ALTHOUGH business executives can now be charged for engaging in cartels‚ they are likely to walk away from a criminal trial with just a slap on the wrist.This is because a provision of the Competition Act‚ stating that a person guilty of an offence under competition laws may be fined up to R500,000 or imprisoned for up to 10 years‚ has not yet come into effect.This is according to competition lawyer Martin Versfeld‚ who was speaking at a seminar on the amendments to the Competition Act in Sandton‚ Johannesburg on Tuesday.As of May 1 2016‚ directors and managers of businesses can be held criminally liable for a company’s collusive behaviour‚ but the hefty penalties cannot yet be imposed.This effectively means that executives found guilty under competition laws may only be fined up to R2,000 or spend a maximum of six months in prison‚ Versfeld said.Under the new law‚ a person commits an offence by engaging in price-fixing‚ collusive tendering or agreeing with other companies to alloca...
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.