ACCC institutes against IT business Zanok Technologies, directors alleging misleading job advertisements

The Australian Competition and Consumer Commission has instituted legal proceedings in the Federal Court, Sydney against Zanok Technologies Pty Ltd, and its directors, Mr Darley Stephen and Ms Vanitha Darley, for alleged contraventions of the Trade Practices Act 1974.

The conduct relates to the promotion of employment in the IT industry and inducement of applicants into paid training courses in order to attempt to secure employment.

The ACCC alleges that Zanok placed employment advertisements on various websites including MyCareer, Seek and Gumtree, offering various jobs in the IT industry, when in fact Zanok was not offering job opportunities but rather "IT training" for which applicants were required to pay up to $4,700.

The ACCC alleges that despite assurances from Zanok and its agents, there was no guarantee of a job at the end of training.  The ACCC alleges Zanok's conduct was unconscionable and misleading or deceptive in breach of sections 51AA, 52, 53B and 58 of the Act, and that Mr Stephen and Ms Darley were knowingly concerned in that conduct.

The ACCC seeks orders including declarations that Zanok's conduct contravened the Act and that Mr Darley and Ms Stephen were knowingly concerned in that conduct; injunctions, including interim injunctions; findings of fact; and costs.

This matter has been listed for an interlocutory hearing tomorrow 13 May 2009.