Hungarian coin seller receives HUF 140 mln fine
Magyar Éremkibocsátó Kft., a Hungarian issuer of collectable coins, has been fined HUF 140 million on charges of unfair advertising by the Hungarian Competition Authority (GVH), news agency MTI reported today. The company plans to appeal the decision.
According to the Hungarian authority, the firm suggested in its advertisements that it is connected to the Hungarian state, which it is not. GVH also said the company falsely claimed that it provides memorial coins issued for the 60th anniversary of the 1956 Hungarian Uprising free of charge to Hungarian residents.
GVH added that the firm did not inform customers that it charges postage and packaging costs for products separately in the case of orders for several products, MTI reported.
The company was fined HUF 100 million for misleading advertising in April 2014.
Magyar Éremkibocsátó said it would appeal GVHʼs resolution, responding to a query by MTI. It said the ethics board of the self-regulating body for Hungaryʼs ad industry had said the advertisements for the commemorative coin had not violated the law or rules on advertising ethics.
Magyar Éremkibocsátó said it had already refunded almost 30,000 customers the shipping costs they paid for their free commemorative coins, MTI reported. It also refunded the extra cost of shipping products separately, which it put down to a computer error, MTI added.
SUPPORT THE BUDAPEST BUSINESS JOURNAL
Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.