South Africa: Competition Commission refers 18 fire protection companies for collusion

The Commission has referred to the Competition Tribunal (Tribunal) for prosecution 18 fire protection companies for collusion.

These companies are Automatic Sprinkler Inspection Bureau (Pty) Ltd, Belfa Solutions (Pty) Ltd, Bhubesi Fire Projects (Pty) Ltd, Centa KZN Sprinklers Cc, National Security (Pty) Ltd, Country Contracts Cc, Cross Fire Management (Pty) Ltd, Fire Check Cc, Fire King Cc, Fireco (Pty) Ltd, IBR Fire Protection Cc, Jasco Fire Solutions (Pty) Ltd, Multi-Net Systems (Pty) Ltd, Specifire (Pty) Ltd, Sylvester Fire & Piping Services Cc, TFMC (Pty) Ltd, Tshwane Fire Sprinklers Cc and Whip Fire Projects (Pty) Ltd.

These companies allegedly reached an agreement around 1995 in terms of which ASIB would exclusively render fire sprinkler inspection services while the rest of the companies would exclusively provide fire sprinkler installation services. They further agreed that each company would provide their services only in provinces where they are based. This conduct amounts to division of markets by allocating specific type of services and territories which contravenes section 4(1)(b)(ii) of the Competition Act.

Full Content: Competition Commission

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