Wednesday, 10 October 2018 11:08

Lycamobile cops $12,600 penalty for telco code breach Featured

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Lycamobile cops $12,600 penalty for telco code breach Image courtesy of Stuart Miles at FreeDigitalPhotos.net

Mobile service provider Lycamobile has paid a $12,600 penalty after failing to follow an ACMA direction to comply with the Telecommunications Consumer Protections Code.

As reported by iTWire in February this year, Lycamobile received a rap on the knuckles from the Australian Communications and Media Authority, following an investigation by the authority that found the company had failed to keep any records of due response dates for its complaints, and failing to lodge its annual documents in compliance with the Code.

The required documents are assessed by the industry’s independent compliance monitoring body, Communications Compliance.

“The Code is designed to ensure good service and fair outcomes for all Australian consumers of telecommunications products,’ said ACMA acting chair Creina Chapman.

“The lodgement of annual compliance documents is an important industry obligation as it provides information about a telco’s processes and systems to ensure it adheres to the Code.”

In 2017, 358 suppliers submitted code compliance documents to the ACMA which investigated suppliers that failed to submit documents by the due date and then issued five directions to comply with the Code, seven formal warnings and one infringement notice.

“While it is encouraging that many suppliers complied with the code, this is a timely reminder that the ACMA will take action against any that don’t meet their obligations,” Chapman said.

Chapman noted that all telecommunications providers supplying telecommunications services or products to residential or small business customers were required to comply with the Code.

Where the ACMA finds a breach of the Code, it can issue a formal warning or a direction to comply with code provisions – and if a telco does not follow a direction to comply, the ACMA can give an infringement notice or commence proceedings in the Federal Court to recover a pecuniary penalty.

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Peter Dinham

Peter Dinham is a co-founder of iTWire and a 35-year veteran journalist and corporate communications consultant. He has worked as a journalist in all forms of media – newspapers/magazines, radio, television, press agency and now, online – including with the Canberra Times, The Examiner (Tasmania), the ABC and AAP-Reuters. As a freelance journalist he also had articles published in Australian and overseas magazines. He worked in the corporate communications/public relations sector, in-house with an airline, and as a senior executive in Australia of the world’s largest communications consultancy, Burson-Marsteller. He also ran his own communications consultancy and was a co-founder in Australia of the global photographic agency, the Image Bank (now Getty Images).

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