EFESydney, Australia

An Australian court fined Samsung Australia AU$14 million ($9.6 million) for misleading consumers about resistance to water from several of their mobile phones, official sources reported Thursday.

The subsidiary of the South Korean technology company reached an agreement with the justice system after admitting to having violated Australian consumer laws through several ads where it misleadingly advertised the resistance of its cell phones.

"The fine is a strong reminder to companies that everything that is claimed about a product must be substantiated," said Gina Cass-Gottlieb, chairwoman of the Australian Competition and Consumer Commission, the regulator that sued Samsung in 2019.

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