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Media company wound up for false promotions 21 January 2014

A Liverpool-based advertiser has been wound up on public interest grounds for wrongly claiming that it promoted the work of the emergency services.

Prior to the winding up order, Global Media Corporation Ltd sold advertising space in diaries and magazines.

Following an investigation by The Insolvency Service, it was discovered that telesales staff cold-called potential customers claiming to be affiliated with the police, even pretending to be the police in some instances.

Offering advertising space in diaries promoting the work of the police, fire and ambulance services, the company led people to believe these were ‘distributed to thousands of homes throughout the UK.’

The investigation found little evidence to suggest that the magazines and diaries had been printed or distributed at all.

There were also inconsistencies found between the documents submitted to Companies House, as the company’s accounts detailed income far in excess of that declared in the financial statements.

Global Media had also sought payment from customers for advertisements they had not bought, as sales staff used “questionable methods” to try and acquire these payments.

Company director Kelie Taylor insisted that the magazines and diaries were not commissioned by any of the emergency services and that they were only distributed to the advertisers and a police station in Warrington.

Alex Deane, chief investigator at The Insolvency Service, said: “This company preyed on small businesses claiming to offer a service they simply didn’t.

“The business community should rest assured that the Insolvency Service will take action to close down such companies and, where appropriate, take action against the individuals responsible.”

 

 

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