Australian telco Zen Telecom has been fined $225,000 by the consumer watchdog for signing customers to dodgy phone and internet deals by talking up a non-existent affiliation with Telstra.

Zen - which also trades as XLN Telecom, Venus Telecom, Action Telecom, Alpha Talk and Telko Key will also pay the court costs of the Australian Competition and Consumer Commission (ACCC) and publish corrective notices on its website and in major newspapers, the Federal Court has ruled.

The ACCC launched proceedings against Zen in March, alleging it had breached consumer law by misleading customers about the nature of its alliance with Australias largest telco.

The court ruled that Zens cold calling campaign between September 2012 and 2013 tricked customers and signed them up fixed line service agreements that skipped key consumer protections like five-day delivery of a copy of the contract, statutory cooling off periods, disclosure of the providers address and methods for cancelling the contract.

The ACCC said Zen didnt record the first marketing stage of the calls, which included the Telstra claims, but did record the agreement made in the latter half of the conversation.

Zen Telecom breached laws that are specifically designed to protect consumers from unscrupulous sales tactics in unsolicited marketing, ACCC commissioner Sarah Court said in a statement.

The ACCC was concerned that by the time consumers progressed to the second stage of the call where they agreed to acquire services from Zen Telecom, they had already been misled by misrepresentations of an association or affiliation with Telstra which had been made during the marketing part of the call."

The Australian Communications Consumer Action Network (ACCAN) said the case highlights a need for Australians to be on the lookout for unscrupulous telco operators, and to sign up to the Do Not Call Register if the want to avoid telemarketing altogether.

Consumers should be wary of unsolicited telemarketing claims as telemarketers tend to use pressure selling techniques and follow scripts designed to trick consumers into a quick sale, said CEO Teresa Corbin.

We advise consumers to ask for a copy of the Critical Information Summary (CIS) and wait until after the telemarketing call to make a decision about signing up to any telco services.

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Zen Telecom fined for faking Telstra partnership

A phone and internet provider has been fined $225,000 after using telemarketers posing as Telstra staff to trick customers into switching plans.

The Australian Competition and Consumer Commission launched proceedings against Zen Telecom in February, alleging it breached consumer laws by misleading customers about its relationship with the telco between September 2012 and August 2013.

In cold calls promoting the sale of fixed-line phone services, Zen Telecom telemarketers told consumers the company was associated with or acting on behalf of Telstra, when this was not the case.

It was Zen Telecom's practice not to audio record the sales part of the phone calls, when most of the false and misleading representations were made.

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On one occasion a Zen Telecom telemarketer told a Victorian customer they were entitled to a discount, which would apply to "a different bill coming in from our authorised wholesale department". When the customer asked whether the telemarketer worked for Telstra, she said: "We're the Australian authorised wholesale department on the Telstra network."

In a separate incident, a Victorian customer was not told during the marketing stage of the call which company he worked for, but said "this is a service call to inform you that as a Telstra customer, you are eligible for a discount on your telephone service of $20 to $25 a month".

The Federal Court fined Zen Telecom $225,000 for the consumer law breaches, which also included failing to provide dozens of customers with a copy of their contract within five business days, or informing them of their cooling off rights.

It was submitted to the court that Sanjay Bhayani, the sole director, secretary and shareholder of Zen Telecom, was aware of a "substantial degree of risk" that salespeople would make false representations about its association with Telstra.

"Zen Telecom breached laws that are specifically designed to protect consumers from unscrupulous sales tactics in unsolicited marketing," ACCC commissioner Sarah Court said in a statement.

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Zen Telecom fined $225,000 over Telstra ruse

Denver, CO (PRWEB) September 30, 2014

Zen Planner, an all-in-one software solution for fitness business owners, announced today a partnership with Jacksons Mixed Martial Arts (MMA) Association, owned by leading MMA coach, Greg Jackson who is based in Albuquerque, NM. The partnership will create a referral program and provide Jacksons MMA Association affiliate members with Zen Planners leading MMA studio and business management software.

