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Hong Kong yoga chain Hotstone Yoga has closed all its branches, leaving members with unused prepaid classes and prompting a Customs investigation.
By 5pm on October 2, the Consumer Council had received 286 complaints involving HK$3,909,444. The figure represents amounts involved in complaints received by the council, rather than a confirmed total loss across all affected customers.
Sudden closure leaves classes unused
A closure notice issued through the company’s lawyers stated that September 30 was its final business day, with operations ending after normal opening hours. The company cited business operations and other practical circumstances behind its decision.
The abrupt shutdown left members facing uncertainty over outstanding classes and whether they could recover their payments.
One member said she had paid HK$11,880 in July for 63 classes and still had 44 unused sessions when she received the closure notice. Other customers alleged that staff continued encouraging them to purchase or renew packages shortly before the business closed.
These accounts remain customer allegations. Whether the company’s sales practices breached the law is under investigation.
Company director arrested
Customs arrested a 61-year-old male company director on October 2 on suspicion of wrongly accepting payment under the Trade Descriptions Ordinance.
Investigators said the business was suspected of continuing to sell courses and accept prepayments before closing, without reasonable grounds to believe it could provide the services within the agreed or a reasonable period.
By 5pm that day, Customs had received 381 reports involving approximately HK$4.07 million. Individual reports involved amounts ranging from HK$1,000 to HK$46,000.
The Customs and Consumer Council figures come from separate reporting channels and may include overlapping cases. They should therefore not be added together.
Customs said its investigation was continuing and further arrests had not been ruled out. The arrest does not establish guilt.
What affected members can do
Members who paid by credit card should contact their card issuer promptly to ask whether unused services qualify for a chargeback.
Chargeback may help recover prepayments when a merchant fails to provide paid services, but refunds are not automatic. Eligibility, supporting documents and application deadlines vary. Some credit card instalment arrangements may not offer the same protection.
Affected members should retain:
- Receipts and payment statements.
- Course agreements and records of unused classes.
- Sales messages and other communications with the company.
- The closure notice and any subsequent correspondence.
These records can support enquiries with card issuers and complaints to the Consumer Council or Customs. The Consumer Council’s complaints and enquiries hotline is 2929 2222. Customs has also urged affected customers to report their cases.
Sources
Complaint figures and refund advice · Closure notice · Member accounts · Customs investigation · Chargeback guidance
