Monday, 7 December 2020

Kogan to pay $350,000 for misleading tax time promotion

Mighty small fine for a company with an annual turnover $497 million, which did not admit the conduct, fought the case in court, and which has been fined previously for a breach of the ACL. Whilst maths is not my strong suite, I think that is about 0.07% of turnover! I understand the ACCC was only seeking a penalty of $2 million which is 0.4% of turnover!

This contrasts with another recent penalty hearing where the ACCC were seeking a penalty of $400,000 and consumer redress of $37,000 against a small business, with an annual turnover of $1 million, which was a first time offender and which admitted its conduct at the earliest opportunity. I didn't need a calculator to work that the proposed penalty was 40% of turnover.

No comments: