ACCC sees Telstra in court over 'misleading' Next G ads

Communications regulator the ACCC (Australian Competition and Consumer Commission) has taken Telstra to court over what it claims are misleading statements contained in advertisements for the telco's Next G network.

The watchdog announced yesterday it intended to start Federal Court proceedings against Telstra, after earlier raising concerns that taglines included in advertising materials, such as "Everywhere you need it" and "Get the coverage you need", were misleading and should be removed.

ACCC chairman Graeme Samuel said in a statement at the time: "The ACCC had particular concerns about Telstra's unqualified use of the taglines 'Everywhere you need it' and 'Get the coverage you need' with Telstra's Next G network, when the whole of Australia is not covered and coverage is not always available where consumers need it."

Telstra said it removed the offending ads in July, weeks before the ACCC had taken it to task over the coverage claims.

No date has been set for the hearing but the ACCC is seeking an injunction to prevent Telstra from using similar claims until the case is settled.

The ACCC says the ads in question have contravened the Trade Practices Act and alleged that Telstra has engaged in misleading or deceptive conduct through its advertising.

A Telstra spokesperson said: "The ACCC is clearly hand in glove with the government in doing everything it possibly can to undermine the interests of Telstra shareholders. This is anti-consumer, anti-investment, petty, regulatory garbage."