APN Newspapers Pty Ltd - s.87B undertaking

Company or individual details

  • APN Newspapers Pty Ltd
    009 657 943

Undertaking

Advertisements appeared in APN Newspapers between July 2000 and April 2001 promoting a employment service offered by inthebigcity.com Pty Ltd where callers to a 1900 premium rate telephone service (at $2.48 per minute) would be guaranteed work, and be entitled to discounts on accommodation and removalist costs.

The Commission alleged that the representations in the advertisement breached the false and misleading provisions of the Trade Practices Act - specifically sections 52, 53(c), 53(d) and 53B. There were no guarantees of employment or discounts available, and the recorded information provided was inaccurate, dated or totally false. In particular, consumers were not informed that available positions were commission only.

After an extensive investigation, the Commission found that most young people lured to use the 1900 number were unemployed young people living in rural and regional Queensland and northern New South Wales - the people least able to afford the cost of a premium rate telephone call.

The Court ordered, by consent, undertaking which provided for:

  • refunds of $60,000 to 3000 consumers;
  • the publishing of corrective notices; and
  • the implementation of a trade practices compliance program.

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