Monitored alarms firm wound-up over sales tactics

A MANCHESTER burglar alarms company, which  used “misleading and objectionable” sales tactics to sell to customers, many of whom were elderly, has been wound up in the High Court.

Inter Defence Security of Piccadilly, which sold monitored alarm systmes, was wound-up following an investigation by the Insolvency Service.

This found that in its advertising, the company falsely implied that its alarm system was approved by the Association of Chief Police Officers (ACPO); falsely stated that the alarm system was free when, in reality, customers had to enter into lengthy monitoring contracts, paying amounts of up to £5,695; and falsely implied that the alarm system covered rapid response by the emergency services.

The investigation also found that, in many instances, alarm systems were installed prior to the expiry of the statutory cooling-off period to which customers are entitled when entering into contracts in their own homes.

The firm, operating from Clayton House, 59 Piccadilly, began trading in January 2013. Its sales during its first nine months of trading were £595,301.

The Insolvency Service said the company’s activity was in contravention of the Consumer Protection from Unfair Trading Regulations 2008.

Investigation supervisor Colin Cronin, said: “Inter Defence Security made a number of serious misrepresentations when selling its alarm systems to customers. It was of particular concern to the court that many of the company’s customers were elderly and believed that they had bought a system which provided for rapid response by the Police and Fire Service.

“The Insolvency Service will take firm action against companies which mislead the public in this way.”