Registered-traveler programs shutdown catches fliers off guard

— -- The more than 250,000 customers of Clear's registered-traveler program will not be getting refunds.

In a move that caught travelers and airports off guard, New York-based Verified Identity Pass said late Monday that it will cease running its Clear program at 18 airports throughout the country.

Attempts to reach the company and acting CEO Jim Moroney were unsuccessful. Voice mail on the company's main phone line was full. The no-refund notice was posted on its website.

Clear was one of three registered-traveler programs competing to win the business of frequent travelers willing to spend $150 to $200 a year to get front-of-the-line privileges at security checkpoints. Members of any of the three have been able to use all the airports that have a registered-traveler operation.

The fledgling business changed dramatically last year when the Transportation Security Administration stopped screening new customers and instead left screening to the companies. That led critics to deem the business a concierge service, not a security program.

Julie Venditti of Vigilant Solutions, another registered-traveler company, says Vigilant has no plans to shut down at the two airports where it operates, Jacksonville International and Louisville International. She said Clear customers will be able to use their cards at the two airports "for the time being." Her company is in discussions with the TSA.

Flo, another competitor with an operation at Reno-Tahoe International, said on its website that it is "working with other participants in the industry as well as (TSA) to analyze the implications of this announcement."

Clear's shutdown has irked many business travelers. Keith Dunne, a business owner in Orlando, says he recently renewed membership for himself and some employees and will seek refunds from his credit card company. "I was surprised. I'm out $1,500."

Howard Schmidt, a systems security professional, says he paid $179 to renew recently and was sent a "Father's Day gift special membership" e-mail.