Brilliance International Limited fined $540,000 for making false and misleading representations

Brilliance International was sentenced on 20 charges of making false and misleading representations. Photo / 123RF

Steel reinforcing company Brilliance International Limited has been fined $540,000 after pleading guilty to making false and misleading representations.

Brilliance was sentenced on 20 charges brought by the Commerce Commission under the Fair Trading Act relating to its steel mesh products.

Brilliance had made false and misleading representations for its 147E steel mesh product, which it marketed and sold as being earthquake grade '500E' steel mesh between 30 September 2012 and June 2016.

The charges relate to approximately 35 batches of 147E steel mesh or 56,125 sheets.

Auckland District Court Judge Robert Ronayne said Brilliance's conduct clearly undermined the New Zealand Building Code.

"It is self-evident that Standards are fundamentally important. The defendants conduct… plainly undermined the New Zealand Building Code and the objectives of Standards in general," Ronayne said.

"The defendant's conduct is highly culpable because its behaviour has left consumers in a position of uncertainty because it cannot now be known whether all of the [steel mesh] complied. This position of uncertainty is what the FTA and the Standard seek to avoid."

Mark Berry, Commission Chair, said New Zealand's buildings depend on them being constructed with materials that comply with the relevant standards.

"The safety and durability of New Zealand's buildings depend on them being constructed with materials that comply with the relevant standards," Berry said.

"False and misleading representations about building products are a priority for the Commission because compliance with standards is critical to both public confidence and safety."