The company that operated the Clear registered-traveler program at Denver International Airport and 17 other U.S. airports said Tuesday that it cannot issue refunds to members “because of its financial condition.”
Verified Identity Pass Inc., Clear’s parent company, claimed to have more than 200,000 travelers enrolled in its program. The firm said Monday night that it ceased operations because it was unable to negotiate an agreement with its senior creditor.
The company had aggressively promoted its registered-traveler program that offered airline passengers quicker access to security screening stations if they paid $199 to have their “identities authenticated” and get issued a Clear card.
Clear members had to submit to fingerprinting and having images of their irises taken as part of the biometric enrollment process.
In a statement on the Clear website, the company said “applicant and member data is currently secured in accordance with the Transportation Security Administration’s security, privacy and compliance standards.”
“Verified Identity Pass Inc. will continue to secure such information and will take appropriate steps to delete the information,” the company added.
Registered-traveler programs must meet requirements set by the TSA.
Denver resident L. Elaine Neal had signed up for her Clear card in April and had yet to use it for a flight.
She paid $169 for her annual fee, taking advantage of a discount offered by an airline.
“How can they just walk off into the sunset with all these people’s money?” asked Neal, a retired Denver juvenile probation officer. “Give me my money back; I’ve not used it at all.”
Neal was notified late Monday about the shutdown in an e-mail from Clear.
“There was no mention of refund, no mention of bankruptcy,” she said, noting a bankruptcy filing might offer some financial relief for Clear members.
Two other companies, FLO Corp. and Vigilant Solutions LLC, operate TSA-approved registered-traveler lines at three other U.S. airports in addition to the 18 airports where Clear operated.
On its website, FLO said it is working with the TSA and others in the industry “to analyze the implications” of Clear’s shutdown and “formulate a plan for the advancement of the (registered traveler) program.”
Holders of FLO and Vigilant cards were able to use registered-traveler lanes operated by Clear, but those lanes now have been shut down.
The two surviving registered-traveler companies are expected to try to give Clear cardholders the option of transferring their memberships to FLO or Vigilant.
The two firms will have to negotiate with airports where Clear operated to restore registered-traveler service under their names.
Jeffrey Leib: 303-954-1645; jleib@denverpost.com
