PTAC fines Ondo 5,000 euros for inappropriate advertising – Baltic News Network
Latvian Center for Consumer Rights Protection (PTAC) issued ruling in case detailing collective consumer interests, fining LLC Ondo a fine of 5,000 EUR. The company is also required to stop serving advertisements of consumer credit services that do not meet the requirements of the Advertising Act.
Between December 2019 and April 2020, PTAC observed several public credit service advertisements on television, www.inbox.lv, www.facebook.com, www.youtube.com, as good as Google search engine in which, using an animation, Ondo has promoted its brand by providing assistance to consumers such as repairing broken appliances, houses, damaged cars in traffic, computers and phones, which, considering OndoThe only type of economic operations of – the authorized consumer credit service provider – is possible only in the form of a loan.
In view of the restrictions described in section 8.3 of the Consumer Rights Protection Act, on July 31, 2020, PTAC made a decision regarding the violation of the Advertising Act, admitting that OndoThe consumer credit services’ advertisements (content, design, presentation and information contained) do not comply with the restrictions, PTAC explains.
At the same time, this advertisement violates the objective of the requirement: to reduce the audience for these advertisements and irresponsible borrowing options.
Considering the volume of advertisements, the environment in which they were broadcast, their possible negative effect on society and fair competition, as well as to motivate Ondo to avoid such practices in the future, PTAC decided to impose a fine of 5,000 euros on the company and order it to cease showing the advertisements in question.