Psychic Didn’t See It Coming

In a case of “why didn’t they know about it before it happened?”, SMS-based psychic advice services, Crystal’s Gifted Psychics Pty Ltd, has been given a formal direction to comply with rules designed to safeguard users of mobile premium services by the The Australian Communications and Media Authority (ACMA).

In a case of “why didn’t they know about it before it happened?”, SMS-based psychic advice services, Crystal’s Gifted Psychics Pty Ltd, has been given a formal direction to comply with rules designed to safeguard users of mobile premium services by the The Australian Communications and Media Authority (ACMA).

“This formal direction is the first action taken by the ACMA against a provider of a mobile premium service for breaching industry rules introduced in July 2009,’ said ACMA Chairman, Chris Chapman. “The direction is a warning to providers of mobile premium services who fail to provide the required safeguards, that the ACMA remains serious about industry addressing misconduct.’

An ACMA investigation into the premium SMS psychic advice service operated by Crystal’s Gifted Psychics Pty Ltd found that it breached obligations under the Mobile Premium Services Code. The ACMA found the company failed to clearly and legibly include its consumer helpline in its advertising and register with the industry body, Communications Alliance, prior to supplying a mobile premium service to the public.

While a direction to comply is the strongest action available to the ACMA in response to a breach of an obligation under an industry code developed under the Telecommunications Act, the ACMA may request the Federal Court to impose penalties of up to $250,000 if a direction to comply is contravened.

Since the introduction of the new code in July last year, the ACMA has been monitoring and auditing individual services to identify shoddy practices, and has currently underway a further 16 investigations.

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