No, Harbor Lane is not closing down. The online businesses capitalising on Wellington's economic gloom

After 11 years in the capital, Harbor Lane Wellington will be closing down at 11.59pm - according to a timer at the top of the website - counting down the hours, minutes, and seconds until then.

"Since 2014, we've dedicated ourselves to Harborlane (sic) Wellington - offering the latest trends, unique items, and first-class service to make you shine.

"But in New Zealand, skyrocketing living costs have become the reality for so many of us. From soaring rent to grocery bills that feel impossible, the financial pressure is something we all feel deeply. For us, it's made keeping our dream alive no longer sustainable."

In October, RNZ reported about 50 stores had closed between Courtenay Place and Lambton Quay in 2024.

But Harbor Lane Wellington is not one of them.

It is an online store using a scam advertisement on Facebook to cash in on New Zealand's economic gloom.

'I felt so stupid'

Pensioner Shirley Howard told RNZ she had bought an item of clothing from Weston Wellington after she saw an advertisement on Facebook in January.

Weston Wellington has a .nz domain, and claimed to be "Wellington's go-to destination for luxury women's fashion".

According to the Domain Name Commission, the Weston Wellington domain was registered in the Netherlands in December.

Harbor Lane Wellington insisted it had no relation to Weston Wellington, but the name on the email address was of a football player in the Netherlands. The Harbor Lane Wellington domain was also registered in December.

"We are a separate business from Weston Wellington, but we understand the confusion. Unfortunately, many businesses are struggling right now and unable to keep up with the financial pressure, which is why so many are closing."

Upon further inspection of the website, Weston Wellington is said to be based in Hong Kong, with a business registration number under the company name LCR International Limited, incorporated on 12 February.

It also had a VoIP phone number with an area code of Washington, D.C. in the United States.

After Howard made the purchase, she received an email from Westpac as the bank suspected it to be fraudulent.

However, Howard believed the website was legitimate.

"I felt so stupid," she told RNZ.

"I had seen [the advertisement] probably 30 times, and I kept thinking, 'Oh, those are cool pants. I really like those pants. Oh, look, they've got even more of a special.'"

Is it a scam?

To Howard's surprise, the pair of pants did arrive from China at the beginning of the month.

Weston Wellington was dropshipping. It had bought the pair of pants from another online store and shipped it directly to Howard for a profit.

And while they looked similar to the advertised product, Howard said they were poorly made, with loose stitching in the seams, around the waistband, and at the cuffs and crotch area.

The label also claimed it was 55 percent linen and 45 percent cotton, but Howard believed it was 100 percent polyester.

Howard asked Weston Wellington if she could return them for a full refund. The website claimed to offer a "risk-free, 30-day money-back guarantee on every order", but has spent more than two weeks trying to convince Howard to accept an alternative option.

"Option one is a 30 percent refund of the price of the goods, and option two is a 60 percent discount for future purchases. And I keep saying, 'No, I want to return it. I want to return it.' But they just keep coming up with all these options," she told RNZ.

Another woman, who wished to remain anonymous, told RNZ she had also been duped by Weston Wellington.

"(I) had expected it to be shipped from Wellington, but it originated in China," she said.

"Two of the products were okay, but two had sizing that was off that advertised. There was no packing slip and no information on returning goods, despite a 30-day returns policy.

"I think it's a total scam, even though it really did look legit."

Consumer NZ communications and campaigns manager Sahar Lone said a business like Weston Wellington raised issues under the Fair Trading Act and the Consumer Guarantees Act.

"Under the Fair Trading Act, it is illegal for traders to mislead customers, give them false information, or make misrepresentations. So if you think a retailer has misled you, you are within your rights to complain to the Commerce Commission, and they can investigate," she said.

"And [under the Consumer Guarantees Act], if the item is faulty or damaged when it arrives, or if it doesn't match the description of what you ordered, then the retailer should really sort that out. If it's a major defect, you could be entitled to a refund. If the problem is only minor, then you might be entitled to a repair or replacement.

"Even if they're not onshore, they still have an obligation [under the Fair Trading Act and Consumer Guarantees Act] because they need to abide by the laws of this country."

So what can you do?

Howard is not alone. Retail NZ chief executive Carolyn Young said she had seen a number of similar advertisements on her Facebook feed.

"If a deal looks too good to be true, it probably is," she said.

"If it's for an item that you couldn't buy in store at that price, then it's unlikely to be in New Zealand."

"And it probably won't be at the quality that you expect."

Young suggested thinking twice before clicking on a link in a Facebook advertisement.

"We know, generally, the style of sales that happen in New Zealand. You've got stores that regularly have discounts and sales. You've got 'buy one, get your second half-price' and those sorts of things. They're things that we expect to see. But often, those countdown clocks are not common in New Zealand. We don't normally see those sorts of things for just an everyday sale. If a business is closing down, you probably would have heard of it or seen it around your region."

National Cyber Security Centre threat and incident team lead Tom Roberts added to be wary of any website that created a sense of urgency, such as a countdown clock as "it could be trying to get you to act without thinking things through".

While he said there was no single marker to determine whether a website was a scam, he provided a list of things to check before providing any sensitive information:

The URL

Roberts advised to check the domain name on the website.

"Most businesses in New Zealand end in a .co.nz, though that is not always the case. But if you see an 'example-wellington.com' or 'example-auckland.nz', treat it with caution."

He also suggested to check whether the URL started with HTTPS - and not HTTP.

"It's not a guarantee, but the lack of HTTPS is certainly a red flag."

When and where the website was registered

"Recent and overseas registration can be a red flag," Roberts said.

He suggested to check a .nz website through the Domain Name Commission website - dnc.org.nz - and through viewdns.info for all other domains.

"[Harbor Lane Wellington and Weston Wellington] appear to be registered overseas, and are only a few months old, though they claim to be longstanding Wellington businesses."

The New Zealand Companies Register

Roberts said an established New Zealand-based business should be easy to find on the New Zealand Companies Register.

An address and a phone number

If it claims to be a local business that is about to close, Roberts said, it should have a current street address and a phone number registered to it.

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