Decision of the Competition Council of the Hungarian Competition Authority (Gazdasági Versenyhivatal - GVH) Vj-187/2005: TELE2 Magyarország

The Competition Council of the Hungarian Competition Authority (Gazdasági Versenyhivatal - GVH) established in its decision, issued on 28 March 2006, that TELE2 Magyarország infringed the provisions on the prohibition of unfair manipulation of consumer choice of the Hungarian Competition Act.

TELE2 does not itself possess a telephone network but it provides intermediary telephone services. The way a consumer can get access to TELE2`s services is by dialling a special number before dialling the telephone number. In the competition supervision proceeding the Competition Council of the GVH concluded that the advertisements of TELE2, which stated, first, that some of its services are "free of charge"; and, second, that "there is no monthly fee" misled consumers. Also, the advertisements of TELE2, which indicated the fee payable per minute did not inform consumers about the obligation to pay an interlocking fee for every call, were held to be unlawful. Furthermore, the advertisements of TELE2 did not objectively compare TELE2`s services with those of other competitors.

The Competition Council imposed a fine of HUF 50 million (approx. EUR 190000) on TELE2 Magyarország for its unlawful behaviour.

Budapest, 30 March 2006

Hungarian Competition Authority
Communication Group

Further information can be obtained from:
Erika Baráth
Hungarian Competition Authority
Address: 1054 Budapest, V. ker., Alkotmány u.5.
Mailing address: 1245 Budapest 5., Pf. 1036
Tel.: (+36-1) 472-8985
Fax: (+36-1) 472-8998
Email: Barath.Erika@gvh.hu
http://www.gvh.hu