By Keri Algar

SYDNEY, NSW: The Australian Competition and Consumer Commission (ACCC) alleges that via telemarketing, EDirect sold mobile contracts and accepted payment from consumers with addresses in areas where the company was not able to supply mobile services due to a lack of network coverage.

The ACCC said that EDirect engaged in misleading and deceptive conduct by misrepresenting network coverage for mobile services.

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The ACCC has begun legal proceedings in the Federal Court against the alleged scammers and will seek pecuniary penalties, injunctions, declarations, redress for affected consumers and court costs.