TRADING standards chiefs in Darlington have issued a warning over foreign companies promising big cash awards which fail to materialise.

Scores of complaints have been received from residents in the town who have received mailshots telling them they have won cash prizes of up to £10,000.

Those targeted, often pensioners and people on low incomes, are then encouraged to send off a discretionary fee of up to £20.

Darlington Borough Council trading standards department say the mailshots are misleading with those who reply being entered into a prize draw.

When the small print is checked it reveals that they have anything from a 1- 250,000 to 1-400,000 of winning a prize.

One of the companies, Sweepstakes Administration Agency, asks for mail to be sent to a PO box address in Rotherham, South Yorkshire. It is then forwarded on to address in Canada or South Africa.

Sweepstakes Administration Agency is already being investigated by the Advertising Standards Authority.

It says the mailshots imply a guaranteed major prize and the authority is expected to press for them to be withdrawn.

Nigel Green, trading standards manager at Darlington council, said: "We believe these people target various areas across the country and use mailing lists which are often freely available.

"The advice is to read the small print and not be taken in by the eye-catching headlines.

"You probably won't get any of the money back you send and if you are lucky enough to win something the value is bound to be very low."

In return for the discretionary fee vouchers or jewellery is often offered, but these may be of little or no use to the participant.

Labour Councillor Wendy Newall, who represents Northgate North in Darlington, said she had been approached by several residents who had received the mailshot letters.

She said: "I am very concerned that people who can ill afford it are tempted to forward money for which they receive little or nothing in return."

Anyone wanting to make a complaint about a misleading mailshot they have received should contact trading standards on (01325) 388582.