Originally Posted by Matthew_22

Oh yeah sure, thats a slightly different thing, sorry I should have been a bit clear, I was more referring to internal fraud/loss prevention/audit departments. i.e. ones that deal with/try to prevent losses and arbitrage from the programs own members towards the program itself. For example, several airlines have recently been really cracking down on members allegedly selling millage reward flights.

OP's case sounds terrible and you definitely have my sympathy. I am currently trying to resolve my own small dispute with HHonors regarding the incorrect accrual of points, and its mind blowing the level of incompetence sometimes encountered, along with a lack of basic understanding and common sense of their own loyalty programme. So I can easily see how unfortunately what is a silly issue or misunderstanding such as this could get blown out of all proportion, and it then becomes very difficult to reel it back in.