If you’ve ever picked up the phone and found yourself on the receiving end of a pushy sales call, you’re not alone and might be more vulnerable than you think.
In a recent case that’s sending shockwaves through the business community, the Australian Competition and Consumer Commission (ACCC) has accused two companies of using ‘unconscionable’ and deceptive sales tactics that could leave unsuspecting Australians out of pocket.
Beacon and Zandox, now in liquidation, sold cleaning products and printer cartridges. However, according to the ACCC, their sales strategies exceeded the usual hard sell.
The companies allegedly targeted small and medium businesses—including retirement villages, residential care facilities, childcare centres, and farming businesses—with unsolicited phone calls.
The twist? These calls weren’t just to pitch a product, but to ‘confirm’ orders the businesses had never actually made.
Once the unsuspecting business owner or staff member was on the line, Beacon and Zandox would claim that an order had already been placed and that it was too late to cancel.
In some cases, businesses received multiple deliveries of products they never wanted. When they tried to return them, the companies refused to take them back, insisting the orders were legitimate.
The ACCC’s deputy chair, Catriona Lowe, described the tactics as having ‘the potential to cause financial and emotional stress to business owners and staff’.
Imagine the confusion and frustration of receiving boxes of toner cartridges or cleaning supplies you never ordered, then being told you’re on the hook for the bill.
In one example, a small business in New South Wales received three separate deliveries of toner cartridges from Beacon.
When the company called again to ‘confirm’ yet another delivery, the business pleaded for it to be the last.
Despite repeated attempts to return the unwanted goods, Beacon allegedly refused, claiming the orders had been authorised by staff, even though there was no agreement.
‘Beacon allegedly asserted that the orders were confirmed and authorised by staff of the business, and that they would not take all of the unwanted cartridges back,’ ACCC said.
However, the ACCC stressed, ‘The business had the right to return and receive a refund for the unordered goods.’
The regulator stated that both companies exerted ‘undue influence and pressure to make unsolicited sales of printer cartridges and cleaning products’ to businesses throughout Australia.
This isn’t the first time Beacon’s director, Warren Skry, has faced scrutiny. In 2004, his previous company, Globex, was taken to court after more than 70 complaints about similar conduct.
The ACCC alleges that Zandox was essentially a rebranding of Beacon, selling the same products and using the same questionable tactics.
Both Beacon and Zandox were wound up in April 2023, but the ACCC is still pursuing legal action against Skry, who they allege was fully aware of the conduct.
Have you or your business ever received goods you didn’t order, or been pressured into a sale over the phone? How did you handle it? Share your experiences in the comments below—your story could help others avoid falling into the same trap.
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