Orange Broadband Passing Disputed Debts to Alleged Scammers

By DavidReece • Oct 20th, 2008 • Category: Internet, News

You might want to think twice before cancelling your Orange broadband contract before the term is up, even if you give the required notice. According to an ex-customer who wishes to remain anonymous (who we’ll call ‘Bob’), you’re in for a rough ride.

Bob recently moved house due to unforeseen circumstances, and decided not to continue with Orange (his current ISP) due to slow speeds and disconnection problems, so he promptly contacted them to give the required 30 days notice.

They told him that was fine, so he made one more payment before cancelling the direct debit (as per the agreement). A few weeks down the line, letters started arriving from Orange, demanding that he pay an outstanding balance of *cough* £26. Small change by anyones standards, except for the fact that he didn’t owe it - the charge was completely erroneous.

Naturally, he called to dispute the charge, and was told by a representative that they had no record of him giving 30 days cancellation notice, and the charge would not be lifted. Orange then passed on the disputed charge to debt collectors, along with his previous address and phone number. There goes Bob’s credit history.

Orange’s hire agreement is regulated by the consumer credit act 1974(PDF), without which no enforcement of a minimum term can be enforced. The agreement even states…

“The Consumer Credit Act 1974 covers this hire agreement and lays down certain requirements for your protection which should have been complied with when this hire agreement was made. If they were not, Orange cannot enforce this hire agreement against you without getting a court order.”

In this case (and presumably many others), no court order was enacted - the charge was simply passed on without warning.

There’s more - it seems Orange (who operate their broadband service via “OHCS I - Serviços de internet LDA”, a company registered in Madeira, Portugal) isn’t especially discerning when it comes to choosing a debt collector, as they sold the debt to a less than reputable company called Capquest Investments Ltd (also known as Telogram Ltd,  Telogen, and countless other pseudonyms and front companies).

Capquest are notorious for underhand tactics including alleged personal threats, breaching privacy, harassment and misrepresentation, with scores of unwitting victims left with little or no recourse.

At this stage, Orange have washed their hands of the matter, despite continual attempts by the customer to resolve it, and now this phantom debt is in the hands of a company that has no regard for the law.

Other victims tell of Capquest’s shady practices, and how their relatives, neighbors and even total strangers were asked to confirm personal details, contact numbers and addresses, by defrauding them into thinking they were a ‘telegram service’ or ‘a business contact’. Many of these complainants were not aware of any debt (to Orange or otherwise).

The Office of Fair Trading (source: monesavingexpert.com) have this to say..

“1. it is unfair to mislead debtors as to their rights and obligations, for
example, falsely stating or implying that the debt is still legally
recoverable and relying on consumers not knowing the relevant legal
provisions, and

2. continuing to press for payment after a debtor has stated that they
will not be paying a debt because it is statute barred could amount to
harassment contrary to section 40 (1) of the Administration of
Justice Act 1970.”

So what can you do? Advice from the experts..

1. Read carefully the hire agreement, and any contracts from your ISP before signing up. Make sure you’re clear on the termination procedure, minimum term, and any obligations the ISP has to you, and (UK) that the agreement is backed by the Consumer Credit Act 1974.

2. Get written confirmation of the termination of your contract, and the date notice was given. Don’t rely on the phone, as mistakes do happen.

3. If you get any suspicious phone-calls (telegram etc..), don’t give any information - and make sure your friends and family know the score (send them this article).

4. If a company is harassing you or people you know, report them immediately to (UK) OFCOM, or The Office of Fair Trading.

For your reference:-

Capquest Investments Ltd (also identified as Telogram Ltd, Telogen, ‘a telegram’ or ‘a business contact’)

Fleet 27, Rye Close
FLEET
GU51 2QQ

Call from the following phone numbers:-

01252576300
12525576376
01252526507
01252576537
01252576540

Company directors:- (source: whocallsme.com)

1. Joseph Dlutowski
Nationality: American
dob 12 July 1964
100 Barbiroli Square
Manchester
M2 3AB

2. Michael Daniels
Nationality: British
dob 23 December 1954

3. Mark Brunault
Nationality:British
dob 1 October 1959

4. Paul McQuilkin
dob 5 August 1961


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2 Responses »

  1. Can he get a list of his outgoing phone calls from the phone company and dispute the bill?

  2. @Kmansfield, he did dispute it (was for broadband so phone-calls list wouldn’t help) and they sold the debt anyway, and since his account is now closed, Orange wouldn’t discuss it further.

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