Direct mail company PMP Distribution admits misleading delivery claims

The Australian Competition and Consumer Commission had admonished a direct mail company which told customers it had delivered pamphlets to certain areas when it had not actually done so.

PMP Distribution, a wholly owned subsidiary of listed printing firm PMP Limited, delivers advertising material, samples and other publications to households through its network of ‘walkers’.

During 2007 and 2008, PMP Distribution provided customers with statistics showing it had delivered pamphlets to certain areas where it had not actually done so.

The ACCC says the company picked up the mistake in an internal audit and immediately informed the customers and the consumer watchdog.

The ACCC has accepted court enforceable undertakings from PMP that it will improve the accuracy of reporting to customers. The company has also agreed to provide the ACCC with an independent auditor’s report of its business procedures and processes relating to information PMP Distribution provides to its customers.

“Businesses must ensure they do not use misleading or false representations in the
supply or promotion of their products and services,” ACCC chairman Graeme Samuel said in a statement.