E-cigarette firm hit with $55,000 fine

The boss of an online e-cigarette company has been fined $55,000 after being pursued by the Australian Competition and Consumer Commission for falsely claiming the products did not contain cancer-causing chemicals.

In what is believed to be a world-first case, John Burden, of Noranda, who now works in Bali, was the boss of the New Zealand-based Elusion company selling e-cigarettes that were said to be “loved by customers across the world”.

The company — which generated revenue of nearly $1.5 million in the two years to 2016 — also claimed the products contained no harmful chemicals such as acrolein, acetaldehyde and formaldehyde.

However, when the ACCC tested e-cigarette products, traces of all the chemicals were found, prompting it to take the company to the Federal Court under consumer protection law.
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