Partnering with Jacksons Mixed Martial Arts is a great fit for both parties, said Jeff Gardner, CEO of Zen Planner. Zen Planner has a strong MMA customer base and now Jacksons affiliate members have access to a software solution that makes it easy for them to grow, operate and manage their business. We are also looking forward to learning more from Coach Jackson and sharing his insight on how to best run an MMA program with our customers.

Greg Jackson has trained over 15 world champions including former UFC Welterweight Champion Georges St-Pierre, former UFC Light Heavyweight Champion Rashad Evans, and UFC Light Heavyweight Champion Jon Jones. Team Jackson-Winkeljohn has also been named "Team of the Year" twice by the World MMA Awards. Jackson's MMA Association provides its member affiliates the tools they need to be a successful martial arts business. The Association has 60+ MMA gyms and studio members, and its growth is anticipated to keep an upward trajectory through 2015 and beyond.

Zen Planners platform will provide our members with a more user-friendly interface and cost savings exactly what our members need to help their bottom line, said Greg Jackson. By partnering with Zen Planner, we are offering our members the tools to manage and run their fitness business. I not only want to provide my members with top-notch MMA training I want to provide them with the industrys leading fitness software on the market.

About Zen Planner Zen Planners all-in-one software solution gives fitness business owners everything they need to turn their passion into a successful business. With integrated payment processing, scheduling, membership management, workout tracking, email automation and website templates - business owners have what they require to thrive in the fitness community theyve worked so hard to build. Customer support, available seven days a week, separates Zen Planner from the competition by delivering a user-friendly platform for business operations. Zen Planner is backed by a team of like-minded fitness fanatics, which is why one out of every two customers refers Zen Planner to a friend - making the companys satisfaction rating 99%. For more information, visit http://www.zenplanner.com.

About Jackson's MMA Association Jackson's MMA Association, based in Albuquerque, NM, provides its affiliate members with Jackson's MMA curriculum. Jacksons MMA ensures their affiliate member students have access to the very best training. Affiliate membership enables martial arts studios to join a team of like-minded organizations that are committed to spreading the sport of MMA throughout the world and providing the highest quality training available. For more information, visit: https://jacksonsmmaassociation.com.

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Zen Planner Announces Partnership with Leading MMA Association

Zen Telecom has been fined $225,000 by the Federal Court for breaching Australian Consumer Law (ACL) by way of misleading conduct and false or misleading representations during telemarketing calls in the 12 months ended August 2013.

According to a statement from the Australian Competition and Consumer Commission (ACCC), the telecommunications supplier was found guilty of presenting itself on behalf of Telstra or as business associated with Telstra despite having no connection to the company.

The ACCC said Zens methodology involved cold-calling consumers to promote the sale of fixed-line telco services. The first phase of a number of calls which involved the introduction as an affiliate of Telstra would not be recorded, although the subsequent contract negotiation would be recorded.

Zen breached laws that are specifically designed to protect consumers from unscrupulous sales tactics in unsolicited marketing, ACCC commissioner, Sarah Court, said.

The ACCC was concerned that by the time consumers progressed to the second stage of the call where they agreed to acquire services from Zen Telecom, they had already been misled by misrepresentations of an association or affiliation with Telstra which had been made during the marketing part of the call.

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The Court also found Zen had breached the unsolicited consumer agreement provisions of the Australian Consumer Law (ACL) by: failing to provide consumers with a copy of their contract within five business days; failing to provide consumers with an agreement that clearly stated Zens address and informed consumer of their cooling-off rights; failing to provide consumers with a notice to cancel the contract; supplying services to consumers during the 10-day cooling-off period.

In addition to the pecuniary penalties, Zen has been ordered to publish corrective notices on its web site and in daily papers across Australia.

Updated 12:12pm: The Australian Communications Consumer Action Network (ACCAN) has issued a statement in support of the Court's judgement.

Consumers should be wary of unsolicited telemarketing claims as telemarketers tend to use pressure selling techniques and follow scripts designed to trick consumers into a quick sale, ACCAN chief executive (CEO), Teresa Corbin, said.

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Telco fined $225,000 for falsely claiming Telstra affiliation