"Consumers will get refunds from Acepark Pty Ltd, a company selling computer-betting software which claims to predict winners of horse races, after Australian Competition and Consumer Commission action," ACCC Chairman, Professor Allan Fels, announced today.
The ACCC's Brisbane office received complaints about the Gold Coast-based business.
Certain consumers alleged that Acepark made false representations regarding the scheme's profitability. Investors expected to earn up to $3,000 a week by using the scheme. They had confidence in the scheme as it was alleged that the company claimed an affiliation with the TAB.
The ACCC is concerned this conduct amounts to breaches of sections 52, 53, 51AB and 59 of the Trade Practices Act 1974.
The ACCC's investigation included Acepark's dealings with one consumer who bought the scheme to let her work at home while caring for her critically ill partner. Despite being aware of the consumer's situation it was alleged that Acepark used unfair pressure and tactics in selling the software and sought to execute a bill of sale over the consumer's car in circumstances where she was not given the opportunity to seek independent advice.
"It was of particular concern to see a person in such an unfortunate situation being placed under further pressure when her investment with Acepark did not meet her expectations," Professor Fels said.
After the ACCC investigation, Acepark gave court enforceable undertakings to refund monies to consumers, discontinue any legal proceedings instituted against these people, review its advertising and selling practices and to implement a complaints handling procedure.
"There exist a number of operators promoting such gambling schemes. These operators need to be aware that if they adopt similar business practices they run the real risk of breaching the Act and an ACCC investigation," he said. "Consumers, too, should take some steps to protect their investments and carefully consider all claims made by such operators before handing over their hard-earned money".
"It is pleasing in this instance that Acepark cooperated with the ACCC and offered undertakings to satisfactorily resolve this matter, avoiding the time and expense of court action," Professor Fels said.
The ACCC's Brisbane office received complaints about the Gold Coast-based business.
Certain consumers alleged that Acepark made false representations regarding the scheme's profitability. Investors expected to earn up to $3,000 a week by using the scheme. They had confidence in the scheme as it was alleged that the company claimed an affiliation with the TAB.
The ACCC is concerned this conduct amounts to breaches of sections 52, 53, 51AB and 59 of the Trade Practices Act 1974.
The ACCC's investigation included Acepark's dealings with one consumer who bought the scheme to let her work at home while caring for her critically ill partner. Despite being aware of the consumer's situation it was alleged that Acepark used unfair pressure and tactics in selling the software and sought to execute a bill of sale over the consumer's car in circumstances where she was not given the opportunity to seek independent advice.
"It was of particular concern to see a person in such an unfortunate situation being placed under further pressure when her investment with Acepark did not meet her expectations," Professor Fels said.
After the ACCC investigation, Acepark gave court enforceable undertakings to refund monies to consumers, discontinue any legal proceedings instituted against these people, review its advertising and selling practices and to implement a complaints handling procedure.
"There exist a number of operators promoting such gambling schemes. These operators need to be aware that if they adopt similar business practices they run the real risk of breaching the Act and an ACCC investigation," he said. "Consumers, too, should take some steps to protect their investments and carefully consider all claims made by such operators before handing over their hard-earned money".
"It is pleasing in this instance that Acepark cooperated with the ACCC and offered undertakings to satisfactorily resolve this matter, avoiding the time and expense of court action," Professor Fels said.