As per the media reports, Redpaths Furniture, the furniture store with shops in Auckland and Hamilton, has been fined a sum of $28,000 and instructed to pay court costs of $3640 at a hearing at Manukau District Court.

It has been learnt that the well known furniture store company was found guilty to 28 charges of breaching the Fair Trading Act by providing misleading information to customers.

The Commerce Commission brought the charges, which relate to the information Redpaths supplied customers about savings they would make by buying goods on sale.

According to the commission, the investigation discovered the company had misrepresented the regular price of four furniture products which made the advertised savings appear larger than they were.

The commission specified that it is mandatory for the businesses to understand their obligations under the Fair Trading Act.