The Australian Competition and Consumer Commission today instituted proceedings against five Sydney anaesthetists and the Australian Society of Anaesthetists alleging price-fixing in relation to after-hours anaesthetic services at three Sydney metropolitan hospitals and a threatened boycott of those services at one of the hospitals.

The ACCC has alleged that Dr Maxwell Lyon, Dr Alan Stern, Dr Phillip Tong, through their medical practice companies, arrived at agreements with other anaesthetists to charge a $25 per hour on call services fee. Dr Paul Ferris is alleged to have been knowingly concerned in the making of agreements.

It is alleged that the ASA and its NSW Section Chairman Dr Alec Harris, were knowingly concerned in, or party to, one or more of the agreements.

It is alleged that the price-fixing agreements were made for services to be supplied to St George Private Hospital, Kareena Private Hospital and Greenoaks Private Hospital (now Bankstown Private Hospital). The ACCC alleged that a threat of boycott was made against St George Private Hospital.

The ACCC alleges that the conduct arose out of a series of meetings of the departments of anaesthetists at St George, Kareena and Greenoaks between November 1995 and April 1996.

In late 1994 the ASA (NSW section) had formed a sub-committee to formulate guidelines for the conduct of after hours anaesthetics services in private hospitals. A report of this sub-committee was circulated to members in 1995. The report recommended that the ASA 'recommend and set an appropriate on call fee to be paid by private hospitals to anaesthetists' and that this fee should be $25 an hour.

It is alleged various anaesthetists collectively agreed to adopt the ASA sub-committee report and therefore to charge private hospitals $25 per hour for being on call to provide anaesthetic services.

A directions hearing has been set down for 10 November 1997 in the Federal Court, Sydney.

For further information about this media release: Professor Allan Fels, Chairman (03) 9290 1812 Ms Lin Enright, Director, Public Relations (06) 264 2808