SBU) At Newark, Israelis regularly have been caught by its Outbound Currency Enforcement Team(OCET). Generally,these Israelis have been in the United States for four to six months and are carrying about USD 8,000 to USD 9,800,just under the reporting limit. In addition to carrying cash for the companies,these workers also have been known to wire some of the money to Israel or have someone carry some of it home for them or buy items with their illegal earnings such as laptops, i- Phones,clothing,etc. OCET places long-term lookout on these cash-carrying individuals and reports those who admit to and/or have proof of working illegally to Tel Aviv.Tel Aviv FPM then evaluates these individuals for 214B visa revocations and adds corporate intel gleaned by OCET from these cases to the Dead Sea Excel file.Tel Aviv welcomes submissions from other OCET teams.$44.(SBU)There is a catch-22 situation in which CBP knows that Israelis had worked illegally,with or without proof of employment and/or admission of unauthorized employment. If the Israeli declares under$10,000 or over that amount—as long as they declare,they are free to return to Israel. Per Newark's OCET's experience and TECS records, Newark estimates that roughly 800 Israelis who carried$5,000 or more and stayed four to six months were either stopped, interviewed and/or had outbound examinations in CY 2009.The scale of this cash transport is not small-for just one POE: 800 Israelis multiplied by$5000 minimum,equals a lot of money--at least$4 million!-----------------------------Dead Sea and https://cablegatesearch.wikileaks.org/cable.php?id=l OTELAVIV 140 10/30/2014 Cable reference id: #1 OTELAVIV 140 Page 6 of 9 Organized Crime(OC)-------_________________¶45.(SBU)Organized Crime in the Dead Sea industry is a real concern.Tel Aviv has consistently received information that large sums of money are allegedly being laundered and transported between the United States and Israel. Due to the amount of money being laundered and transported,Tel Aviv has long suspected a link between the Dead Sea industry and OC. In early December, FPU received an e-mail from an informant who said he had l information alleging that a key Dead Sea company is connected to OC.ARSO-1 and FPU subsequently interviewed this informant;the ARSO-I's report of this interview states:"The SUBJECT stated that s/he is in possession of computer disks with all of this company's accounts, money totals, smuggled bulk cash from the United States to Israel and has a complete understanding of the alleged illegal activities to include the employing of illegal workers, suspected drug smuggling, money laundering, intimidation,threats,extortion, and tax evasion.The SUBJECT also claimed that this company is allegedly owned by a major organized crime family in Israel that has threatened SUBJECT'S life,extorted money from SUBJECT,and has sent people to physically assault SUBJECT."Due to the ongoing criminal investigation in the United States, no additional details can be released at this time. 46.(SBU)Further adding credibility to our suspicions, is an arrest case from this past summer in Japan where kiosks run by young Israelis were allegedly being used by an OC organization to launder its drug money and real estate investment deals.As noted above, some Dead Sea companies have real estate and investment companies as part of their overall structure.$47.(SBU)Shell and holding companies are all part of the industry's corporate strategy,designed mainly to distance themselves from the illegal workers at the kiosks.To exemplify,one Dead Sea holding company has 60+companies under it. Now, assume that one of those 60+companies has a contract with another company and that other company then hires the illegal workers.This scenario is quite common,complicating our efforts to combat and uncover Dead Sea fraud. Furthermore, once a company is found to be employing illegal workers it merely changes its name or creates a new owner for a shell company and applies for H2B petitions.As mentioned earlier,there are a handful of attorneys who have been filing the majority of the Dead Sea industry's petitions and 1539s.They appear to be passionate lobbyists for these new companies—almost as if there had been a previous working relationship(as in,with the"old" company).$48.