PRICE-FIXING CHARGES
ANN CROTTY: Criminal penalty not on table in forex case
Contraventions by banks and individual traders predate the introduction of criminal sanction in the Competition Act
The banks and individual traders identified in the Competition Commission’s referral to the Competition Tribunal do not face the prospect of criminal sanction by the competition authorities even if found guilty of price-fixing and market manipulation in the foreign exchange market. The Competition Act was amended with effect from May 2016 to provide for criminal sanctions to be imposed on individuals for certain competition law contraventions such as those identified in the commission’s referral. However, the contraventions identified by the commission took place between 2007 and 2013, predating the introduction of criminal sanction. Because it cannot pursue criminal sanction, the commission is expected to push hard for the maximum possible fine.One competition lawyer said it was not surprising that Absa and Barclays (as well as Citigroup) had struck a deal with the commission. In May 2015 Barclays was one of the banks that settled with the US department of justice in a related case...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.