Buffet restaurant’s closure leaves prepaid cardholders out of pocket
Print Edition
THE Golden Jaguar buffet restaurant chain has closed its Yan’an Road W. operation in Shanghai, along with other outlets, leaving diners who bought prepaid cards and staff workers who haven’t been paid in the lurch.
More than 10 workers at the Yan’an Road W. outlet said they had not been paid for three months, and prepaid card buyers of the restaurant said they have been left in the dark, Shanghai Daily found.
A notice at the restaurant stated it had stopped operating for “interior project maintenance.” Prepaid card buyers were advised to “register their cards and personal information,” but no solution was offered.
A woman surnamed Lin said she had two cards for the restaurant with more than 3,000 yuan (US$440) unused.
“I was lured into buying another card as the restaurant said there was an extra sum of money reward to guests for the second card,” she said, adding she now wants her money back. “I was not aware of the closure until learning from my friend today, which is very surprising because Golden Jaguar is an old buffet restaurant in Shanghai,” said Lin.
Other victims include couples who have booked banquets at the restaurant.
“We have already distributed invitation cards and where can we book another restaurant in such a short time?” said a bride-to-be surnamed Li, who came to the restaurant to check out the venue. Her wedding takes place next month.
Workers said the restaurant closed on June 19. A worker surnamed Xu said he had not received wages for three months, adding he is owed more than 30,000 yuan.
“I trusted the company for a long time, because I understood it was facing a difficult time and I did not complain about delayed wages.” Now Xu says he has no money left for living costs.
Xu said the Yan’an Road W. restaurant employed more than 100 workers. “We tried to get paid, but were told by the company that it had no money. It even told us to file a lawsuit because it did not care.”
The restaurant stopped operating because it had no cash to buy food, said Xu, adding that chain’s problems were nationwide.
The restaurant had been given a warning and ordered to rectify and stop issuing prepaid cards by the Minhang District Commission of Commerce last August after an increasing number of complaints over its prepaid cards. However, the restaurant still continued to issue them.
As of last May, Golden Jaguar had 15.14 million yuan unused in its Shanghai prepaid cards. The company might not be able to refund cardholders, said Fan Lingen, secretary general of the Shanghai Prepaid Card Association.
All Beijing outlets shut
Regulations rule that companies issuing single-purpose prepaid card must set aside deposits or buy insurance for the cards, but the restaurant has not bought such insurance since June last year, according to the commission.
Golden Jaguar opened its first outlet in Shanghai in 2003. It had the reputation of being a high-class buffet restaurant chain, where diners could eat a variety of food, including abalone and steak, for a 238-yuan meal.
Golden Jaguar in its heyday had 26 restaurants nationwide, including five in Shanghai, though the nationwide total had halved by the end of last year. In Shanghai, only the Yangpu District outlet, which only hosts wedding banquets, is operating, restaurant workers said.
All four of the chain’s outlets in Beijing closed recently. Nearly 100 prepaid card buyers gathered outside the Cuiwei Plaza outlet in the capital, asking for a refund, the Beijing Youth Daily reported yesterday.
A seafood and fruit supplier to more than 10 outlets of Golden Jaguar said he was owed more than 3 million yuan, according to the paper.
The restaurant was fined nine times by Jing’an District Market Supervision and Management Bureau over 2015 and 2016 for food poisoning or serving unacceptable food. The restaurant was also entangled in an artificial shark fin scandal in 2013.
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