(SBU)Sometimes,key Dead Sea players have been"caught-out"by their own non-transparent corporate structures. Recently,Tel Aviv received an e-mail complaint from one of the known Dead Sea lawyers that also included the CEO's angry e-mail to that lawyer. Problem: that CEO had, in theory, nothing to do with the petitioning company as he was the CEO of a different company. FPM investigated and discovered that the CEO's company sub-leases the kiosks to the petitioning company. Furthermore,the CEO's company has a TECS record that says it doesn't exist.$49.(SBU)As a side note:Tel Aviv FPU has a large and growing list of known OC figures identified through open source materials and confirmed by ARSO-1 through Israeli Law Enforcement sources.Tel Aviv FPU and ARSO-I are working with the Legal Attach on possible strategies to combat OC in conjunction with FPU's revocation of visas for convicted OC members. ----------------- -----------Dead Sea Industry and Real Estate----------—---------—----------T150.(SBU)Increasingly,we are seeing signs of involvement in real estate by many of the key Dead Sea players. One example is the recruiter mentioned in the 6E deterrent section. In addition, our ARSO-1 recently interviewed someone with extensive knowledge of a particular Dead Sea company; this person alleged that money laundering is occurring through the real estate arms of these companies.The real estate arms of these companies are also involved in employing young Israelis to work for them in violation of their visa status. Further, substantiating this trend,ARSO-1 reported that his source stated that the real estate business was becoming as important as the kiosks.$51.(SBU)Another aspect of the real estate issue is these companies'provision of housing for their workers,whether legal or not. Industry-wide,there are a large number of apartments and, increasingly, houses, located near the malls where they work. Placing at least four or more workers in a two bedroom place and charging each person USD 500 a month has made housing another potential money-maker.As the addresses of these apartments/houses may indicate intent to work,Tel Aviv FPM has been tracking them in an Excel document that contains comprehensive information on the Dead Sea industry.Addresses are gleaned from 1275s, H2B DS 156s, and received from other inter-agency sources.------ -----Made in Israel?--------------$52.(SBU)Given the shrinking Dead Sea, labor/shipping costs and the increasing volume of products being sold,Tel Aviv FPM and ARSO-1 suspect that some of these"made in Israel"cosmetic and skincare item are actually made elsewhere. Supporting this is ARSO-I's development of a source who informed him that one of the larger corporate groups was manufacturing soaps in the United States using possible illegal workers from Central America and then selling the product as from the Dead Sea, i.e. made in Israel.Another likely source is China,which has both"dead seas"and cheap labor. Last but not least, ICE Rome reported to ARSO-1 and Tel Aviv that they suspect these companies may be importing soaps and creams in bulk to Israel and labeling them here before shipping to the United States using Israel's"most favored trading nation"status to save money.-------------------------Interagency Success Story-----------------$53.(SBU) In November, Houston's DBTF executed search warrants on a particular Dead Sea company.The result:ten Israelis were arrested for working on B2 visas; numerous boxes of evidence were seized along with USD 70,000.The company's H2B contract,translated by Tel Aviv FPU at the DBTF's request,was found to violate DOL and USCIS provisions.ARSO-1 and FPU have assisted DBTF with identifying people,detailing connections between individuals/companies and provided requested information whenever possible.$54.(SBU)lt is now rumored that the company being investigated by DBTF Houston has shuttered operations;Tel Aviv continues to monitor chat rooms and message boards for Dead Sea workers. Indications are that this company's B1 B2ers already have been moved to other areas and new companies(including shells) have been created to fill this corporate gap. Moreover,Tel Aviv discovered that this Houston-based company has very close ties to another Dead Sea operation in Arizona.ARSO-I has passed information to DBTF Houston as part of their ongoing investigation.$55.(SBU)ARSO-1, ICE Rome and Tel Aviv have consistently waged an information campaign to enlist other regulatory and law enforcement entities to investigate this seemingly fraud-riddled industry on a nation-wide basis. However, given the lack of interest in a national investigation,ARSO-1 and Tel Aviv highly recommend that DBTFs nation-wide consider duplicating the Houston-based DBTF's recent successful efforts.156.