COS 2015 Debate: MCI – Premium Service Providers (MP Png Eng Huat)

By MP for Hougang SMC, Png Eng Huat
[Delivered in Committee of Supply on 9 March 2015]

Sir,

More often than not, victims of unscrupulous Premium Rate Service (PRS) providers are left to fend for themselves when they receive a rude shock from their telephone bills.  For every case of PRS dispute reported, I am sure there are many more that had gone under the radar for whatever reasons.

A resident of mine related his experience to me.  Whenever he tried to make a call, an advertisement would pop up on his mobile telephone.  He said he was then forced to click on an “OK” button to clear the screen so that he could proceed to make his call.  Unknown to him, by doing so each time, he is actually initiating a PRS download.  Needless to say, this English illiterate resident was charged exorbitant fees when his telephone bill arrived.

The Code of Practice for provision of PRS rightly placed the bulk of the responsibilities on the providers of such services to comply.  However, this Code left the duties of billing network operators, namely the Telcos, with minimal obligations although they are providing the all-important payment gateway for these PRS providers.

Surely the Telcos cannot be absolved of any responsibility when they are actually running a commercial service that unscrupulous PRS providers can exploit to collect exorbitant payments for products and services downloaded by the young, elderly, and illiterate.

Shouldn’t these Telcos play a more active role to ensure the vulnerable in our society are better protected?  Although all Telcos are required to provide a PRS barring service, such a service is not well publicised and by the time a person subscribes to it, the damage has already been done.

Sites like PAYPAL and EBAY provide buyer protection and money back guarantee even though they are just a payment gateway and an e-commerce facilitator respectively.  Can IDA make our Telcos do likewise?

Until the Telcos take some responsibilities for the unscrupulous practices happening on their mobile networks, unsuspecting subscribers will always be vulnerable to overcharging by PRS providers out to make a quick buck.