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SINGAPORE : The Australian Competition and Consumer Commission (ACCC) said on Wednesday SingTel Optus misled Australians with advertisements touting the company's broadband speeds and data plans.
The commission is seeking a stop order from the Federal Court of Australia to stop SingTel Optus from running the ads and force it to advertise corrections and pay fines.
The lawsuit claims the company's advertisements fail to inform customers of limitations on promised download speeds.
In its "Think Bigger" campaign, SingTel Optus advertises a 120-gigabyte plan for A$49.99 a month, while the "Supersonic" broadband campaign promises download speeds four times faster than SingTel's original plan.
However, once the customer exceeds the peak data allowance, the Internet connection is limited to speed of 64 kilobytes per second.
The ACCC alleged that Optus did not sufficiently or clearly disclose, and in some cases did not disclose at all, these qualifications.
When contacted by Mediacorp, an Optus spokesperson said the firm acknowledged the claims made by the ACCC and looks forward to working with the commission to resolve its concerns.
He added that Optus goes to great lengths to offer the best products and services to its customers and to explain the value of the offers clearly.
A hearing is scheduled for September 16 in Sydney which will determine the next steps. - CNA /ls
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