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Singtel may face legal action for smear campaign against rival telcos
StarHub, M1 exploring options over rival's use of bloggers to criticise them
PUBLISHED ON MAR 19, 2015
BY IRENE THAM TECHNOLOGY CORRESPONDENT
StarHub is exploring taking legal action against rival Singtel over an online smear campaign last June, which Singtel has apologised for and distanced itself from.
The controversy first became public after blogger Wendy Cheng, better known as Xiaxue, posted on her website last week that social media agency Gushcloud had instructed its bloggers to bad-mouth StarHub and M1 as part of Singtel's e-campaign.
"We have written to Singtel on this matter and are assessing our legal options," said Ms Jeannie Ong, StarHub's chief marketing officer.
The telco wants Singtel to take responsibility to ensure all false and disparaging comments created and proliferated by its staff and Gushcloud are "retracted and corrected".
"Such marketing tactics are unethical and we do not condone such negative campaigns," said Ms Ong.
On Tuesday, Singtel and Gushcloud apologised for the marketing campaign that disparaged its rivals. Singtel explained that its marketing standards that forbid negative campaigns were not followed, and that the incident was an "isolated" one.
An M1 spokesman said it had noted Singtel's apology, but "will explore further action if necessary".
Lawyers said this includes taking legal action against Singtel and Gushcloud for possible defamation.
Separately, the Infocomm Development Authority is investigating to see if its Telecom Competition Code, imposed on all licensees, was breached.
Last Saturday, Ms Cheng posted a leaked 2014 e-mail from Gushcloud to its bloggers instructing them how to create messages targeted at StarHub and M1. For instance, they were asked to "complain/lament" about the two telcos' network connections and services.
The aim was to promote a Singtel youth mobile plan, with Gushcloud's bloggers receiving up to $4,000 in cash incentives, among other benefits, for successful sign-ups.
Ms Cheng also posted on her website samples of these complaints targeted at StarHub and M1. One such complaint read: "I've really been annoyed by the terrible connection I've been getting from M1 through these years. From constantly having no connections at Zouk to having my line cut off when I'm on the line (sometimes important business talks)..."
Another sample read: "You know what? I'm finally sick and tired of StarHub's poor reception and network connections!"
Lawyers contacted said Singtel and the bloggers engaged could be liable for defamation.
Lawyer Gilbert Leong, a partner at Rodyk & Davidson, said the case could be one of "conspiracy to injure".
"However, StarHub and M1 would need to show that they sustained damage to their business as a result," said Mr Leong. "This is because the complaints may be genuine and what Singtel and Gushcloud did was to precipitate a public airing of the complaints."

 

 

 

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Mustank

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Hypersonic

Ah Mock is the biggest joker around

 

He and James really the best! [thumbsup][thumbsup][thumbsup]

really good to have jokers around, make me happy [grin]

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Sp4wn

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SINGAPORE - Singtel said on Thursday it has terminated the services of social media agency Gushcloud which was engaged to promote a marketing campaign which ended up disparaging rival telcos M1 and StarHub.


Singtel Group CEO Chua Sock Koong also apologised to M1 and StarHub, saying that "our actions in this incident did not live up to our high standards and values". She added that the Singtel employee involved in the controversial marketing campaign is "no longer with us".


In a statement posted on Singtel's Facebook page on Thursday, Ms Chua said: "In June 2014, we worked with a digital agency to promote a youth marketing campaign. We regret that a Singtel employee who worked on this campaign did not adhere to our professional standards and values. We have since terminated the services of the agency and the employee is no longer with us."


She added: "Singtel does not condone negative campaigns or publicity against any individual or organisation. We are committed to upholding the highest standards of professional values and integrity."


The controversy first became public after blogger Wendy Cheng, better known as Xiaxue, posted on her website last week that Gushcloud had instructed its bloggers to bad-mouth StarHub and M1 as part of Singtel's e-campaign last June.


M1 and StarHub have asked the Infocomm Development Authority of Singapore (IDA), which regulates telcos here, to look into the allegations that bloggers were asked to complain about their services.


StarHub recently said that it is exploring its legal options, and wants Singtel to ensure that all false and disparaging comments spread during the campaign are “retracted and corrected”. M1 said that it “will explore further action if necessary”.


The IDA said it is investigating the matter.


In an earlier statement on Tuesday, Singtel’s consumer marketing vice-president Johan Buse apologised for what he described as an "isolated incident". He said: “Further investigations have revealed that our staff who worked with Gushcloud on the marketing campaign last June did not adhere to Singtel’s marketing standards.”


He added that Singtel will emphasise to its staff and agencies the importance of adhering to guidelines including the Singapore Code of Advertising Practice, which states that all advertisements should be legal, decent, honest and truthful.


