The Australian Competition and Consumer Commission is taking legal action against wholesale Internet service provider Dataline.net.au and fellow ISP Australis Internet over a series of breaches of the Trade Practices Act.
The ACCC alleges that Dataline.net.au, which provides wholesale bandwidth to reseller ISPs (referred to as virtual ISPs), is "related to" one of its reseller partners, Australis Internet. The commission claims Dataline's interest in Australis (and vice versa) has been to the detriment of other Dataline clients.
The industry watchdog has sunk its teeth into Dataline with a series of allegations, ranging from "undue harassment and coercion" of resellers and customers, unreasonably slow connection rates, repeated disconnections and credit card infringements.
In response, Dataline Networks released a statement on its Web site, accusing the ACCC of attempting to discredit the company before providing it with an opportunity to defend itself.
An interlocutory hearing for the matter is listed for the Federal Court, Brisbane on February 8.
For the full story read ARN next week.