Australian businesses are being warned about deceptive letters designed to look like official invoices and demanding payments of over $400. The letters, sent by entities including Registration Pty Ltd and Biz Australia Pty Ltd, have been mistaken for legitimate fees by several business owners.
Thomas Mifsud, a real estate broker, described receiving one such letter that appeared completely legitimate, structured like a bill with his business name and details. The letter offered an early bird discount and encouraged payment via a QR code, aiming to prompt a swift payment of a $449 registration review fee. This fee closely mimicked the annual review fees companies are required to pay to the Australian Securities and Investments Commission (ASIC), which currently stand at $342 per year for private companies.
Mifsud narrowly avoided paying the fee after noticing a crucial caveat in small print on the back of the document. This statement clarified that Registration Pty Ltd is a third-party annual company review service provider, independent of ASIC, and that the document was not a bill, with payment being optional.
ASIC has confirmed awareness of similar unsolicited letters being sent to businesses. A spokesperson for ASIC stated that company and business name holders are not obligated to use third-party providers for annual reviews and renewals, and these processes can be completed directly with ASIC or through a registered agent. These third-party services may charge additional fees on top of ASIC's charges.
Registration Pty Ltd and Biz Australia Pty Ltd had their registered agent status cancelled by ASIC on June 5 due to breaches of ASIC’s Registered Agent Terms and Conditions. These entities are associated with the website reg.com.au. The cancellation followed an earlier suspension.
Mifsud shared his experience on LinkedIn, where numerous other business owners reported receiving similar misleading letters. Some commented that they had unfortunately paid such fees in the past, while others expressed relief at catching the deception before payment, often by consulting their accountants or carefully reading the fine print.