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The Australian Communications and Media Authority welcomes the decision of Justice Nicholson in the Federal Court in Perth today to award a pecuniary penalty of $4.5 million against Clarity1 Pty Ltd and $1 million against its managing director, Mr Wayne Mansfield, for contravening the Spam Act 2003 (Spam Act).

ACMA's prosecution of Clarity1 is the first prosecution under the Spam Act.

On 13 April 2006, Justice Nicholson found that both Clarity1 and Mr Mansfield were in breach of the Act for both sending unsolicited commercial electronic messages, and for using harvested address lists.

Among other matters, ACMA submitted to the Federal Court that Clarity1 Pty Ltd and Mr Wayne Mansfield sent out at least 231 million commercial emails in twelve months after the Spam Act 2003 commenced in April 2004, with most of these messages unsolicited and in breach of the Act.

'ACMA's action in this case underscores its vigilant approach to the enforcement of the Spam Act and combating spam,' said Mr Chris Chapman, ACMA Chairman. 'Spam causes significant inconvenience to individuals and businesses: disrupts email delivery, clogs up computer systems, reduces productivity, wastes time, irritates users and raises the cost of internet access fees.'

'This judgement provides a strong warning to Australian spammers that contraventions of the Spam Act can result in substantial penalties being awarded against individuals and organisations, 'said Mr Chapman.

'ACMA has previously demonstrated its determination to pursue important matters vigorously, a determination that will be a key attribute in its continuing success across its broad regulatory responsibilities,' he added.