Claims filed to watchdog over Hong Kong gym chain Physical soar to HK$113 million

Biggest case received by consumer watchdog involves prepayment of HK$1.86 million for more than 1,900 private classes and 10-year membership

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A former customer shows a contract with the gym chain. The total amount involved in complaints made to customs doubled in a day, surging to HK$71 million. Photo: Sam Tsang

Published: 11:50am, 12 Sep 2024Updated: 9:12pm, 12 Sep 2024

The amount involved in complaints filed with the consumer watchdog over the Physical gym chain has exceeded HK$110 million (US$14 million) following the high-profile arrest of two directors of the recently closed business in Hong Kong.

The Consumer Council said it had logged 3,289 complaints from customers as of Thursday evening, with claims totalling more than HK$113 million. The average amount in each claim was HK$34,430.

Meanwhile, the number of related complaints filed with the Customs and Excise Department had jumped to 1,492 as of 4pm, up by 65 per cent from 900 on Wednesday, with claims nearly doubling from HK$39 million to HK$72 million.

The biggest case received by the consumer watchdog involved a prepayment of HK$1.86 million for more than 1,900 private classes and a 10-year membership.

“Sometimes customers bought more classes than they needed and did not use up their packages before the expiry period,” Consumer Council chief executive Gilly Wong Fung-han told a radio programme. “Trainers told customers their unused credits would only remain valid if they bought extra classes. That is how things snowballed.”