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26 ice makers who fixed prices face hefty fines (HL) [New Straits Time (Malaysia)](New Straits Time (Malaysia) Via Acquire Media NewsEdge) KUALA LUMPUR: Twenty six ice manufacturers face fines amounting to RM283,600 after they were found to have infringed the Competition Act by fixing the prices of edible tube and block ice. The Malaysia Competition Commission (MyCC) said each ice maker faced a penalty ranging from RM1,200 to RM106,000. MyCC chief executive officer Shila Dorai Raj said yesterday restriction of competition was obvious in price-fixing cases. Shila said ice manufacturers ad infringed on Section 4(2)(a) of the Competition Act by entering into an agreement to fix, either directly or indirectly, the selling price of edible tube ice and block ice in Kuala Lumpur, Selangor and Putrajaya. "An agreement such as this, where there are different sizes of enterprises, allows the parties to increase prices across the board by a standard amount and to maximise profitability without any competition." Shila said a proposed decision has been issued to all ice manufacturers, which set out the assessments MyCC has made on the case and the proposed financial penalties to be imposed upon them. The ice manufacturers have 30 days to submit a written representation or indicate as to whether they wished to make oral representations to MyCC. The ice manufacturers had, on Dec 24 last year, announced their plan to increase the price of edible tube ice by 50 sen per bag. The manufacturers also announced their plans to increase the price of block ice by RM2.50 per big block starting from Jan 1. Established in June 2011, MyCC is an independent body responsible for enforcing the Competition Act 2010, which was implemented to promote healthy competition. This would, in turn, stimulate productivity and innovation, creating wider choices of products for consumers with better quality and reasonable prices. (c) 2014 ProQuest Information and Learning Company; All Rights Reserved. |