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Shadowy company engaged to support state’s debt-collector

Queenslanders suffering from economic hardship during the coronavirus pandemic who have telephoned the Government’s state penalties enforcement registry (SPER) have had their calls diverted to a credit reporting agency previously fined millions of dollars for breaching customer law.

Aug 11, 2020, updated Aug 11, 2020
The State Government hopes that by allowing public sector employees to voluntarily change their profile it will get a better picture of workforce diversity.(Supplied)

The State Government hopes that by allowing public sector employees to voluntarily change their profile it will get a better picture of workforce diversity.(Supplied)

The undisclosed contract to provide phone support during the pandemic was given to the private company, Equifax, despite a Federal Court ruling the firm had engaged in misleading and deceptive conduct.

In 2018, Equifax was ordered to pay penalties totalling $3.5 million for breaching consumer law, in what was described as “unconscionable conduct” towards customers.

The breaches included using unfair sales tactics and lying to customers.

The company is not a call centre, but was handed the Government contract for inbound-phone support during the pandemic by SPER, which operates within Queensland Treasury.

The ABC has asked Queensland Treasury for details on the cost of the contract.

But as part of its ordinary contract disclosures, Treasury has reported it paid $1.87 million to Equifax for a “customer portal and ongoing support — proof of concept” in January without going to an open tender.

No other contracts to Equifax have been disclosed.

“SPER has enlisted the resources of a private sector organisation, Equifax, to temporarily supplement its inbound call capacity, in order to help people in hardship as a result of COVID-19,” a Queensland Treasury spokesperson said.

Queenslanders typically call SPER to repay traffic debts or seek extensions to payment deadlines.

Treasury says deal terminated

An Equifax spokesperson said the company did not comment on customers or prospective customers.

Following ABC inquiries about whether Equifax collected information from the calls, the company spokesperson said: “When dealing with the Government we take steps to follow all appropriate guidelines and procurement policies relevant to that customer.”

“Where Equifax conducts consumer credit reporting activities, they are carried out strictly under Part IIIA of the Privacy Act, which sets out the rules about what information can be collected and included in credit reports, as well as how it can be accessed and used, and therefore the scenario you describe is not permitted.”

Equifax’s website states that the company is “passionate about accumulating data, transforming it and then connecting it, to provide our customers with the complete picture”.

Queensland Treasury said SPER’s arrangement with Equifax had ended.

Equifax participated in Labor’s series of so-called cash-for-access business forums in 2019, donating $5500 to the Australian Labor Party in August last year.

The administration of SPER has been under assessment by the state’s Crime and Corruption Commission after several referrals by Queensland Treasury.

– ABC / Exclusive by Jack Snape and state political reporter Allyson Horn

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