(SBU)Tel Aviv believes that interagency efforts are crucial to combating and preventing Dead Sea Fraud. FPM has developed a network of working contacts across the United States with various agencies such as CBP, ICE, FDNS and USCIS.Tel Aviv greatly appreciates CBP's inclusion of its fraud prevention efforts in their official publications such as the New York/Newark Tactical Analytical Unit(TAU)Weekly Intelligence Brief and the Office of Intelligence and Operations Coordination's Weekly Intelligence Notes.As one prong of a multi-faceted fraud situation, our continued inter-agency sharing of information,trends and analyses have and will continue to tighten the noose on Israelis working illegally.Complementing the FPM's efforts is the ARSO-I's ongoing communications with Law Enforcement entities to facilitate information-sharing and to track a growing number of arrested Israelis and Dead Sea companies under investigation.----------------------------------6C and 6E Ineffective: Stronger Deterrents Needed------- https://cablegatesearch.wikileaks.org/cable.php?id=10TELAVIV140 10/30/2014 Cable reference id: #IOTELAVIV140 Page 7 of 9 ----------------------757, (SBU)9 FAM 40.65 INA 212(A)(6)(E)(6)lllegal entrants and immigration violators. (E) Smugglers. (i)In general.-Any alien who at any time knowingly has encouraged, induced, assisted,abetted,or aided any other alien to enter or to try to enter the United States in violation of law is inadmissible. Per 9 FAM 40.65 N5,6E could be incurred for offering an alien a job under circumstances where it is clear that the alien will not enter the United States legally in order to accept employment.$58.(SBU)Post is looking into either P6E-or 6E-ing known Israeli recruiters of B2 workers. One recruiter recently applied for a visa,saying that he was in real estate and no longer in the Dead Sea business.The applicant, because of his prior Dead Sea history,was vetted more closely by FPU. FPU discovered that he had recruited B2 workers and was still doing so; a second interview by the ARSO-1 and FPU resulted in a 6E finding. Using the 6E provision can deter recruiters from traveling to the United States, however they would still be free to recruit B2 workers in Israel and online.$59.(SBU)Per the above 1-275 analyses, almost 18 percent of those denied entry are found ineligible under 6C1. Israelis 6C1'd tend to be recent cases in which they obtained a visa from Tel Aviv telling one story(vacation)to the interviewing officer and another story(work)to CBP officers--misrepresentation. Post has seen cases in which CBP could have and,for their own reasons,did not do so. Post is unable to make 6C1 findings unless the applicant was determined to have cut off a line of questioning with a material fact-in reality,this determination is made after the visa's issuance. Due to Tel Aviv's lack of information as to when B1 132ers start work, it is difficult to apply the 30/60 day rule per 9FAM 40.63 N4.7-1 and 9FAM 40.63 N4.7-2. It is also not yet clear whether 6C1 will be a strong deterrent as most of those recently denied entry have been barred for at least five years.After five years,they'll certainly learn first-hand the severity of the lifetime consequences of their 6C1 ineligibility when they apply for a new visa.-------------------------------------New, Old Deterrent: Limit B1 B2 Validity?---___-------_---------------_----$60.(SBU)The essence of Tel Aviv's 214b problem is not whether the applicant will return, but whether the applicant will abide by the terms of his/her B1 B2 visa. This cable presents strong evidence that many post-Army Israelis violate the terms of their visas.As this practice is culturally acceptable,Tel Aviv thus far has been unable to determine a pattern that would help interviewing officers identify mala-fide applications. Several years ago,Tel Aviv limited visas issued to middle-and high-school aged students to the approximate end of their military service so as to prompt a look at their post-army situations. Per CA's request this practice stopped. Being able to review the applications of Israelis who previously received limited visas has been helpful in identifying patterns and in collecting crucial information about illegal recruitment and work practices.This, combined with the large number of post-army Israelis who work illegally on their B1 B2 visas, has led Tel Aviv to re-examine the efficacy of limiting young Israelis'visas,with a focus on those who recently finished their military service.We look forward to a dialogue with CA on this issue.