ICO accelerates action to recover PECR wrecker fines

The Information Commissioner’s Office has signalled a new offensive in its war on so-called nuisance calls after securing yet another winding up order against a rogue marketing company for failing to pay its fine – the fifth such action in recent months.

A significant portion of unpaid penalties come from fines issued under the Privacy & Electronic Communications Regulations (PECR), particularly against companies involved in nuisance calls and marketing spam. Many of these companies often go into liquidation to avoid payment.

Bolton-based Breathe Services first came to the attention of the ICO as part of a wider investigation into complaints received about unsolicited phone calls to potentially vulnerable individuals.

In a failed attempt to hide its real identity, Breathe Services was found to have spoofed its outbound phone number by presenting over 1,000 different telephone numbers on calls.

In March 2023, the ICO carried out a search at the firm’s office in Bolton, seizing evidence including documents and electronic devices.

The investigation revealed that between March and July 2022 and October and December 2022, Breathe Services bombarded people with 4,376,037 unsolicited direct marketing calls to numbers that had been registered to the Telephone Preference Service. This resulted in 58 complaints to the TPS and a further 193 complaints to the ICO.

The types of complaints received stated: “[They] kept saying they can help with my debt. I advised them I keep receiving calls and it’s making me feel suicidal […] I receive these calls from the same company every single day, sometimes three or four times a day.”

Another said: “I’ve asked the company every day for three weeks to remove my number […] and they still call every day! I am disabled and suffer with extreme anxiety and they will not leave me alone after weeks of begging!”

A third stated: “The harassment has been ongoing for months. It has been incredibly annoying and stressful.”

During the investigation, the regulator found that Breathe Services had deliberately tried to conceal its actions as well as ceasing to cooperate with the ICO, and, as a result, slapped it with a £170,000 monetary penalty.

However, the ICO has now revealed the company failed to pay the fine and so referred the case to its financial investigations unit to push for a winding up order, which is a legal mechanism that can compulsorily close a company that has failed to meet its financial obligations.

Once granted by the court, the company must cease trading immediately. All assets are liquidated and the proceeds are then used to repay creditors, including fines owed to regulators.

The ICO has recently successfully petitioned for winding-up orders against four companies, It’s OK Limited, F12 Management Ltd, Poxell Ltd, and Pinnacle Life Limited.

ICO head of investigations Andy Curry said: “This case sends a clear message – if you break the law and bombard people with nuisance calls, we will hold you accountable. And if you ignore our penalties, we will escalate enforcement to the highest level. Companies cannot simply walk away from their obligations.”

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