Online retailer Kogan is being sued by the Australian Competition and Consumer Commission over promoting fake discounts.

The ACCC says the retailer mislead customers by offering a 10 per cent discount to products whose prices were increased before the sale and then discounted afterwards.

Kogan has denied these allegations.

ACCC Commissioner Sarah Court tells Ross Greenwood they have a message for businesses who face millions of dollars in fines if they attempt to mislead consumers.

“If you too choose to engage in this kind of conduct… then the ACCC will come knocking on you too.”

Click PLAY to hear the full interview