Criminal prosecutions for price-fixing under Donald Trump have remained at historic lows for a third consecutive year, a drop-off in enforcement against big business cartels not seen since the 1970s, reported The Financial Times.
The Department of Justice announced 25 new cases alleging criminal violations of US antitrust laws in fiscal year 2019, according to a tally of public filings by the Financial Times.
The figure, an improvement on 2018, meant the Trump administration has brought fewer criminal antitrust prosecutions than any US government for almost half a century.
The persistent slowdown has come despite assurances from Makan Delrahim, chief of the antitrust division since 2017, that he is committed to criminally prosecuting price-fixing and cartels, a realm of competition law that has historically had bipartisan support.
“Criminal enforcement can be resource intensive, but it is one of our most powerful deterrents,” he told the Senate in September, noting that crimes like price-fixing “reduce faith in the free-market system”.
Criminal fines for antitrust violations have also dropped off dramatically over the past three years. In 2019, the division levied penalties of $300m, according to the FT’s analysis, an improvement on its previous figures but otherwise the lowest total since 2004.
“At a time of almost unprecedented corporate consolidation, it’s troubling that the number of antitrust prosecutions pursued by the justice department remain at record low levels,” said David Cicilline, the Democratic chair of the House antitrust subcommittee.
Featured News
Judge Mehta Questions Both Sides in Landmark Google Antitrust Case
May 2, 2024 by
CPI
FCC Urges Urgent Funding for Removal of Chinese Telecom Equipment from U.S. Networks
May 2, 2024 by
CPI
Former Pioneer CEO Facing Potential Criminal Charges For Colluding With OPEC
May 2, 2024 by
CPI
South Korea’s Antitrust Regulator Greenlights K-Pop Powerhouse Deal
May 2, 2024 by
CPI
Exxon’s Pioneer Purchase Approved, Former CEO Barred from Board
May 2, 2024 by
CPI
Antitrust Mix by CPI
Antitrust Chronicle® – Economics of Criminal Antitrust
Apr 19, 2024 by
CPI
Navigating Economic Expert Work in Criminal Antitrust Litigation
Apr 19, 2024 by
CPI
The Increased Importance of Economics in Cartel Cases
Apr 19, 2024 by
CPI
A Law and Economics Analysis of the Antitrust Treatment of Physician Collective Price Agreements
Apr 19, 2024 by
CPI
Information Exchange In Criminal Antitrust Cases: How Economic Testimony Can Tip The Scales
Apr 19, 2024 by
CPI