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ACCC takes action to enforce $50,000 penalty

ACCC takes action to enforce $50,000 penalty

August 14, 2017

The ACCC has commenced proceedings in the Federal Court against Mr Tuan Nguyen to enforce payment of a $50,000 penalty previously ordered for breaches of consumer law.

In 2013, the Court found that Mr Nguyen was knowingly concerned in false or misleading representations made by Artorios Ink to five small businesses to sell printer cartridges.

The Court ordered Mr Nguyen to pay a penalty of $50,000 but he made no payments and filed for bankruptcy.

As Mr Nguyen has now been discharged from bankruptcy, the ACCC is now seeking a garnishee order requiring Mr Nguyen’s employer to withhold part of his wages in order to pay the penalty previously ordered.

“Individuals who have contravened the Australian Consumer Law cannot escape paying Court ordered penalties by filing for bankruptcy. As in this case, the ACCC may take action after they are discharged from bankruptcy,” ACCC Deputy Chair Dr Michael Schaper said.

“If businesses and individuals do not pay penalties ordered by the Court in ACCC proceedings, the ACCC will take action where appropriate to enforce payment of those penalties.”

Artorios Ink was a telemarketing company that sold printer cartridges to businesses from 2008 to 2012.

The Recycler reported on the previous case involving Artorios Ink’s Director and Sales Manager, who were banned from managing or directing companies for five years, on top of the AU$100,000 fine.

In its 2013 judgment, the Federal Court found that Artorios Ink engaged in conduct that was misleading or deceptive and made false or misleading representations to five small businesses that:

  • the business had agreed to purchase printer cartridges from Artorios Ink, when in fact there was no such agreement;
  • Artorios Ink was an approved, regular or current supplier of the business, when in fact it was not; and
  • Artorios Ink had instituted proceedings in the Magistrates’ Court of Victoria against the business to obtain payment for printer cartridges, when in fact Artorios Ink had not instituted any such proceedings.

Artorios Ink was deregistered on 25 January 2015.

Categories : World Focus

Tags : Australia Business Crime

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