An Internet service provider (ISP) operated by two 15-year-old boys has been placed into voluntary liquidation.
Internet 1, which traded as a virtual ISP, operated from a converted garage in Auburn, NSW.
Inquiries by the Australian Securities and Investments Commission (ASIC) show that Internet 1 began trading in April, advertising itself as a discounted ISP. Since its inception, it has signed up almost 400 customers who paid $234 each for 12 months' connection to the Internet.
The sole director of the company, one of the boys' fathers, played little part in its daily operations, the ASIC discovered.
Internet 1 ran into difficulties and ceased operations on July 1 ASIC became involved after a number of subscribers complained of connection problems.
An ASIC spokesperson said consumers should be cautions in entering long-term contracts, particularly with companies without an established record.