This is an ABSOLUTELY common procedure. If you don't board the first leg of a trip then the airline assumes you are not going to arrive for any further legs. EVERY airline I know does exactly the same thing and it is a common reason for customer complaints. Every web site I know has complaints of this type.
I'm totally surprised that your "frequent flyer" friends claim not to know anything about this process. Good luck if you try to get a refund.
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