A Federal Court in Australia slapped two companies and three individuals with a fine of $15.75 million for breaching the Spam Act.

The court said Mobilegate Ltd and Winning Bid Pty Ltd breached the Spam Act and the Trade Practices Act 1974 in August 2009.

Three persons viz. Simon Anthony Owen, Tarek Andreas Salcedo and Glenn Christopher Maughan were held responsible for the breaches.

The case was brought by the Australian Communications & Media Authority.

The ACMA said the penalties showed that spam would not be tolerated in Australia.

It was the first time when a legal action was taken against those sending unwanted SMSs.