Quick Telecast
Expect News First

Telstra to pay $2 million in refunds after investigation finds it overcharged more than 11,000 broadband customers

0 70


Telstra will fork out more than $2 million for overcharging more than 11,000 customers between 2018 and 2021.

The company have also been hit with a $500,000 fine after an investigation by the Australian Communications and Media Authority.

Watch the video above to see the Telstra tower that went up in flames

Watch the latest News on Channel 7 or stream for free on 7plus >>

After self-reporting the errors, an ACMA investigation found the nation’s largest telecommunications company had ignored a 2020 directive to comply with billing accuracy obligations.

That directive came after Telstra overcharged more than 10,000 people almost $2.5 million, with the ACMA investigation finding a further 11,600 people had suffered the same fate.

Some 8000 customers were charged more than $1.2 million for a broadband service after they’d changed providers, while others were charged set-up fees that didn’t apply.

They’ve paid back more than $1.73 million to customers, while ACMA has stung them with a $506,160 fine.

Telstra has been fined half a million dollars by ACMA and has to refund customers it overcharged. Credit: AAP

Telstra blamed the overcharging on an issue with their internal system including a data transfer problem and old employee instructions, but ACMA chair Nerida O’Loughlin gave little credence to their excuses.

“Telstra is the largest telecommunications company in Australia,” she said.

“I would expect its billing systems to be more sophisticated and compliant with industry-wide consumer protection rules.

“Telstra had already been formally directed by the ACMA to comply with billing rules so should have moved to address these issues and not inconvenienced its customers further.

“At a time when Australians are being very careful with their budgets, these errors are particularly concerning as they could have caused considerable strain and distress.”

Boss to retire

The altercation comes just months before the company’s boss Andrew Penn is set to retire after seven years in charge.

The chief financial officer, Vicky Brady, will become the first female leader of the company in September.

Brady has watched thousands of customers leave for the National Broadband Network during her six years at Telstra but was quick to seize a media question about whether the telco could re-emerge as a growth one.

“Yes, that’s absolutely our ambition,” she said.

The removal of a third of its workers over the past three years and improved mobile revenue have the carrier set to return to full-year earnings growth.

Brady said achieving earnings growth was part of the current T25 plan and there were extraordinary growth opportunities beyond.

The current plan includes slashing costs by $500 million by 2025.

Brady dismissed a suggestion a new leader might create their own strategy.

“There is no change in strategy. We’ve already laid out T25. We’ve got our road maps mapped out. That’s business as usual,” she said.


Telstra will fork out more than $2 million for overcharging more than 11,000 customers between 2018 and 2021.

The company have also been hit with a $500,000 fine after an investigation by the Australian Communications and Media Authority.

Watch the video above to see the Telstra tower that went up in flames

Watch the latest News on Channel 7 or stream for free on 7plus >>

After self-reporting the errors, an ACMA investigation found the nation’s largest telecommunications company had ignored a 2020 directive to comply with billing accuracy obligations.

That directive came after Telstra overcharged more than 10,000 people almost $2.5 million, with the ACMA investigation finding a further 11,600 people had suffered the same fate.

Some 8000 customers were charged more than $1.2 million for a broadband service after they’d changed providers, while others were charged set-up fees that didn’t apply.

They’ve paid back more than $1.73 million to customers, while ACMA has stung them with a $506,160 fine.

Telstra signage in Sydney
Telstra has been fined half a million dollars by ACMA and has to refund customers it overcharged. Credit: AAP

Telstra blamed the overcharging on an issue with their internal system including a data transfer problem and old employee instructions, but ACMA chair Nerida O’Loughlin gave little credence to their excuses.

“Telstra is the largest telecommunications company in Australia,” she said.

“I would expect its billing systems to be more sophisticated and compliant with industry-wide consumer protection rules.

“Telstra had already been formally directed by the ACMA to comply with billing rules so should have moved to address these issues and not inconvenienced its customers further.

“At a time when Australians are being very careful with their budgets, these errors are particularly concerning as they could have caused considerable strain and distress.”

Boss to retire

The altercation comes just months before the company’s boss Andrew Penn is set to retire after seven years in charge.

The chief financial officer, Vicky Brady, will become the first female leader of the company in September.

Brady has watched thousands of customers leave for the National Broadband Network during her six years at Telstra but was quick to seize a media question about whether the telco could re-emerge as a growth one.

“Yes, that’s absolutely our ambition,” she said.

The removal of a third of its workers over the past three years and improved mobile revenue have the carrier set to return to full-year earnings growth.

Brady said achieving earnings growth was part of the current T25 plan and there were extraordinary growth opportunities beyond.

The current plan includes slashing costs by $500 million by 2025.

Brady dismissed a suggestion a new leader might create their own strategy.

“There is no change in strategy. We’ve already laid out T25. We’ve got our road maps mapped out. That’s business as usual,” she said.

FOLLOW US ON GOOGLE NEWS

Read original article here

Denial of responsibility! Quick Telecast is an automatic aggregator of the all world’s media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, all materials to their authors. If you are the owner of the content and do not want us to publish your materials, please contact us by email – [email protected]. The content will be deleted within 24 hours.

Leave a comment
Ads Blocker Image Powered by Code Help Pro

Ads Blocker Detected!!!

We have detected that you are using extensions to block ads. Please support us by disabling these ads blocker.

buy kamagra buy kamagra online