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Webdata Ltd

Publication Date
28 October 2019
Case Reference
154913
Procedure
Track 2
Adjudicated Party
Webdata Ltd
Service Type
Competition and quizzes
Tribunal's final assessment
Very Serious
Sanctions
4.8.2 (b) Sanctions
4.8.3 (g) Sanctions
4.8.3 (i) Sanctions
4.8.3 (d) Sanctions
Breaches raised
Code 14 2.3.3 Fairness
Code 14 2.3.2 Fairness
Code 14 2.6.1 Complaint handling
Summary

This case concerned a subscription alert service operating under the brand name ‘Lotto Alerts’ on shortcode 85088 (“the Service”). The Level 2 provider for the Service was Webdata Ltd (the “Level 2 provider”). The Level 2 provider registered with the Phone-paid Services Authority (the “PSA”) on 20 May 2018. The Level 2 provider’s registration with the PSA expired on 19 May 2019. The Level 2 provider remains unregistered with the PSA. The Level 1 provider in respect of the Service was Veoo Ltd (the “Level 1 provider”).

The Service was stated to be a lottery alert service providing consumers with access to lottery results. The service charges were £4.50 per message with up to two messages received per month.

The Executive had received 99 complaints from members of the public concerning the Service since 29 June 2018. Complainants had alleged that the Service charges were unsolicited.

Having regard to all the circumstances of the case, the Tribunal decided to impose the following sanctions:
• a formal reprimand
• a prohibition on the Level 2 provider from providing, or having any involvement in, any premium rate service for a period of five years, starting from the date of publication of the Tribunal decision, or until payment of the fine and the administrative charges, whichever is the later
• a requirement that the Level 2 provider must refund all consumers who claim a refund for the full amount spent by them on the Service, within 28 days of their claim, save where there is good cause to believe that such claims are not valid, and provide evidence to PSA that such refunds have been made
• a fine of £250,000.

Administrative charge recommendation: 100%