Starwire Limited Fined By Regulators

admin — Mon, 15 Dec 2008 16:44:15 +0000

PhonepayPlus received 27 consumer complaints regarding the receipt of unsolicited calls to personal landlines or mobiles, from one or more 070 prefixed numbers. The complainants were consistent in claiming that the call they received terminated after one ring. This prompted consumers to return the call whilst being unaware that the number was not a mobile number and would incur higher rate charges. The vast majority of complainants who returned the call claimed that they were connected to either a recording of a ringing tone, or a voicemail messaging service.

Ofcom has designated 070 numbers for use only as personal ‘follow me’ numbers, which are charged at a higher rate. This service charged users either 50 pence per minute from a landline or 50 pence per call plus 3.95 pence per minute, and was found to be a Controlled Premium Rate Service and therefore covered by the PhonepayPlus Code of Practice.

The following breaches of the PhonepayPlus Code of Practice 11th Edition (amended April 2008) were raised:

Paragraph 5.4.1a – Fairness (Misleading)

Paragraph 5.7.1 – Pricing Information

Paragraph 5.8 – Contact Information

Paragraph 5.12 – Inappropriate Promotion

Paragraph 8.3.3. – Further information

The Tribunal upheld all of the above breaches. The Tribunal considered the case to be very serious, issued a formal reprimand and imposed a fine of £250,000. The Tribunal ordered that claims for refunds are to be paid by the service provider for the full amount spent by users, except where there is good cause to believe that such claims are not valid.

premium rate pay per call telephone services » Starwire Limited Fined By Regulators

Starwire Limited Fined By Regulators