$61.(SBU)There are a variety of reasons described in this cable for Tel Aviv to re-consider limiting visas of those in the post-military service age group.Of note is that,while in the military, Israelis must obtain special permission to vacation abroad and return to military service or face being charged as a deserter.And for post-army Israelis,given the widespread and culturally accepted intentions to work illegally,the idea would be to limit post-army issued visas to one-or multiple-entry for one year(un-annotated),sharply reducing the time and opportunities to work illegally.This one year visa limitation idea would also give us more information about their actual travel versus their stated plans, helping us better identify mala-fide first time applicants. It should be noted that Tel Aviv's interviewing officers have been consciously evaluating each applicant as an individual and trying not to discriminate against a broad age-group category. Frustratingly,we regularly receive reports on Israelis known to be working who appeared to be solid visa issuance cases during their interviews,which were based on the best available information regarding their ties.------------------------------------Visa Waiver Program(VWP)Implications ------------------------------- 962.(SBU)While security and biometric requirements are Israel's key hurdles to joining the VWP, it now has the added complication of being over the three percent refusal rate threshold due to post-army Israelis'tendency to abuse their visas. Predictably,dual national Israeli workers with VWP country passports have bypassed Tel Aviv and entered the United States on their VWP passports.Tel Aviv's adjusted refusal rate for host country nationals for B1 B2 visas increased from 1.27 percent in FY 2007 to 4.38 percent in FY 2009. It appears this rate will climb further;for FY 2010,as of December 30, it was 5.91 percent.Worldwide,the refusal rate for all Israelis is higher yet.Although our refusal rate continues to rise,we are still taking great pains to interview each applicant as individual cases.--------------------------------------Annotations as a Fraud Prevention Tool: Israelis Prove to be Clever and Adaptable---------__---------___---__---------$63,(SBU)As an innovative fraud prevention tool,Tel Aviv, in consultation with 9FAM 41.113 PN6,9FAM 41.31 N19 and CBP officers, began adding a particular, positive annotation on some full-validity B1 B2 visas issued to those within this problematic demographic. Due to a lack of"tells,"Tel Aviv has not been able to distinguish definitively between those who intend to abuse their visas by working illegally from those who do not;as mentioned above, recruiters are coaching applicants on what to do/say in their interviews. Our annotations were intended to give CBP officers,who are able to talk to our applicants several weeks/months post- interview, an opportunity to prevent B1 B2 visa abuse.All applicants in this age group are potentially"at risk"for recruitment, especially after being granted B1 B2 visas; because of this risk,CBP officers have told FPM that they appreciate our use of such annotations. It should be pointed out that only a minority of visas for this demographic were annotated.$64. (SBU)The first annotation employed was"First Trip:travelling to XYZ with XYZ relative."This proved ineffective,for Israelis learned to create stories to cover discrepancies with the annotation and it applied only to the first trip.To replace this,the more generic "B2 CCD"annotation informed CBP that the Israeli has sufficient ties to qualify for visa and told us their trip's intent was B2 purposes,tourism.At any rate,clever Israelis figured out that B2 CCD meant they needed to be consistent with the false tourism story sold to Tel Aviv with CBP. Given CA's aversion to annotations,we have ceased the use of B2 CCD annotations.$65.(SBU)Predictably, Israelis are chatting online at sites devoted to working in the United States about perceived patterns of Tel Aviv's actions, including annotations.While reviewing"Forums for Job Advertisements in the U.S.," FPU discovered this posting: "I have an important question: I got a visa in the mail for 10 years and the visa was annotated 1 st trip with parents. I am really not planning on traveling with my parents. Can anyone help?Tell me what can I do?"The response was: "you have been busted...this is a new policy that the Embassy has taken in order to make sure no one fools them.Applicants say they are traveling with parents in order to maximize their chances in getting a visa. No way in getting around this cause it appears in their computers. Best idea for you is to ask your mother if she wants to join you in this trip."