The authorities in New Zealand have imposed a fine on UK-based global telecom giant, Vodafone for allegedly breaching the Fair Trading Act of the country.

Vodafone New Zealand will have to pay a fine of $960,000 as it was found guilty by the investigators of breaching the law. The penalty comes following a fine of about half a million dollars in the previous dollar for fair trading breaches. Vodafone New Zealand was found guilty on 21 representative charges of breaching the country’s Fair Trading Act and it now required to pay $1.4 million in total.

The latest fine were relating to advertising campaigns run by the company from October 2006 and February 2009. The advertisements allegedly mislead customers in the country. Judge Harvey ruled that Vodafone conducted in a gross carelessness manner and it is damaging the brand value of the company in everyone’s eye.

Commerce Commission’s competition branch manager Stuart Wallace said, “These were significant penalties, in terms of the Fair Trading Act context, so the commission is pleased with the penalties that the court has agreed to.”

Mr Wallace also said that he believes that the company now understands that those marketing messages are clear and not misleading.