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Who wants to be an Aeroplan millionaire?

From Wednesday's Globe and Mail

Readers are curious -- and who can blame them? -- about how Cleveland marketing man Steven Belkin earned four million Aeroplan miles hiring people to fly on his behalf within Thailand.

I mentioned his achievement in last week's column, and heard from a lot of skeptics who said no one can get miles for someone else's flights.

Interestingly enough, officials at Air Canada's Aeroplan reward program haven't denied his story, although they won't discuss details. Belkin stands by it, but he says it's important to point out that the miles are "under his control," rather than in his personal account. And he insists he didn't "milk the system" or use "loopholes." Everything he did was within policies spelled out in the booklet given to Aeroplan's Super Elite members.

Air Canada initially questioned the procedures he followed, says Belkin. But he and the airline are now at peace, so he'd prefer to keep mum. But some other upper-tier Aeroplan members have filled me in on his likely action plan.

First off, Belkin targeted Aeroplan because, unlike most U.S. frequent-flier plans, it has no blackout dates or capacity controls for upper-tier members. He chose to carry out his strategy in Thailand because it was the best place to earn lots of Aeroplan miles for the least expenditure by taking short-hop, low-cost flights. A flier there could earn 500 Aeroplan miles for a flight of less than 100 kilometres with Thai Airways International, one of Air Canada's Star Alliance partners. And for an upper-tier Aeroplan member, bonus miles would kick in with multiple flights.

Belkin then took advantage of a provision that allows a Super Elite member to designate a travel agent or other individual to request reward travel in exchange for Aeroplan miles. All that is needed to do this is the sending of a signed letter to the Aeroplan Super Elite desk naming the specified person.

While on a trip to Thailand last summer, Belkin hired about 20 locals to fly back and forth on the points-rich routes over a period of six to seven weeks. They all became Aeroplan members in their own name, and soon achieved Super Elite status. Each of them signed a letter designating Belkin as the person in charge of their accounts. They flew, he picked up the bills, and he ended up with the rights to cash in the points.

As Super Elite members, the hired Thais were eligible under Aeroplan rules to use a "gift of travel" provision that allows reward trips to be given to anyone -- not just to family members as is the case for basic-level members. The Thais could therefore dish out trips willynilly, but since Belkin has control of their accounts, in effect he gets to pick who travels. He can award trips to himself, family, friends or business associates. Apparently, it's all legal and above board.

And in case you're wondering how much free travel Belkin is now entitled to, four million miles will get him 40 round-trip flights to Europe in first class or 160 return trips across North America in economy.

Air Canada, for its part, issued the following prepared statement:

"As per the terms and conditions of the program, Aeroplan membership is solely for the benefit of the individual. Accumulated miles cannot be transferred or pooled. A member may, however, redeem miles from his or her personal account for family members with the exception of upper tier members who can give the gift of travel to anyone.

"It is important to note that according to Aeroplan terms and conditions, Aeroplan tickets cannot be redeemed for cash and will be declared void if sold, bartered, or transferred and the member may be subject to prosecution and/or loss of program privileges.

"Air Canada's compliance department monitors Aeroplan accumulation and redemption activities in order to maintain equal treatment for all of our members and to ensure adherence to the terms and conditions of the Aeroplan program. As policy issues are brought to our attention, we attempt to revise our operation accordingly."
More for less
in new reward chart

A number of Aeroplan reward trips are now available for fewer miles than in the past, thanks to an integrated Star Alliance reward chart that took effect on Jan. 1.

Aeroplan members can use the chart to claim trips with one or more airlines in Star Alliance, which includes Air Canada and such carriers as United, Lufthansa, Varig and Singapore Airlines.

Under the old rules, a return ticket from Montreal to Scandinavia cost 75,000 miles: 15,000 from Montreal to New York with Air Canada and 60,000 from New York to Scandinavia with SAS. Now the entire trip can be done for 60,000 miles. For those who prefer to use the old reward chart -- and there are a few cases where it provides the better deal -- it will remain in effect until March 31. A round-trip ticket from Hong Kong to Taiwan, for example, goes to 20,000 miles from 15,000.
Glitch is gone,
but check missing miles

Air Canada says it has resolved the "technical issues" that kept a lot of Aeroplan members from having miles credited to their accounts for flights taken in December.

A recent column warned that many travel agents and airline reservations staff weren't complying with a new Air Canada computer procedure when changing or upgrading tickets. As a result, miles often weren't credited automatically. Now the airline says it has worked things out so agents can go back to doing what they always did. Travellers, however, should check their Aeroplan statements very carefully.

"Customers who note any discrepancy in their account," the airline advises, "are asked to contact Aeroplan directly to obtain missing mileage credits."

dmcarthur@globeandmail.ca

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