--- _______________________Facebook as a Fraud Prevention Tool---________________________�66.(SBU)The Internet has "gifted"us with new fraud tools for our toolbox. Facebook(FB)is a prime example as we use it in many ways.$67.(SBU) Confirming Identities and/or Affiliations(assumes public access): Not surprisingly, Dead Sea-related FB pages exist-most are in Hebrew:two examples are"Carts in San Diego"and"Dead Sea in Miami."FPU checks which"location"or"network"with which the person in question might be associated. If an applicant signed up for the Houston network(or other area known for https://cablegatesearch.wikileaks.org/cable.php?id=IOTELAVIV140 10/30/2014 Cable reference id: #1 OTELAVIV 140 Page 8 of 9 Dead Sea workers), it raises a red flag that they should be interviewed more thoroughly as to the trip's true purpose. FPU also trawls through FB's Dead Sea-related groups to spot-check members or"fans"of a particular page against the CCD to see what type of visa, if any,they received. Likewise, surfing through an applicant's list of"friends"for familiar Dead Sea names and/or for that person's U.S. contact's listing as a"friend"can be fruitful.These searches help determine whether or not the applicant or the applicant's contacts are connected to Dead Sea-related activities.768.(SBU)FB pages have helped official investigations,too.At the request of ICE,Tel Aviv, armed with some bio data,was able to verify the identity of a person who was working at a kiosk by finding that person's FB page photo and comparing it to his/her CCD photo.`j169.(SBU) Recruiters and job listings: FB has pages for Dead Sea job listings and one such site is"Nova USA."To investigate,the FPU visits that page and looks at the names of the administrators and the contact e-mail addresses for job listings(which can lead us to recruiters)and then checks the information against the CCD via a text search. If there are"hits,"then the information within these cases,such as other e-mail addresses are text searched to see where the information trail leads. Ultimately, all key information is watch-phrased.-----------------___________Outreach as a Fraud Prevention Tool ---¶70.(SBU)ln September,Tel Aviv publicly launched a consular video, "Illegal Work in the U.S.: Price is Too High"(usembassy-israel.org.il/consular/niv/index.a spx).This video has been viewed on the Embassy's You-Tube channel over 5,700 times,easily making it Tel Aviv's most popular one. In addition to also posting it on the consular section's FB page,the video is being played in the visa waiting room in a loop, along with a video that explains the application process. Some Israelis who have been denied entry told CBP that they had seen the video while in the waiting room and that they still intended to work despite its warnings!¶71.(SBU)The video's debut launched an active, ongoing campaign by FPU to educate post-army Israelis about how to work legally in the United States.The video was publicized on national radio, leading to a spate of national media articles on Israelis working in the United States. In November, Channel 2,a key TV channel, picked up on this issue and invited two Israelis who had been denied entry to tell their stories in a live,five minute segment.The moral:the consequences(barred from entering the United States for at least five years)are not worth the illegal work. Right after their TV segment aired, FPU and ARSO-I met with one of these two Israelis.This meeting was an eye-opener,for we learned more about how young Israelis lie in their visa interviews. FPU is currently scheduling additional individual meetings with 1275ers to glean more information on how they succeeded in obtaining 6162s when their true intent was to work.As a counterfoil to meetings with 1275ers, FPU has requested through ARSO-1 to meet with several Embassy local guard force (LGF)staff,who also belong to this problematic age group;the RSO's office is currently reviewing this request.$72.