A PHOTO processing company accused of misleading the public could face thousands of pounds in fines after the case was yesterday handed over to the Crown Court for sentencing.

Magistrates in North Yorkshire said their powers were insufficient to deal with the severity of the case brought against Harrier LLC, which distributes film processing envelopes under the name Truprint.

The company, which last year made £5.8m profit, was charged on three counts of misleading the consumer with prices printed on the envelopes by North Yorkshire Trading Standards and a further two by Warwickshire Trading Standards.

The mail order company had printed envelopes that appeared to offer film processing at 49p and only in very small print did it state that other films had to be processed at full price in order to take part in the promotion.

Richmond Magistrates' Ccourt heard that it also made unfair price comparisons on a number of its envelopes comparing "bargain" prices to more expensive prices that were available more than six months ago.

Harrier LLC, represented by Nicholas Haggan QC, yesterday pleaded guilty to the charges.

Mr Haggan described the company as careful and honest and said it would not like to see its reputation damaged in any way.

He added that it was in no way advantageous for Harrier LLC to mislead its customers as more than 70 per cent of its profits came from those who repeatedly use the service and were therefore satisfied with it.

The magistrates decided that the case should be sent to Teesside Crown Court for sentencing, believing their own powers to fine the company a maximum of £25,000 insufficient.

A date for sentencing will be set soon.