Shortly after his statement, Gushcloud chief executive Vincent Ha released his firm’s apology saying that “we have let our influencers and client down with the way the campaign turned out and we are sorry. It goes against the management’s belief to use the Internet for spreading negative messages”.


At least two bloggers have since apologised for posting negative comments. Mr Xavier Ong, 20, a blogger under Gushcloud, said on Wednesday that he was sorry for complaining about his service provider, M1. “I... apologise to anyone affected for posting negative comments towards M1 (while on a Singtel campaign) and not explicitly stating or revealing that I was on a campaign with Singtel,” he wrote in a blog. But he said he did not “lie” as he had been unhappy with M1.


Another Gushcloud blogger, Ms Eunice Annabel Lim, 21, also apologised. She had said she agreed to do it because she was “genuinely annoyed with my previous telco”.


Tampines GRC MP Baey Yam Keng, who is savvy with social media, told The Straits Times that Singtel’s latest statement showed “they mean what they say”. “For its group CEO to apologise, it shows that it is taking this matter seriously... as what has happened so far is quite damaging to its brand.”


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Hypersonic

 

SINGAPORE - Singtel said on Thursday it has terminated the services of social media agency Gushcloud which was engaged to promote a marketing campaign which ended up disparaging rival telcos M1 and StarHub.

Singtel Group CEO Chua Sock Koong also apologised to M1 and StarHub, saying that "our actions in this incident did not live up to our high standards and values". She added that the Singtel employee involved in the controversial marketing campaign is "no longer with us".

In a statement posted on Singtel's Facebook page on Thursday, Ms Chua said: "In June 2014, we worked with a digital agency to promote a youth marketing campaign. We regret that a Singtel employee who worked on this campaign did not adhere to our professional standards and values. We have since terminated the services of the agency and the employee is no longer with us."

She added: "Singtel does not condone negative campaigns or publicity against any individual or organisation. We are committed to upholding the highest standards of professional values and integrity."

The controversy first became public after blogger Wendy Cheng, better known as Xiaxue, posted on her website last week that Gushcloud had instructed its bloggers to bad-mouth StarHub and M1 as part of Singtel's e-campaign last June.

M1 and StarHub have asked the Infocomm Development Authority of Singapore (IDA), which regulates telcos here, to look into the allegations that bloggers were asked to complain about their services.

StarHub recently said that it is exploring its legal options, and wants Singtel to ensure that all false and disparaging comments spread during the campaign are “retracted and corrected”. M1 said that it “will explore further action if necessary”.

The IDA said it is investigating the matter.

In an earlier statement on Tuesday, Singtel’s consumer marketing vice-president Johan Buse apologised for what he described as an "isolated incident". He said: “Further investigations have revealed that our staff who worked with Gushcloud on the marketing campaign last June did not adhere to Singtel’s marketing standards.”

He added that Singtel will emphasise to its staff and agencies the importance of adhering to guidelines including the Singapore Code of Advertising Practice, which states that all advertisements should be legal, decent, honest and truthful.

Shortly after his statement, Gushcloud chief executive Vincent Ha released his firm’s apology saying that “we have let our influencers and client down with the way the campaign turned out and we are sorry. It goes against the management’s belief to use the Internet for spreading negative messages”.

At least two bloggers have since apologised for posting negative comments. Mr Xavier Ong, 20, a blogger under Gushcloud, said on Wednesday that he was sorry for complaining about his service provider, M1. “I... apologise to anyone affected for posting negative comments towards M1 (while on a Singtel campaign) and not explicitly stating or revealing that I was on a campaign with Singtel,” he wrote in a blog. But he said he did not “lie” as he had been unhappy with M1.

Another Gushcloud blogger, Ms Eunice Annabel Lim, 21, also apologised. She had said she agreed to do it because she was “genuinely annoyed with my previous telco”.

Tampines GRC MP Baey Yam Keng, who is savvy with social media, told The Straits Times that Singtel’s latest statement showed “they mean what they say”. “For its group CEO to apologise, it shows that it is taking this matter seriously... as what has happened so far is quite damaging to its brand.”

 

 

A scapegoat has been sacrificed.

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Ktglfc

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Hypersonic

 

A scapegoat has been sacrificed.

 

Its damage control .... with the sacrificial of a goat ...

 

And then all will say... "Let's move On" :)

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A scapegoat has been sacrificed.

 

think still not out of the woods yet, since GC will release another statement today .. let's see what new spin they have today,

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Kusje

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Supersonic

 

think still not out of the woods yet, since GC will release another statement today .. let's see what new spin they have today,

 

Must be XX's fault la.

 

She put too much pressure on them to compete so they were forced to come up with such tactics.

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Hypersonic

 

Its damage control .... with the sacrificial of a goat ...

 

And then all will say... "Let's move On" :)

 

Not so soon. Let's see what IDA will do.

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