WATCHDOG APPEALS RULING ON MEDIBANK
THE competition watchdog has lodged an appeal against the Federal Court’s dismissal of its allegations that Medibank misled customers over changes to benefits.
The Australian Competition and Consumer Commission’s allegation that Medibank Private deliberately failed to notify members of new limits on pathology and radiology benefits was dismissed in August by the Federal Court.
Medibank said after the sharemarket closed on Wednesday the ACCC had decided to appeal that decision.
He said the insurer would again take to defending its conduct.
“We are disappointed that the ACCC has decided to appeal the decision, after none of the ACCC’s allegations were substantiated and the matter was dismissed with costs,” Medibank chief executive Craig Drummond said in a statement.
“We have been focused, and will remain focused, on how we deliver for our customers, and we will not allow the ACCC’s decision to distract us from this.”
ACCC chairman Rod Sims yesterday said it was important for the watchdog to seek clarity from the Federal Court on the case.
Medibank shares fell 3¢ or 1 per cent to close at $2.93 yesterday.