CTM Australia and Xi Lian Kaing - Enforceable undertaking

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Date
13 January 2017
Category
Enforceable undertakings

A Moorabbin-based goods supplier and its director have agreed to pay a contribution of $2,000 and undertake a range of measures, including recalling products and refunding customers, after acknowledging that they offered children's toys for sale that did not meet the appropriate safety standards and/or were banned.

Image of a Yo Yo Animal Puffer Ball

In October 2015, our inspectors visited the premises of CTM Australia Pty Ltd (ACN: 111 284 176) and seized a number of children's squeeze toys suspected of not complying with the relevant safety standards.

Further testing on these 'yo yo animal puffer balls' revealed that they did not meet the mandatory safety standards and had been banned nationally in 2011.

The toys feature a cord that can stretch in excess of 500 millimetres and present a strangulation hazard, while a small 'squeezer' part can detach and cause a choking risk.

CTM Australia and its director, Xi Lian Kaing, agreed that they had breached product safety laws by selling or offering to sell the items. They have undertaken to:

  • stop selling or offering to sell a number of identified items that do not meet certain safety standards, or items that have been banned
  • initiate a voluntary recall of the yo yo animal puffer balls
  • publish recall notices on the Product Safety Australia website and in all the company's business premises
  • provide refunds on the recalled items
  • hand over any returned yo yo animal puffer balls to the Director of Consumer Affairs Victoria, to be destroyed and disposed of
  • implement a compliance program to help ensure they do not supply, or offer to supply, any banned or unsafe product
  • pay $2,000 to our Director, on behalf of the Victoria Consumer Law Fund.

We previously inspected CTM Australia in 2011 and 2012, seizing almost 2,000 non-compliant products, including yo yo balls, projectile toys, and cosmetics. In 2013, CTM Australia signed a destruction notice and forfeited any claim on the seized goods.

For more information about yo yo balls and the dangers they present, visit the Yo yo water balls page on the Product Safety Australia website.

Download the full text:

CTM Australia Pty Ltd and Xi Lian Kaing - Enforceable undertaking (PDF, 4.6MB)

CTM Australia Pty Ltd and Xi Lian Kaing - Enforceable undertaking (Word, 665KB)

Variation to enforceable undertaking - CTM Australia Pty Ltd and Xi Lian Kaing (PDF, 840KB)

Variation to enforceable undertaking - CTM Australia Pty Ltd and Xi Lian Kaing (Word, 107KB)

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