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Hi-Fi equipment scam

Hi-Fi equipment scam

A silver surround sound systemHome theatre hi-fi audio equipment is being sold from the back of vans in the Perth metropolitan area.

The equipment is branded "Denmark Audio" with sales people claiming it was left over from a "job" and they were told not to bring it back (to their office). Stickers inside the equipment seen by Consumer Protection officers indicate the equipment was manufactured in China. 

Under the Fair Trading Act, a fine of up $20,000 for an individual or $100,000 for a corporation can be imposed for falsely representing the quality, features or place of origin of goods supplied in trade or commerce.

The audio equipment, say the salesmen, is worth several thousands of dollars, but instead of giving an exact cost, the consumer is asked to make an offer. In some instances where consumers have shown an interest in buying the audio equipment, the salesmen have offered to drive the buyer to an automatic teller machine.

In recent days Consumer Protection officers spoke with individuals connected with a Queensland based company (it is also understood another group selling the same product is operating in Western Australia) and advised them of the statutory requirements under the Fair Trading Act and the Door to Door Trading Act.

Under the Door to Door Trading Act, money cannot be taken at the time of purchase and consumers must be provided with documentation about their rights.

Any sale above $50 is subject to a 10-day cooling-off period and consumers must be provided with two prescribed forms that assist them to cancel a door to door contract.

Consumers who have been approached by or purchased stereo equipment from these men are urged to call Consumer Protection immediately on 1300 30 40 54.


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