The Australian Competition and Consumer Commission [ACCC] has announced the commencement of legal proceedings against TPG Internet for misleading advertising.

The ACCC alleges TPG Internet contravened the Trade Practices Act 1974 [the only act this reporter has ever seen contravened] with its “unlimited” broadband advertisements.

The promotion claimed to offer unlimited ADSL2+ internet for $29.99 a month, but didn’t mention that customers had to combine the plan with a TPG phone rental worth $30. This meant the minimum cost was actually $59.99 a month.

The ACCC also alleges that TPGs advertisements do not adequately disclose two additional up front charges – a $129.95 broadband setup fee and a $20 home telephone deposit – which customers must also pay in order to obtain the unlimited ADSL2+ service.

The ACCC is seeking declarations that TPG contravened the Act, injunctions (including interlocutory injunctions), pecuniary penalties, corrective advertising and costs.