Competition Commission v H & M Removals CC (CO069Jul15) [2015] ZACT 121; [2015] 2 CPLR 403 (CT) (16 September 2015)

Competition Commission v H & M Removals CC (CO069Jul15) [2015] ZACT 121; [2015] 2 CPLR 403 (CT) (16 September 2015)

The Tribunal found that H & M Removals CC admitted to engaging in collusive tendering through cover pricing on at least nine occasions, in contravention of section 4(1)(b)(iii) of the Competition Act. The respondent agreed to cooperate with the Commission, implement a compliance programme, and pay an administrative penalty representing 4% of its relevant turnover. The Tribunal confirmed the consent agreement as an order, finding that the penalty and undertakings were appropriate and in line with statutory requirements. The order concludes all proceedings between the Commission and H & M Removals CC regarding the specified conduct.

Citation
[2015] ZACT 121
Parties
Applicant: The Competition Commission; Respondent: H & M Removals CC
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
16 September 2015
Case Number
CO069Jul15
Procedural Posture
Consent Order / Confirmation of Consent Agreement
Outcome
Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; proceedings between the Commission and H & M Removals CC in respect of the specified conduct are concluded.
Judges
M Mazwai, A Roskam, A Ndoni
Legal Topics
Collusive Tendering, Administrative Penalty, Section 4 1 B Iii, Consent Agreement, Compliance Programme

Case Brief

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Parties

The Competition Commission

Applicant

H & M Removals CC

Respondent

Procedural Posture

Consent Order / Confirmation of Consent Agreement

  1. 1 Whether H & M Removals CC engaged in collusive tendering in contravention of section 4(1)(b)(iii) of the Competition Act.
  2. 2 Whether the consent agreement should be confirmed as an order of the Tribunal.
  3. 3 Whether an administrative penalty is appropriate and properly calculated.

Ratio Decidendi

The Tribunal found that H & M Removals CC admitted to engaging in collusive tendering through cover pricing on at least nine occasions, in contravention of section 4(1)(b)(iii) of the Competition Act. The respondent agreed to cooperate with the Commission, implement a compliance programme, and pay an administrative penalty representing 4% of its relevant turnover. The Tribunal confirmed the consent agreement as an order, finding that the penalty and undertakings were appropriate and in line with statutory requirements. The order concludes all proceedings between the Commission and H & M Removals CC regarding the specified conduct.

Court Disposition

Consent agreement confirmed as an order of the Tribunal; administrative penalty imposed; proceedings between the Commission and H & M Removals CC in respect of the specified conduct are concluded.

Orders

  • The consent agreement between the Competition Commission and H & M Removals CC is confirmed as an order of the Tribunal.
  • H & M Removals CC shall pay an administrative penalty of R196,364.15 to the Commission within thirty (30) days.