00:00Tony Cork has uncovered allegations that Optus sold phones to First Nations customers who
00:07lived in areas with no network coverage.
00:10I find that pretty outrageous that they were selling products and plans to people for phones
00:15that weren't going to work as soon as they got back home.
00:18Now the regulator is suing Optus in the federal court.
00:21We allege that Optus sales staff manipulated credit checks in order to oversell phones
00:28and plans to vulnerable consumers and that they did so without undertaking coverage checks.
00:35In some cases, Optus then pursued debt collection activities.
00:40The watchdog alleges Optus engaged in unconscionable conduct against about 430 customers, mostly
00:47in Darwin and Mount Isa in Queensland.
00:50Many of these consumers were facing learning difficulties, were unemployed or financially
00:56dependent.
00:57This is degrading at the highest level as I see it, you know, for people living with
01:02disability but more important for our First Nations people.
01:06It follows a case where Telstra was fined $50 million for targeting more than 100 Indigenous
01:12customers.
01:14This case will examine the role of Optus management.
01:17We allege that Optus management in the sales, in effect reporting levels, including senior
01:24management became aware of the conduct and of the failures in the systems but allowed
01:30the conduct to continue.
01:32Optus has apologised.
01:33It sacked or disciplined the staff involved, is repaying affected customers and is cooperating
01:39with the ACCC.
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