Redten has been brought to book by the Advertising Standards Authority after making misleading claims of 'unlimited broadband' and 'unlimited internet downloads'.
The watchdog ruled that Redten had misled customers in advertising its packages as 'unlimited' because the ISP slowed broadband connections to dial-up speed once a 5GB or 15GB cap had been reached.
The ISP, which gives away a free PC when customers sign up for its broadband services, was also found wanting in a separate advert that offered a 'free upgrade to 24Mbps broadband'.
"Because we had not seen evidence to show that the download cap excluded only atypical users, or that customers were able to obtain an upgrade to 24Mbps free of charge, we concluded that the claims 'unlimited broadband', 'unlimited downloads' and 'free upgrade to 24Mbps broadband' were misleading," the ASA said in its ruling.
The ASA also reprimanded the ISP for its lack of response in dealing with the complaints, and an apparent "disregard for the Code".
The watchdog reminded Redten of its obligations under the Code and told it to respond promptly in future.
The ruling is the latest in a spate of problems to bedevil the ISP, including a week-long internet outage in March which left all customers without access.
Redten was recently taken over by Fatcat Communications after going into administration.
ASA clears TV commercial despite several complaints 09 Jul 2008
ASA takes broadcaster to task after complaints from BT 29 May 2008
ASA rules direct mail campaign in support of proposed Cotswold wind farm was misleading 17 Feb 2010
Claims that wind farm could cause "depression, sleep deprivation, headaches and memory loss" ruled misleading 19 Feb 2010Watchdog bans leaflets from Shetland wind farm developer and Moray anti-wind farm group 11 Nov 2009
Advertising Standards Authority sides with Sky in 20Mbit/s dispute 09 Apr 2009
ASA rejects claim that third runway would not make airport "noisier or dirtier" 27 Aug 2009
Desert tortoise fears allayed? 19 Mar 2010
Cameron presents pre-election energy policy, promising greater investment certainty for low-carbon projects, green loans for households, and streamlining of planning system 19 Mar 2010
Joint statement from carbon exchange and Hungarian government aims to restore confidence in CER market 19 Mar 2010
More news
From climate change contrarians to the "KitKatastrophe" of Nestle's palm oil policy, we look at the best the green web has to offer this week 19 Mar 2010
"It needs the political enthusiasm that was behind the war on terror after 9/11" 19 Mar 2010
From the government's plans for a marine energy revolution to John Lewis' proposals for an off-grid supermarket 19 Mar 2010 More in-depth
Post your comment
Send an email to the Business Green editor at feedback@businessgreen.com
