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Aussie telco’s woes continue as ACMA finds Optus, under its Coles Mobile brand, breached anti-scam rules more than 40 times in late 2024.
Australian telecommunications provider Optus has been forced to pay a $826,320 penalty after it was found to be in breach of Australia’s anti-scam rules.
According to an investigation by the Australian Communications and Media Authority (ACMA), the carrier, operating as Coles Mobile, breached its obligations on 44 occasions in September and October 2024.
Scammers were able to exploit a vulnerability in one of Optus’ third-party identity verification systems, allowing them to bypass parts of the process and take over the mobile services of at least four Optus customers. The scammers were able to access customer bank accounts, leading to losses totalling $39,000.
Authority member Samantha Yorke said this kind of vulnerability could lead to “severe impacts on Australians”, leading to financial loss and lasting trauma.
“While this was a one-off issue which was quickly remediated, it is inexcusable for any telco not to have robust customer ID verification systems in place, let alone Australia’s second-largest provider,” Yorke said.
“Scammers are always looking for any weaknesses in systems, and on this occasion, Optus left a vulnerability which directly exposed people to harm.
“This is the maximum financial penalty the ACMA was able to give in this matter. It reflects the serious nature of the breaches.”
The ACMA said Australian businesses had paid more than $1.9 million in penalties relating to anti-scam rules in the past 12 months.
“Consumers should contact their telco and financial institution immediately if they think they have been a victim of a phone scam,” the ACMA said.
David Hollingworth has been writing about technology for over 20 years, and has worked for a range of print and online titles in his career. He is enjoying getting to grips with cyber security, especially when it lets him talk about Lego.
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