The owner of digiDirect, Booktopia, Mwave and James Bennett has again fallen foul of Australia’s consumer watchdog, with its photographic and consumer electronics operation admitting it misled customers with fake discount claims.

Digital Imaging Express, trading as digiDirect, has paid $99,000 in penalties after the Australian Competition and Consumer Commission issued five infringement notices over allegedly misleading prices attached to Logitech and photographic products.

The latest action comes as questions continue to surround the digiDirect Group’s controversial acquisition of Mwave immediately before the technology retailer’s former owner collapsed owing creditors more than $18 million.

Digi Direct CEO Shant Kradjian has not commented on the practises of the business after a second major ACCC penalty.

Mwave’s business and assets were sold to digiDirect Group one day before its former parent, Esel Pty Ltd, entered voluntary administration in June 2025.

The timing and structure of the transaction raised concerns among technology distributors, with Dicker Data seeking the appointment of replacement administrators to investigate the circumstances surrounding the sale.

Documents presented to creditors indicated the broader transaction was valued at more than $1 million, including employee entitlements, although a cash component of about $500,000 was separately reported.

While digiDirect obtained the Mwave brand, customer database, software, plant, equipment and operating business, Esel’s creditors were left pursuing more than $18 million.

They included some of Australia’s largest technology distributors. Leader Computers was reportedly owed $3.6 million, Dicker Data $3.36 million, Ingram Micro $1.6 million, MMT more than $800,000 and Tech Data more than $500,000.

There were also concerns over outstanding employee superannuation.

Administrators told creditors they would investigate the pre-administration sale. No finding has been made that digiDirect acted unlawfully in acquiring the business, but the timing, price and impact on creditors triggered significant industry scrutiny.

Now digiDirect itself has been caught misleading consumers for the second time.

According to the ACCC, the retailer advertised products at discounted prices beside higher, struck-through prices and used claims such as “Price Slashed”, despite the products rarely being advertised and almost never being sold at the claimed higher price.

In a court-enforceable undertaking, digiDirect admitted its discount claims were misleading and breached the Australian Consumer Law.

One Logitech MX Mechanical Mini wireless keyboard was advertised for $149 against a crossed-out price of $229. Other affected products included a camera, a camera-and-lens package and a Bluetooth camera remote.

“digiDirect’s advertising may have misled consumers into thinking they were getting a genuine discount when in reality the products were rarely advertised and almost never sold at the higher strikethrough price, and the suggested discount was illusory,” ACCC deputy chair Mick Keogh said.

The pricing was uncovered during an ACCC sweep of promotional claims made by retailers during Black Friday sales.

“Misleading discount and savings claims can influence consumers to buy from a particular retailer because they are misled into believing they are getting a good deal, rather than shopping around to find a genuine discount or the best available price,” Keogh said.

This is not digiDirect’s first encounter with the regulator.

In June 2021, the retailer paid $39,240 after receiving three ACCC infringement notices over misleading claims that sales applied “storewide”.

The two enforcement actions have now cost digiDirect $138,240 in penalties.

Under its latest court-enforceable undertaking, digiDirect has agreed to stop making misleading struck-through discount claims and establish a consumer law compliance program.

The retailer operates an online store and seven physical outlets across New South Wales, Victoria, Queensland and Western Australia. It forms part of the rapidly expanding digiDirect Group controlled by founder and chief executive Shant Kradjian.

The group acquired the assets of failed online bookseller Booktopia in August 2024, library supplier James Bennett in May 2025 and Mwave the following month.