Eir’s parent company Eircom has agreed to pay a financial penalty of €2.45 million after an investigation into overcharging carried out by the communications regulator.
As part of a High Court settlement, Eircom will undergo “backward-looking measures” to address customers that may have been incorrectly charged for a number of reasons, including to an issue with a “broken bundle” on their account.
Customers were also charged in circumstances where a request to have their service ceased was not processed while others were incorrectly charged for early cessation when they were actually permitted to cancel without penalty.
Approximately 76,000 customers may be affected and the Commission for Communications Regulation (ComReg) said the refund measures may total approximately €6.7 million.
Eircom has also committed to implementing measures to improve its existing billing process.
ComReg said the processes and procedures will also include Eircom proactively reviewing credits and disputes that could identify potential billing issues not already addressed.
ComReg added that Eircom will also appoint an independent auditor to review the effectiveness and implementation of these measures.
A spokesperson for Eir said the company is engaging with ComReg regarding its concerns about the “possibility of the historical and inadvertent overcharging of certain customers” in respect of electronic communications services.
“Eir has already commenced a review process of an agreed cohort to identify any unresolved instances of incorrect charging and will ensure any such customers are reimbursed as soon as possible.
“Eir apologises unreservedly to any customer who we identify as part of the review, as having been inadvertently charged incorrectly and has committed to actively processing any refunds that may be identified.
“As part of its commitment to improved customer service and the resolution of legacy billing process issues, Eir will also undertake a robust review of current billing practices, to ensure their effectiveness.
“Eir has engaged an independent auditor to verify both its historic and forward-looking reviews.
Eircom’s parent company, Eir, has accepted to pay a €2.45 million fine after an investigation carried out by the communications regulator uncovered the company’s overcharging of customers.
Part of the High Court settlement, Eircom will be taking steps to rectify the charges that were made mistakenly due to a “broken bundle” on customer accounts, as well as to those who were charged for early termination when they were allowed to cancel without penalty.
It is estimated that this financial restitution should total approximately €6.7 million, and affect approximately 76,000 customers.
In addition to this, Eircom has promised to strengthen their current billing process. This includes proactively reviewing credits and disputes, which could help to identify any potential billing issues that have not been addressed yet.
Moreover, an independent auditor will be appointed to evaluate the implementation of these measures.
A spokesperson for Eir expressed their regret at the “possibility of the historical and inadvertent overcharging of certain customers”, and asserted that they had started a review process of an agreed cohort to identify any unresolved cases of incorrect charging.
They assured customers that once such cases have been identified, they will be promptly reimbursed.
To ensure improved customer service and the resolution of any billing process issues, Eircom will be conducting a rigorous review of their billing practices. Furthermore, the independent auditor will be verifying both the past and the future reviews.
