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Phones2u Direct.com

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  • A customer of collapsed Midlands cashback retailer Mobile Connections (Dialamobile) has had three of his Orange contracts torn up in a case that could spell trouble for operators.

    The Communication and Internet Services Adjudication Scheme (CISAS), which settles disputes for Orange and T-Mobile customers, ruled the customer could end his contracts because of ‘significant changes’ from his original agreement.

    Mobile operators have always maintained that cashback is a separate arrangement between the customer and retailer, but this latest ruling acknowledges customers reliance on cashback payments to pay airtime bills.
    Roger Godsiff MP, whose constituents bore the brunt of the collapse, said: ‘CISAS has not just looked at the strict legality, they’ve looked at the moral obligations of the case, and I would urge other T-Mobile and Orange Mobile Connections customers to contact them.’
    The Birmingham man, who had three £40 Orange contracts, was left without any cashback when Mobile Connections went bust in September last year owing £12m to 90,000 customers.
    The customer claimed that without receiving any cashback he could not afford to pay the £1,496 demanded by Orange.
    And he said it was not made clear that he couldn’t cancel prior to a minimum term without a penalty.
    Head of trading standards at Birmingham City Council Chris Neville said it was the first case of its kind that he knew of, and he described the outcome as ‘a victory for common sense’.
    Mohammed Afazal, who runs a support website for Mobile Connections customers said there were another 50 cases pending with CISAS, and they were ‘pretty much identical’ to it.
  • Phones2udirect every action is legally correct
    - Paying dividends is legal
    - Director's loan & establishing himself as creditor is legal
    - Paying himself redundancy if any paid is also legal

    Hence, I do not think one can sue for any of the above things.

    But there is one thing which we should be able to hold against Phones2udirect. The first judgement was past against Phones2udirect in August'07 and as per the judgement I presume that its trade terms were considered unfair and illegal.

    However, Phones2udirect continued to trade on same terms and also denied payment to us using same clauses. Would this be considered under criminal act since Phones2udirect does not seem to have honoured court observations.
  • Durrsaku
    Durrsaku Posts: 33 Forumite
    I really feel for some of you guys who have lost money. I seem to have been one of the last few that received a cheque after MCOL in January. You have my support.
  • Born2Save_3
    Born2Save_3 Posts: 105 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    Whats the latest news on p2ud ?

    Does any one have any reports from the "liquidators" over cashbacks not paid, responses from them , and any schedules for payments they have made ?

    Thanks in advance...
  • roo291
    roo291 Posts: 14 Forumite
    Just in case any of you still check this thread....or if Martin is looking for his next little man versus the corporates battle how is this for a further swindle. If you ask what is happening nearly 2 years down the line all that happens is that Moore Stephens make another charge despite no update to there web site and no communication to the creditors. I am sure this is how liquidators all work and there is nothing illegal going on but someone I can't complain to them about the lack of update because they will charge me and the accountants governing body won't take up a case until the firm have had a chance to respond...which will cost the creditors £500 per hour.

    Surely the original communication in May 2009 should have said..."Updates will be available via our website and emails or calls to our offices will be charged to the Phones2udirect account" instead of saying " when telephoning please ask for David Elliott"

    Unfortunately my call at the end of 2009 was the first time I was informed of this charge! I was told that I should have looked at the website - assuming I have internet access I have to be honest and say that the LATEST NEWS section would not have been my first port of call.

    I was told that they were expecting to pay a dividend before Christmas but I note today that the website has not been updated with any useful information.

    SO.....

    Administrators really only need to delay long enough (being payed by the day) and provide little enough information that creditors call and eventually we will all receive a letter to say there is no money left.

    Surely we should all have been informed at the outset that everytime any one of the thousands of us owed money called or emailed then we would be charged and that the website would be updated on a monthly basis even if it was to confirm that as yet no payment was due. Perhaps once in 12 months all creditors should be contacted via email or post with and update.

    Dear Martin,

    Please consider if you think this fair on the little man, those of us already at the bottom of the pile to get paid. Those of us with the smallest voice....I know that most will have given up on this money a long time ago really but I went to court on a principal and I will fight for that principal to the end.
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