ACMA: Lycamobile hit with additional penalty of more than $180,000

ACMA: Lycamobile hit with additional penalty of more than $180,000

A telecommunications company has been hit with a massive fine – for the second time – over major breaches.

Lycamobile has been slapped with an additional penalty of more than $180,000 after the telecommunications company failed to comply with orders stemming from previously identified public safety inadequacies.

Last year, Lycamobile paid a $604,800 penalty and entered into an undertaking with the Australian Communications and Media Authority after failing to provide customer data to the Integrated Public Number Database, which is used by police and emergency services.

ACMA also directed Lycamobile to comply with customer identity rules after the company failed to undertake proper checks when activating prepaid mobile services.

The company was required to provide reports about how it would improve its system, staff training and the appointment of an independent auditor.

ACMA chair Nerida O’Loughlin said a new investigation was launched after Lycamobile failed to take action.

“Lycamobile has shown an ongoing disregard for its obligations and the commitments it has made to the ACMA,” she said.

“It consistently missed deadlines, provided inadequate reports and when we raised these matters on multiple occasions, it gave subsequent commitments that it then failed to meet.”

Lycamobile was handed a penalty of $186,480.

Ms O’Loughlin said breaching obligations and not fulfilling commitments to the regulator had been costly for the company.

“We will continue to watch Lycamobile closely to make sure it’s doing the right thing by its customers and the public,” she said.

If the company fails to comply with its obligations again, ACMA can begin civil proceedings in the Federal Court, where penalties of up to $250,000 could apply for each contravention.

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