Australian Competition & Consumer Commission v Renegade Gas Pty Ltd (trading as Supagas NSW) [2014] FCA 1135

Australian Competition & Consumer Commission v Renegade Gas Pty Ltd (trading as Supagas NSW) [2014] FCA 1135

Renegade Gas Pty Ltd and Speed-E-Gas (NSW) Pty Ltd entered into and gave effect to cartel arrangements for the supply of forklift gas in Sydney in contravention of ss 45(2)(b)(i) and 44ZZRK of the Competition and Consumer Act 2010 (Cth), by agreeing not to approach each other's customers and allocating the market between themselves, thereby restricting competition. The individual respondents were knowingly concerned in and parties to the respective contraventions by directing, instructing, or implementing the contravening conduct. Significant pecuniary penalties, injunctions, compliance, and other orders were warranted to reflect the seriousness, market impact, and need for deterrence.

Jurisdiction
Australia
Judgment Date
24 October 2014
Procedural Posture
Civil Penalty Proceeding / Final Judgment and Orders After Admissions and Hearing on Penalty
Outcome
Declarations made; pecuniary penalties imposed; injunctions and compliance measures ordered against all respondents; disqualification order as to Berman; costs orders and payment terms as set out; proceedings otherwise dismissed.
Legal Topics
['cartel Conduct' 'price Fixing' 'market Allocation' 'penalty Proceedings' 'declarations' 'injunctions']
['competition Law' 'consumer Law'] ['cartel Conduct' 'price Fixing' 'market Allocation' 'penalty Proceedings' 'declarations' 'injunctions']

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Procedural Posture

Civil Penalty Proceeding / Final Judgment and Orders After Admissions and Hearing on Penalty

Legal Issues

  1. 1 ['Whether Renegade Gas Pty Ltd and Speed-E-Gas (NSW) Pty Ltd contravened the Competition and Consumer Act 2010 (Cth) by entering into and giving effect to a price fixing and customer allocation cartel arrangement for the supply of forklift LPG gas in Sydney;' 'Whether the individual respondents were knowingly concerned in or party to the cartel conduct;' 'Appropriate relief including declarations, pecuniary penalties, injunctions, disqualification and compliance measures.']

Ratio Decidendi

Renegade Gas Pty Ltd and Speed-E-Gas (NSW) Pty Ltd entered into and gave effect to cartel arrangements for the supply of forklift gas in Sydney in contravention of ss 45(2)(b)(i) and 44ZZRK of the Competition and Consumer Act 2010 (Cth), by agreeing not to approach each other's customers and allocating the market between themselves, thereby restricting competition. The individual respondents were knowingly concerned in and parties to the respective contraventions by directing, instructing, or implementing the contravening conduct. Significant pecuniary penalties, injunctions, compliance, and other orders were warranted to reflect the seriousness, market impact, and need for deterrence.

Court Disposition

Declarations made; pecuniary penalties imposed; injunctions and compliance measures ordered against all respondents; disqualification order as to Berman; costs orders and payment terms as set out; proceedings otherwise dismissed.

Orders

  • ['Renegade Gas Pty Ltd to pay pecuniary penalty of $4,800,000 and costs contribution of $400,000 (total $5,200,000) to the Commonwealth in instalments over 52 months.' 'Speed-E-Gas (NSW) Pty Ltd to pay pecuniary penalty of $3,100,000 and costs contribution of $75,000 (total $3,175,000) within 30 days.' 'Berman to...