GVH fines group purchase schemes Ft 6 mln
Wednesday, February 8, 2006, 16:24
The Competition Office (GVH) announced on Wednesday it had fined two companies organizing group purchase schemes a combined Ft 6 million for misleading advertising. GVH fined Promo-Indra Consortio Rt Ft 5 million and Common Based Kft Ft 1 million. Both companies purchase property with payments collected from members, but then distribute the property among members based on a lottery. GVH said Promo-Indra had suggested in its advertising that it provided loans for better conditions than other lenders. The authority said Common Based had suggested it offered financial services, while failing to mention its actual activities as well as the element of a lottery.