Apple has agreed to pay a penalty of more than $2m to settle a complaint over its branding and selling of the 4G iPad in Australia.

The Australian Competition and Consumer Commission claimed that Apple's branding of one model of its third-gen iPad as 'WiFi + 4G' was misleading, since the device is unable to access local 4G networks in Australia. Apple has since renamed this model as 'iPad WiFi + Cellular'.

In Australia, Apple offered refunds to anyone who thought they had been misled by the iPad’s 4G capabilities, but the company then argued that it had never marketed the device as being compatible with Australia's networks.

According to The Australian, Apple has agreed a settlement under which it will pay a penalty of $2.25m. The judge has yet to approve this settlement, however.

New third generation iPad

Australian Apple fans aren't the only ones to complain about the 4G branding on the latest iPad models. The UK is well behind many other developed nations in terms of 4G implementation. In March, Apple changed the small print on its UK store web page, admitting that 4G is only available in the US and Canada.

In May, Apple faced further accusations that its adverts for the new iPad’s 4G capabilities in the UK were misleading. The Advertising Standards Authority (ASA) reportedly received several dozen complaints about the new iPad’s 4G capabilities, which are currently redundant in the UK, and wasn't satisfied that Apple had complied with an agreement to amend claims about the tablet's 4G feature on its website.

See also:

Apple renames new iPad, scrapping '4G' in favour of 'Cellular'

Apple faces further accusations over 4G iPad in UK