(SBU) Post has had positive results from its campaign against illegal work. FPU has received a-mails from numerous Israelis inquiring as to whether the work opportunities that they have been given are legal or not; most have not been.Also,we have received e-mail from informants,one of whom may crack a high-profile Dead Sea company wide open. Still others have e- mailed to let us know they had quit their H2B jobs as they either didn't like the work or suspected the employer was not legitimate.ARSO-1 and FPU have followed up on every email and contact in the attempt to glean as much information as possible from those actually recruited by or working for these companies.$73.(SBU)Phase II of the campaign is about to commence. Included in this phase is the production of a second video. Instead of having the Embassy produce, it will be produced by a group of students from a noted Israeli film school.These students are in the same age demographic as Dead Sea workers,and, because of this,we hope this video will resonate even more strongly with post-army Israelis.The November and December 2009 arrests of Israelis working at kiosks in Houston and Seattle also will reinforce the video's message.$74.(SBU)As in phase I,Tel Aviv continues to work with our Public Diplomacy colleagues to alert Israelis to the consequences of working illegally via mainstream media outreach.Thus far,several articles have been published and received wide distribution. Previously,journalists from papers such as the Wall Street Journal have reported on this industry (and quoted illegal Israelis);additional, mass-audience articles should also help push this campaign forward. New Mailing Address for Official Mail-----------------------------------$75.(SBU)The Department of State and the U.S. Postal Service(USPS)changed the unclassified Diplomatic Pouch regulations for sending and receiving official mail. No longer are we to use the Diplomatic Post Office(DPO/APO)for sending and receiving official mail.All official mail sent to Tel Aviv should use this Diplomatic Pouch address:Wendy Vincent, Fraud Prevention Manager Consular Section 9700 Tel Aviv Place Department of State Washington, DC 20521-9700 For security'reasons, please do not write"U.S. Embassy Tel Aviv." For those who prefer to use express mail:Wendy Vincent, CONS 71 Hayarkon Street Tel Aviv, Israel 63903--------- Conclusion-------¶76.(SBU)The Dead Sea industry is continually adapting to new economic opportunities in addition to playing their corporate"games."Prior to the establishment of the Dead Sea industry, Israelis were known to work illegally for moving companies.Though not as widespread as the Dead Sea industry, as mentioned in reftel A, B1 B2 locksmiths also are of concern.Tel Aviv's dedicated, motivated fraud team and ARSO-1 are working hard to stay on top of fraud trends--it is not easy.Tel Aviv greatly appreciates its close ties with numerous DHS agencies and officers--together we form part of the "global"effort to combat fraud within this fraud-riddled industry.As part of these closer ties,we thank those CBP and USCIS officers who contributed important text and statistics to this cable. For future fraud efforts on this issue,Tel Aviv looks forward to working with additional partners from the law enforcement community.$77.(SBU)Tel Aviv's FPM,Wendy Vincent, looks forward to hearing from others who have been working on Dead Sea industry fraud and is willing to share information accordingly.As mentioned above,she maintains a distribution list for Tel Aviv's ad-hoc a-mails on Dead Sea trends, issues and data updates to her extensive Excel document on the Dead Sea industry. Should you wish to join this e-distribution list or establish contact with Tel Aviv, please a-m MEDIA e Add media item for this cable... COMMENTS ❑Do not load Disqus comments widget(,Disqus loads and executes third-party Javascript fifes,which might be deemed undesirable.Setting will take effect next tirne a page is loaded.) User-supplied contents reflect the views of their respective authors,and not necessarily the views of the owner and?or moderator(s)of this web site.Posts with embedded links will have to be approved by a moderator.Only links to external web pages which appear to contribute complementary information to specifics in https:Hcablegatesearch.wikileaks.org/cable.php?id=1 OTELAVIV 140 10/30/2014 Premier Dead Sea Products - Kiosik Stammers, Review 6386781 Complaints Board Page 1 of 4 COMPLAINTS BOARD The rm,os,trusted and popuiar { consumer complaints wabsite Co:ir)a.n nr Nr:cdtECk\aTt e Everythingm f�Of17E; Ne,,vs&Stories Tips&'Pricks Qttestions Videos Photos Groups Submit.Cornplai.nt Foilow us UnneCk Wlih.0A .4 Q .L Login Register Anti-Aging Creams Of 2014 g g Read Our Top 10 Anti-Aging Cream Reviews-And Decide For Yourself! 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