Telstra has been ordered to pay $50 million in penalties for unconscionable conduct after it was found 108 Indigenous customers were signed up to contracts under false pretences.
Australian Competition and Consumer Commission chair Rod Sims said the illegal practises included manipulating credit assessments to allow the customers to make purchases they were not eligible to make, and exploiting cultural and language barriers to misrepresent some products as free.
Telstra admitted liability and has taken steps to waive debts and refund money paid by the customers. The penalty is the second highest in ACCC history.