Competition Commission v Glass South Africa (Pty) Ltd (017293) [2013] ZACT 80 (24 July 2013)

Competition Commission v Glass South Africa (Pty) Ltd (017293) [2013] ZACT 80 (24 July 2013)

The Tribunal found that Glass South Africa (Pty) Ltd admitted to contravening sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division agreements with other glass wholesalers between 1993 and 2007. The parties reached a consent agreement in which Glass SA undertook to cease such conduct, implement a compliance programme, cooperate with the Commission, and pay an administrative penalty of R4,395,023.02, representing 3% of its affected turnover for the financial year ending 31 December 2011. The Tribunal confirmed the settlement agreement, including the addendum requiring Glass SA to submit its compliance programme to the Commission within thirty...

Citation
[2013] ZACT 80
Parties
Applicant: Competition Commission; Respondent: Glass South Africa (Pty) Ltd
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
24 July 2013
Case Number
017293
Procedural Posture
Consent Order Application / Order Confirming Settlement Agreement
Outcome
Consent agreement confirmed as an order of the Tribunal. Administrative penalty imposed.
Judges
A Wessels, M Mazwai, A Roskam
Legal Topics
Price Fixing, Market Division, Administrative Penalty, Consent Agreement, Corporate Leniency Policy
Competition Law Price Fixing Market Division Administrative Penalty Consent Agreement Corporate Leniency Policy

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Parties

Competition Commission

Applicant

Glass South Africa (Pty) Ltd

Respondent

Procedural Posture

Consent Order Application / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Whether Glass South Africa (Pty) Ltd contravened sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division agreements.
  2. 2 Whether the settlement agreement between the Competition Commission and Glass South Africa (Pty) Ltd should be confirmed as an order of the Tribunal.
  3. 3 What administrative penalty is appropriate for the admitted contraventions.

Ratio Decidendi

The Tribunal found that Glass South Africa (Pty) Ltd admitted to contravening sections 4(1)(b)(i) and (ii) of the Competition Act by engaging in price fixing and market division agreements with other glass wholesalers between 1993 and 2007. The parties reached a consent agreement in which Glass SA undertook to cease such conduct, implement a compliance programme, cooperate with the Commission, and pay an administrative penalty of R4,395,023.02, representing 3% of its affected turnover for the financial year ending 31 December 2011. The Tribunal confirmed the settlement agreement, including the addendum requiring Glass SA to submit its compliance programme to the Commission within thirty...

Court Disposition

Consent agreement confirmed as an order of the Tribunal. Administrative penalty imposed.

Orders

  • The settlement agreement between the Competition Commission and Glass South Africa (Pty) Ltd, including Addendum A, is confirmed as an order of the Tribunal.
  • Glass South Africa (Pty) Ltd shall pay an administrative penalty of R4,395,023.02 within six months of confirmation, with 50% payable within three months and the remainder within six months.