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Icstis fines GMTV contest operator for 250k pounds
 

Indiantelevision.com Team

(25 September 2007 2:30 pm)

 

MUMBAI: UK's premium rate regulator Icstis has handed out a fine of a record 250,000 pounds to Opera Telecom, a company that ran competitions on GMTV in the form of phone-in quizzes over a period of four years.

Following a persistent investigation by BBC's Panorama programme from 2003, it was revealed that viewers lost an estimated 20 million pounds attempting to win the quizzes, the potential winners of which, were selected before the lines closed. Opera Telecom has already been sacked by MTV.

Approximately 18 million callers were charged, when they had no chance of winning, Icstis said, with the average call for each call pegged at more than one pound.

The penalty is reportedly the largest penalty ever in Icstis' 21-year history and it has described it as "the worst case which Icstis had come across in terms of the numbers of consumers affected and the amount of money at stake."

Said Icstis chief executive George Kidd,"Cutting corners for the sake of convenience or to boost revenues is simply unacceptable. It shows a reckless disregard for interests of callers."

Following the imposition of the fine, two GMTV executives have already resigned. What's more, GMTV is also likely to face a separate fine in the region of 2.8 million pounds, from media regulator Ofcom in the same matter.

In statement, Opera Telecom said, "We continue to apologise unreservedly for the occurrence of these errors and have worked diligently with GMTV's investigations to put in place remedies."

The company could face a 12-month ban from running competitions, if it does not implement suggestions from an independent team investigating its systematic failures. It must also refund callers in full, Icstis is not satisfied by the current refund scheme. Opera and GMTV are already offering refunds and free prize draws to viewers who lost out.

The Opera Telecom scandal is the latest in a series of revelations about competitions on UK TV shows.

In July, Icstis fined phone operator Eckoh 150,000 pounds in the You Say, We Pay quiz on Channel 4. In August, it issued a 30,000 pound penalty over the same channel's Deal or No Deal to phone operator iTouch.

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