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ERA Consumer - In the News
News in the ERA Consumer Malaysia

  • The Star : Some 18,000 cases lodged with complaints centre

    KUALA LUMPUR: A whopping 18,000 complaints have been lodged with the National Consumer Complaints Centre since it was formed in 2004. 

    Deputy Domestic Trade and Consumer Affairs Minister Datuk S. Veerasingam said the figure was a cause for concern as it indicated certain business sectors were not sensitive in tackling consumer dissatisfaction. 

    Veerasingam said although it was a positive sign that Malaysians were aware of their rights, it was equally important for the corporate sector to be aware of its responsibilities.

    “I am happy that the centre, in its inaugural report, has released these figures, as this will help the Government evaluate the situation and rectify any shortcomings. 

    “The ministry has been carrying out enforcement against traders and operators that violate consumer protection laws, and we will continue to take ongoing measures to ensure further improvements are made in the laws,” he said after launching a talk titled “The Current State of Malaysian Consumers: Holding Corporations Accountable” on Monday. 

    At the function, he also launched the centre’s inaugural report 2006. 

    Veerasingam added that unsatisfied consumers had, to date, registered 7,353 cases with the consumer tribunal court. The complaints mostly related to either shoddy services or items that did not meet standards. 

    He said the tribunal had heard about 82% or 6,030 cases out of the total figure. 

    The highest number of complaints was over housing developers, 1,578 complaints were lodged with the centre last year.  

    The second on the list was direct sales, 1,499 complaints were received. 

  • The Star: Publish Names Of Errant Traders

    KUALA LUMPUR : The Federation of Malaysian Consumers Associations wants the Domestic Trade and Consumer Affairs Ministry to blacklist and post in its website or publish in newspapers the names of traders who raise the price of flour, which is a price-controlled item.

    Its president Datuk N. Marimuthu said the Government should also impose the maximum fine on errant traders to deter others.

    "Posting the names on the website will enable consumers to boycott the errant traders," he said yesterday.

    "A RM200 or RM300 fine does not hurt their pockets. They may even increase the price further," he said when asked to comment on some traders increasing the price of flour despite the government's decision to retain the price at RM1.35 per kilo.

    The Price Control Act provides for a maximum fine of RM15,000 or two year's jail or a compound fine of RM7,500 for individual offenders and RM25,000 for companies.

    The increase in flour price was reported to have caused a sharp rise in the price of burger buns to RM7 for a packet of 40 early this month for RM5 previously, causing the price of burgers to go up.

    source - BERNAMA

  • GLOBAL CONSUMER MOVEMENT ANNOUNCES WINNERS OF INTERNATIONAL BAD PRODUCT AWARDS

    GLOBAL CONSUMER MOVEMENT ANNOUNCES WINNERS OF INTERNATIONAL BAD PRODUCT AWARDS

    Coca-cola, Kellogg's, Mattel and Takeda Pharmaceuticals top list of international brands guilty of abusing consumer rights.

    The world federation of consumer organisations, Consumers International (CI) today announced the winners of the international Bad Product Awards, to be presented at CI's World Congress in Sydney, Australia, 29 Oct - 1 November 2007.

    The awards aim to highlight failings of corporate responsibility and the abuse of consumer trust by internationally recognised brands. The announcement comes as 400 delegates from national consumer organisations and governments, convene in Sydney to attend CI's World Congress.

    This year's winners* are:

    • Coca-Cola - for continuing the international marketing of its bottled water, Dassani, despite admitting it comes from the same sources as local tap water.
    • Kellogg's - for the worldwide use of cartoon-type characters and product tie-ins aimed at children, despite high levels of sugar and salt in their food products.
    • Mattel - for stonewalling US congressional investigations and avoiding overall responsibility for the global recall of 21 million products.

    With the overall prize going to:

    Takeda Pharmaceuticals - for taking advantage of poor US regulation and advertising sleeping pills to children, despite health warnings about pediatric use.

    Richard Lloyd, Director General of Consumers International, said:

    "This muti-billion dollar companies are global brands with a responsibility to be honest, accountable and responsible. In highlighting their short-comings Consumers International and its 220 member organisations are holding corporations to account and demanding business take social responsibility seriously"

    Consumers International (CI) is the only independent global campaigning voice for consumers. With over 220 member organisations in 115 countries, we are building a powerful international consumer movement to help protect and empower consumers everywhere. For more information, visit www.consumersinternational.org

    The International Bad Product nominations were submitted by CI member organisations and CI expert staff. The final four, including the overall winner, were chosen by the CI Secretariat and are detailed below. Criteria for final selection included the size of the company, the global scale of sales and marketing, the direct impact on consumers and the potential actionable change by the corporation.

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  • NST - Consumers more aware of rights, says group

    PETALING JAYA: Malaysian consumers are now more rights savvy. From knowing when something like booking fees are illegal to whether a course is accredited or otherwise, consumers now know they have remedies if their rights are violated.

    And proof of this is the whopping 18,345 complaints lodged at the National Consumer Complaints Centre last year.

    And topping the list of complaints are those against housing developers (1,578), followed by direct sales complaints (1,499) and private higher education institutions (1,453).

    Federation of Malaysian Consumers Associations (Fomca) president Datuk N. Marimuthu said the main complaints regarding housing developers were those regarding booking fees.

    He said buyers interested in buying a property would normally be asked to pay a booking fee to lock in the sale of the property.
    The buyer, he said, might subsequently change his mind and, thus, request a refund of his money. This, said Marimuthu, was where the problem arose.

    "Most of the time, the developer would refuse to refund the booking fee, saying booking fees were non-refundable.

    "Believing that to be true, many consumers would not pursue the matter further, oblivious to the fact that the law does not allow for the collection of booking f