Two Australian online retailers have been shut down after a court handed more than $3 million of penalties for contravening consumer law.
The NSW Supreme Court on Thursday penalised $2.25 million against the company that operated the Android Enjoyed and Camera Sky websites, plus $900,000 against the director Yuen Ho Wong.
NSW Fair Trading received 637 customer complaints between January 2017 to July last year for both Android Enjoyed, which sold smartphones, and Camera Sky.
“Complaints received indicated that on numerous occasions, Android Enjoyed and Camera Sky failed to supply mobile phones, cameras and camera accessories within a reasonable time or did not supply them at all,” said NSW Fair Trading commissioner Rose Webb.
“The company further failed to repair defective goods and failed to provide a refund within a reasonable time.”
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Android Enjoyed even made Fair Trading’s monthly chart of most-complained companies for 8 consecutive months – among prominent names like Apple and Kogan, which would have far bigger customer bases.
Yahoo Finance has confirmed that both Android Enjoyed and Camera Sky are no longer operating, with the latter displaying a big banner that reads: “This website has already stopped trading. For any enquiries please contact firstname.lastname@example.org“.
New NSW better regulation minister Kevin Anderson said that the business had also attracted many complaints in other states, as well as having a long history of unhappy customers in NSW.
“The sanctions the court has imposed are particularly significant given the challenges of dealing with internet-based traders who have a limited physical presence in Australia,” he said.
“Today’s result sends a strong message to anyone who wants to take advantage of consumers; you will be found out, and you will be punished.”
The business that ran both sites, Digital Marketing and Solutions, also falsely told customers that items they purchased were in stock and would be delivered in a certain amount of time. But Fair Trading investigations found that in many instances that was not the case.
Digital Marketing and Solutions and Wong may appeal the Supreme Court decision.
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