Net Real Solutions SL

The Level 2 provider for the Service was Net Real Solutions SL (the “Level 2 provider”, the “NRS GROUP”). The Level 2 provider was first registered with the Phone-paid Services Authority (the “PSA”) on 8 January 2015. The Level 2 provider was based in Spain. The Executive sought derogation and received this from the home member state on 27 January 2017.

The service operated via an aggregator for the Service shortcode (“the Level 1 provider”).

The case concerned a multi-media subscription service, ‘Applicateka’ (the “Service”) operating on shared shortcode 64055 and Payforit.

The Executive had received 718 complaints concerning the Service since 24 April 2017.

Complainants variously 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 requirement to remedy the breach by ensuring that malware affected consumers should not be re-subscribed to the service
• a formal reprimand
• a requirement that the Level 2 provider must submit all promotional material for the Applicateka service, which is being (or will be) promoted via affiliate marketing to PSA for compliance advice for a period of 2 years
• that access to the Service be barred for a period of 2 months pending PSA supplying compliance advice on any existing or proposed future promotions that are marketed via affiliates
• a requirement that the Level 2 provider refund all consumers who claim a refund a fine of £200,000 comprised as follows:

Rule 2.3.2 - £175,000
Rule 2.3.2 - £25,000.

Administrative charge recommendation: 100%