A franchise home loans business is the target of action by the Australian Competition and Consumer Commission for allegedly claiming a special relationship with the watchdog.

The ACCC has begun proceedings against Refund Home Loans Pty Ltd and its managing director and founder, Wayne Rodney Ormond, alleging they made false and misleading representations in breach of the Trade Practices Act 1974 about having a special relationship with the ACCC.

It is alleged that Ormond made statements over a number of years to current and former franchisees to the effect that the ACCC advised Refund Home Loans and Ormond about their conduct towards franchisees, and approved action taken by Refund Home Loans in regard to franchisees and former franchisees with whom it was in dispute.

Proceedings began in the Federal Court’s fast track list in Brisbane on 12 October 2009. A scheduling conference has been listed for 4 December 2009.

The ACCC is seeking declarations that the alleged statements breached the Act, injunctive relief, publication orders, the institution of a compliance program by Refund Home Loans, personal training in the Trade Practices Act 1974 for Ormond and costs.