Australia: ACCC says too many cartels in Australia

There is too much cartel behaviour in Australia, the competition watchdog says, adding it will continue to advocate for “commercially relevant” penalties for misbehaving companies.

And fresh from launching its first criminal cartel case, the Australian Competition and Consumer Commission said it had 10 to 12 criminal investigations underway and it was aiming for a “steady stream of one to two criminal cases per year”.

“Hopefully this will send a clearer signal on cartel conduct,” ACCC chairman Rod Sims said in a speech in Sydney on Friday.

“There is too much of it occurring in Australia today to the considerable detriment of the Australian economy.” Cartel conduct was made a criminal act in 2009.

The Director of Public Prosecutions laid charges against Japan-based shipping firm Nippon Yusen Kabushiki Kaisha (NYK) last month. Penalties are to come.

Mr Sims said the ACCC would “continue to advocate for increased penalties so obligations under the [Competition and Consumer] Act are front of mind for Australian businesses.”

“Penalties must be commercially relevant: they must be high enough for businesses not to see them as merely an acceptable risk of doing business.

Full Content: The Sidney Morning Herald

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