Cartels

Cryosite to pay $1.05m for ‘gun jumping’ cartel conduct

The Federal Court has ordered Cryosite Limited to pay $1.05 million in penalties for engaging in cartel conduct in its asset sale agreement with Cell Care Australia Pty Ltd.

The Court held, by consent, that Cryosite engaged in cartel conduct when it signed an agreement in June 2017 to sell the assets of its private cord blood and tissue banking business to Cell Care with a clause requiring Cryosite to refer all customer enquiries to Cell Care before the sale was completed, and when it subsequently gave effect to that provision.

Criminal cartel charges laid against CFMMEU and its ACT branch secretary

Criminal charges have been laid against the Construction, Forestry, Maritime, Mining and Energy Union (CFMMEU) and its ACT Divisional Branch Secretary, Jason O’Mara, in relation to alleged cartel conduct.  

“The CFMMEU and Mr O’Mara are each charged with attempting to induce suppliers of steelfixing services and scaffolding services to reach cartel contracts, arrangements or understandings containing cartel provisions in relation to services provided to builders in the ACT in 2012 to 2013,” ACCC Chair Rod Sims said.

High Court refuses leave for electrical cable cartel appeal

The High Court has dismissed a special leave application by electrical cable manufacturer Prysmian Cavi E Sistemi S.R.L. (Prysmian), following a decision of the Full Federal Court that upheld the trial judge’s finding that the company had engaged in cartel conduct in the supply of high voltage land cables.

Prysmian is a major international cable manufacturer supplying the energy and telecommunications sectors.

The company had sought special leave to appeal against a decision handed down by the Full Federal Court in March 2018.

ACCC institutes proceedings against Cryosite for alleged cartel conduct

The ACCC has instituted proceedings in the Federal Court against Cryosite Limited for alleged cartel conduct in relation to its entry into an asset sale agreement with Cell Care Australia Pty Ltd (Cell Care).

In June 2017 Cryosite signed an agreement to sell its assets in its cord blood and tissue banking business to Cell Care. On signing the agreement, Cell Care made an upfront, non-refundable payment of $500,000 to Cryosite.

Air NZ penalised $15 million for price fixing

The Federal Court has ordered Air New Zealand (Air NZ) to pay $15 million in penalties after legal action by the ACCC against a global air cargo cartel.

The Court found Air NZ made and gave effect to agreements with other airlines to fix the price of fuel and insurance surcharges on air freight services from Hong Kong, and insurance and security charges from Singapore, to various locations, including Australian airports, between 2002 and 2007.

Criminal cartel charges laid against ANZ, Citigroup and Deutsche Bank

Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank Aktiengesellschaft (Deutsche Bank) and Australia and New Zealand Banking Group Ltd (ANZ) have been charged with criminal cartel offences following an investigation by the ACCC.

Criminal charges have also been laid against several senior executives: John McLean, Itay Tuchman and Stephen Roberts of Citigroup; Michael Ormaechea and Michael Richardson formerly of Deutsche Bank; and Rick Moscati of ANZ.  

Update: Criminal cartel charges to be laid against Citigroup

Further to its earlier statements regarding criminal cartel charges expected to be laid by the Commonwealth Director of Public Prosecutions (CDPP) against ANZ, its Group Treasurer Rick Moscati, and Deutsche Bank, the ACCC can confirm that Citigroup Global Markets Australia Pty Limited is the other company against which charges are expected to be laid, along with a number of individuals.

The expected charges follow an extensive ACCC criminal cartel investigation.

The ACCC will not make any further comment until charges are laid. 

Update: Criminal cartel charges to be laid against Deutsche Bank

Further to its earlier statement regarding criminal cartel charges expected to be laid by the Commonwealth Director of Public Prosecutions (CDPP) against ANZ and its Group Treasurer Rick Moscati, the ACCC can confirm that Deutsche Bank AG is one of the two other companies against which charges are expected to be laid, along with a number of individuals.

The expected charges follow an extensive ACCC criminal cartel investigation.

The ACCC will not make any further comment until charges are laid.