eBay seller convicted for bidding on his own goods
By IANSTuesday, April 20, 2010
LONDON - An eBay seller has become the first person in Britain to be convicted for bidding on his own items to raise prices.
Paul Barrett, who faces a fine of up to 50,000 pounds, hiked the value of the items he was selling by bidding on them after operating a separate user name. It’s a practice referred to as ’shill bidding’.
The 39-year-old from Stanley, Co Durham, has pleaded guilty to ten breaches under consumer protection laws. But, he says he was not aware he was acting illegally, Daily Mail reported Tuesday.
North Yorkshire Trading Standards had carried out the investigation after receiving a complaint that he advertised and sold a mini bus that had its mileage reduced illegally.
He was found to be selling goods under the account of ‘shanconpaul’ and then bidding for them under his other identity ‘paulthebusman’.
“eBay let me open up the second account and I gave all my personal details and home address to do so. I realised the price was too low on some things and put the prices up using the second account,” he told Skipton’s magistrates’ court. His account has been suspended.
“I made a mistake in the advert. I put a bid on it to put the correct price I wanted. I didn’t realise I was doing anything wrong but now I do,” Barrett was quoted as saying.
An eBay spokesperson, while stressing that ’shill bidding’ was illegal, said: “It is important for people to understand that there is not, nor has there ever been, room for illegal activity on the site.”