Vodafone’s mobile internet service, Vodafone Live’s misleading advertisements such as completely free", "absolutely free" and "you won't be charged" have led them face the $400,000 fine from the Auckland District Court.
According to the court, the said amount would be added with the court’s cost and also revealed that the Vodafone has been fined as they have breached the Fair Trading Act.
The news came in the notice of the Commerce Commission, when they got to know that customers were billed after using the service. And, due to that the commissions has levied five charges on them under the act. Supporting the commission’s decision, the anti-trust regulator said it was a wakeup call for providers to work under set guidelines and considering them they should draft their marketing and promotions strategies.
Vodafone said they have taken the charges seriously and they did not mean to confuse their valuable customers. They have also changed their marketing strategy to promote this facility, but they seem to be slow in resolving the problem.
Commission blamed that the funds were given reluctantly and on an inconsistent basis to customers. Judge Roderick Joyce said, "The money sums in question might have meant nothing to someone of considerable means but pay-as-you-go customers are surely not in that category”.
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