Chubb fined in Australia for failing clients
Publish date: 06 January 2005
Issue Number: 1248
Diary: Legalbrief Today
Category: Corruption
Security has become a major issue for many SA home and business owners who will be interested to read a report in The Age in which Chubb, Australias largest security firm, has been fined $1.51m for accepting payment for services it could not provide.
The company was charged under the Trade Practices Act and this stemmed from an investigation which revealed that the company had promised security patrol services to clients in NSW, the ACT and Tasmania, which it could not perform in the allocated time. Shortfalls in some runs were as bad as 56%, but were generally 86 to 88%. An internal audit by the company also found shift reports were being falsified and documentation of the performance of patrols and service calls were not properly completed or checked. Full report in The Age
