More victims of Telecom v Clear

By MICHAEL FOREMAN

The battle between Clear Communications and Telecom over the controversial 0867 internet access system is notching up more innocent victims.

Following two similar cases reported by the Herald this week, two further ClearNet users have been threatened with disconnection unless they pay Telecom penalty charges.

Residential internet users not logging on with an 0867 prefix are being charged 2c by Telecom for every minute they spend online above 10 hours per month.

As ClearNet refused to join Telecom's unilaterally imposed 0867 scheme, all ClearNet's residential users are subject to the Telecom charge. Clear is reimbursing its customers with toll-call credits but these cannot be used to offset Telecom's charges.

The Telecom bills can amount to hundreds of dollars a month - as Christchurch computer student Scott Roberts discovered this week. He joined ClearNet following a Dick Smith Electronics in-store promotion offering unlimited internet access for $35 a month.

This week his mother received a monthly phone bill of $526 from Telecom, of which $427 was for "internet connection charges."

"We rang Telecom who said, 'you either pay the bill or you will be disconnected'," said Mr Roberts, who claimed Dick Smith staff had told both he and his mother that there were no "hidden extras."

Dick Smith general manager Rob Foreman said that he was investigating the case and would discuss the issue with Clear as the "future of the promotion may have to be reviewed."

In a similar case, ClearNet user Kenneth Pearson of Three Kings in Auckland returned from overseas last week to find a $220 bill from Telecom.

Mr Pearson said he immediately rang the company, protesting that he could not have run up such a large bill.

"The Telecom person told me that the bill included $180 worth of internet charges. I told her that I'm not an Xtra [Telecom's internet service provider] user but she told me I had to pay by May 14 or I would be disconnected and promptly hung up."

Mr Pearson said he was furious. He would be lodging a complaint with the Commerce Commission and was considering a Disputes Tribunal action against Telecom.

David Russell, chief executive of the Consumers' Institute, said Mr Pearson should check his telephone contract as "there may be some nasty little clause" which covered Telecom.

Mr Russell said he was about to meet Clear representatives in Wellington to discuss the issue.

He also awaited the report of the Government's telecommunications inquiry with considerable interest.

Meanwhile, PC World columnist Geoff Palmer said he had been received "dozens and dozens" of letters and e-mails in support of his stand against 0867 charges.

Mr Palmer is planning to take Telecom to the Disputes Tribunal, claiming the 2c per minute penalty is in breach of the Kiwi Share. He understood that all users who had threatened similar action were being given one month's grace by Telecom.