Billing error horror leaves man $90,000 poorer after direct debits

A Sydney businessman has been left with nearly $90,000 taken from his account after a series of harrowing billing errors by AGL.

Perry Malamas's monthly gas bill is always less than $300, so when he suddenly received one for almost $27,000, he assumed that as a good customer of AGL it would be swiftly resolved.

"I say 'check the records as to how much I pay every month, it can't be $26,000 for a month," Mr Malamas told 7News.

Perry Malamas's monthly gas bill is always less than $300. He suddenly received bills amounting to $87,716.99 and knew sometihng was wrong. Photo: 7News
Perry Malamas's monthly gas bill is always less than $300. He suddenly received bills amounting to $87,716.99 and knew sometihng was wrong. Photo: 7News

But over just one week, new bills kept coming.

One for $28,872.92, another for $41,938.97, and another for $43,963.42.

Mr Malamas kept complaining, but AGL's response was to send him another bill for $55,107.81.


Incredibly, he then received even more bills - one for 64,861.39, $66,621.15 and $78,851.58.

Finally, a bill for an eye-watering $87,716.99.

"I feel angry," Mr Malamas said.

"You work so hard. You ring to sort out something and they don't care."

Unfortunately for Perry, he had set up a direct debit.

The $87,716.99 was automatically withdrawn from his account, leaving him overdrawn by a small fortune.

Perry Malamas's job is to keep customers happy at his shop in Sydney. Photo: 7News
Perry Malamas's job is to keep customers happy at his shop in Sydney. Photo: 7News


The incident is not isolated.

Last year, the ombudsman received almost 18,000 billing complaints.

The trouble for those who have set up direct debit agreement is that by the time the error is spotted, they have already paid.

To protect his business, Malamas has stopped all direct debits. Photo: 7News
To protect his business, Malamas has stopped all direct debits. Photo: 7News

AGL refunded Perry's money, apologised and blamed an administrative error.

Mr Malamas has cancelled all future direct debits.

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