In what can be considered a warning to spammers resorting to unsolicited SMS messages and exploiting the popularity of mobile phone chat services, the Federal Court of Brisbane, Australia, has imposed a massive $15.75-million fine on two companies and three individuals who allegedly flouted the Spam and Trade Practices Acts.

The two penalized companies include Mobilegate and Winning Bid; and the three individuals include Mobilegate director Tarek Salcedo; ex-Winning Bid director Simon Owen; and Winning Bid employee Glenn Maughan. These companies and individuals would face the court on the alleged 'unsolicited SMS' charges on November 30.

Marking the first court action taken against unwelcome SMS messages by the Australian Communications and Media Authority (ACMA), the penalty comes for enticing the credulous customers of dating sites to engage in pricey SMS sex chats with bogus persons.

Going by the ACMA claims, the operators of the spam posted fake member profiles on dating Web sites; collected mobile phone numbers; lured men with unsolicited messages for SMS sex chat services; where they got Mobilegate and Winning Bid employees to chat with these men who paid up to $5 per message!

Commenting on the court's decision, ACMA acting chairman Chris Cheah said: "The maximum penalties provided for under the Spam Act are very high. The substantial penalties imposed by the court in this case show that spam will not be tolerated in Australia."