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Conviction against a credit card company

 


Date: 13 August 2007
Conviction against a credit card company

1.     A credit card company (the Company) was convicted of two offences under section 34(1)(ii) and section 64(10) of the Personal Data (Privacy) Ordinance (the Ordinance) today (13 August) in the Eastern Magistrates’ Courts.  The Company pleaded guilty to both summonses and the magistrate imposed a fine of $3,500 for each summon, which made a total fine of $7,000.

2.    Mr. Roderick B Woo, the Privacy Commissioner for Personal Data, said: “This is the third conviction of its kind this year and serves to bring home a strong message that malpractice in handling personal data simply will not be tolerated by the courts.  In using personal data for direct marketing purposes, commercial organizations must strictly abide by opt-out requests made by people whom they approach, for this is the law.”

3.    The complainant was formerly a credit card holder of the Company but cancelled the card account sometime in 2002/2003.  Thereafter, the Company sent several direct marketing mails to the complainant.  In October 2005, the complainant made an opt-out request to the Company by telephone.  However, the complainant continued to receive direct marketing mail from the Company.  The complainant lodged a complaint to the Office of the Privacy Commissioner for Personal Data (“the PCPD”) in January 2006.

4.    Having learned that the complainant had made a complaint to the PCPD, the Company sent a letter of apology to him.  The Company also agreed to process the complainant’s opt-out request by removing his data from their mailing list.  Notwithstanding these, the complainant still received marketing mails from the Company on 15 January and 3 February 2007 respectively.

5.    Consequently, the Company was summonsed for two offences under section 34(1)(ii) of the Ordinance, which requires data users to cease further contact with the individual if the individual chooses to opt-out. Contravention of section 34 of the Ordinance is an offence under section 64(10) of the Ordinance.







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