Competition News June 2018

MEDIA COMPANIES PROSECUTED FOR COLLUSSION COMPETITION NEWS EDITION 61 | JUNE 2018

competition commission south africa

IN THIS ISSUE

09 COFFEE SUPPLIER FINED FOR FIXING PRICE OF COFFEE CAPSULES

17 CCSA APPROVAL OF NYK, MOL AND KI SHIPPING JV MERGER

A t least six media companies out of 30 that were implicated in a media advertising cartel have agreed to pay penalties amounting to millions of Rands after they admitted to charges of collusion and cartel conduct. In February this year, the Commission referred to the Competition Tribunal for prosecution twenty-eight (28) media companies on charges of price fixing and the fixing of trading conditions, in contravention of contravening section 4(1) (b)(i) of the Competition Act.

The Commission investigation found that 30 (thirty) media companies, through the Media Credit Co-Ordinators (MCC), had agreed to offer similar discounts and payment terms to advertising agencies that place advertisements with MCC members. The investigation also found that: • MCC accredited agencies were offered a 16.5% discount for payments made within 45 days of the statement date, while non-members were offered 15%;

32 WE NEED TO EMBRACE AN EVER-EVOLVING DIGITAL ECONOMY

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