Samsung has relented to anger over its plastic bag-and-tape fix for faulty washing machines, explicitly offering a replacement or refund to 70,000 customers unhappy with the controversial repair.
The electronics giant is also offering a new unit or refund to customers who have purchased one of the nearly 4000 machines treated with the quick fix prior to sale.
Since it issued a national recall in April 2013 for six top loader models with a waterproofing fault that could spark house fires, the company has been telling customers the machines only needed a "simple modification".
The multinational business, with a market value of $191 billion, has now backed down, following 23 post-fix incidents, including one fire, and clarification of consumer rights in the case of a "major safety failure" from regulators.
"Samsung stands by the re-work process and solution. But this decision has been made ... to allay any concerns customers may have related to the re-work," a spokesman said.
Only half of the 145,000 affected units have been remedied, triggering consumer group Choice to slam the recall as a "failure".
Of those remedied, more than 90 per cent have been treated with a NSW Fair Trading-approved plastic bag-and-tape fix. The rest have been exchanged or refunded.
Consumers and electrical experts have long labelled the fix as cheap, dodgy and dangerous. Fairfax Media has seen evidence of incorrectly adhered bags.
The Australian Competition and Consumer Commission is investigating reports Samsung was only offering the re-work option to customers, and refusing a replacement or refund.
Delia Rickard, deputy chair of the ACCC, said under Australian Consumer Law, customers had the right to choose the remedy.
"The recalled Samsung washing machines fail to comply with the consumer guarantee of acceptable quality, as they have a major safety failure," she said.
"In these circumstances, the consumers have a choice of remedy which is not overtaken by the electrical safety recall."
The NSW minister responsible for Fair Trading, Victor Dominello, who elevated the recall to a mandatory one in July, backed the ACCC's definitive guidance.
Fair Trading Commissioner Rod Stowe said the agency would continue monitoring the recall and holding Samsung accountable while ensuring consumer protections are enforced.
But affected customer Tarnya Allen, from Seven Hills, wants the regulators to take things further, demanding Samsung be stopped from offering the plastic bag-and-tape fix.
In a letter of complaint to the ACCC, Ms Allen, a founder of a 2000-member Facebook support group, demanded Fair Trading be forced to revoke its approval of the fix.
She demanded a copy of the expert report that led to NSW Fair Trading's approval.
She said a forensic electrical fire expert, who assessed machines for insurance companies, described the fix as problematic because the bag and tape were not designed to last for the expected lifetime of the machine.
The expert, who asked not to be named, also told her some machines had already been damaged by years of use, and that simply fitting a bag over corroded connectors did not eliminate the waterproofing fault.
"We request that you remove approval for the plastic bag remedy and compel Samsung to refund all machines that have already been repaired," she wrote.
A Fair Trading spokeswoman did not directly answer whether the agency was standing by its approval of the plastic bag-and-tape fix, but said its decision was based on the fact electrical safety approval body SAA deemed it met the requirements of the Australian Standard.
"Samsung is the owner of the report of testing and approval of the rework undertaken by SAA. The request needs to be made to Samsung," she said.
Samsung has told Fairfax Media it will soon publicly release the report.
There has been at least one washing machine incident each week on average nationally, such as overheating, smoking and fires, since the first recall.
One of the 77 washing machine fires occurred in Emma and Craig Jordan's home in Terranora in January and destroyed 80 per cent of their possessions.
Last month they won a David-and-Goliath battle, with the NSW Civil and Administrative Tribunal ordering Samsung to pay the family $36,396 in damages.
The latest incident occurred at a New Lambton home in August, according to Fire and Rescue NSW.
"The back of the house was well alight when firefighters arrived and they contained it to that area. The back of the house was destroyed and there was heat and smoke damage to the remainder of the home," a spokeswoman said.
Consumers concerned about their machine should call Samsung's Product Safety Hotline on 1800 239 655 or visit the company's website. The affected models are SW75V9WIP/XSA SW65V9WIP/XSA SW70SPWIP/XSA SW80SPWIP/XSA WA85GWGIP/XSA WA85GWWIP/XSA.
