Story image

ACCC action sees reseller banned from entering indigenous communities

10 May 2016

A reseller whose conduct was deemed ‘unconscionable’ has been ordered not to enter indigenous communities to sell its goods and services and will pay $20,000 in ‘consumer redress’, following action by the ACCC.

The ACCC took action in the Federal Court against FDRA, previously known as Angel Digital, and director Jackson Anni in December 2015, alleging they had engaged in unconscionable conduct, misleading and deceptive conduct and contraventions of the unsolicited selling provisions of the Australian Consumer Law when selling tablets ‘and related extras’ in indigenous communities and at the Royal Darwin Hospital and associated hostels.

Among the allegations were that FDRA representatives mislead consumers that the tablets being supplied were iPads containing thousands of games, and that consumers were required to pay an additional fee for a warranty.

As well as undertaking not to enter indigenous communities, Anni and FDRA have given undertakings to the Federal Court to stop accepting payments and automatic deductions and to only sell tablets to consumers who approach them, providing a 10 day cooling off period.

Also undertaken were agreements to have written agreements with all the goods and services it sells to every consumer, whether or not they are unsolicited consumer agreements, and the payment of the $20,000 which will be distributed by the ACCC.

Anni and sales representatives acting on behalf of FDRA entered into at least 600 agreements with consumers in remote indigenous communities and the hospital and hostels, according to the proceedings taken by the ACCC.

Also alleged was that FDRA engaged in unconscionable conduct in cases where some consumers had a poor understanding of English and of commercial transactions and where the business used false or misleading representations and failed to comply with the unsolicited consumer agreements provisions.

Rod Sims, ACCC chairman, says the undertakings to the Federal Court provide a high level of protection to Indigenous consumers going forward and serve as a warning to other traders that they must comply with the Australian Consumer Law wherever they are trading, including Indigenous communities.

“We encourage Indigenous consumers to contact the ACCC or the police if they are concerned about the conduct of traders operating in their communities,” Sims says.

The undertakings were given without admissions.

Bitglass appoints new cloud, business development leaders
The cloud security company has appointed vice presidents for worldwide channels and worldwide business development.
Ping Identity offerings accelerates cloud MFA and SSO adoption
90% of respondents trust MFA as an effective security control to protect identity data in public clouds, yet only 60% of organisations have formally adopted it.
Ingram launches CRM backup on cloud marketplace
AvePoint Cloud Backup for Dynamics 365 is a multi-tenant solution, designed with specific features to enable channel partners and MSPs.
Trend Micro introduces cloud and container workload security offering
Container security capabilities added to Trend Micro Deep Security have elevated protection across the DevOps lifecycle and runtime stack.
Veeam joins the ranks of $1bil-revenue software companies
It’s also marked a milestone of 350,000 customers and outlined how it will begin the next stage of its growth.
Veeam enables secondary storage solutions with technology partner program
Veeam has worked with its strategic technology alliance partners to provide flexible deployment options for customers that have continually led to tighter levels of integration.
Veeam Availability Orchestrator update aims to democratise DR
The ability to automatically test, document and reliably recover entire sites, as well as individual workloads from backups in a completely orchestrated way lowers the total cost of ownership (TCO) of DR.
Nuix eyes legal sector as eDiscovery demand skyrockets
eDiscovery must encompass so much more than email and documents. If you haven’t looked at text messages and online chats, digital images, mobile devices, data in the cloud and social media, you’re not getting the whole story.