LETTER: Who will stand up now?
The criminalisation provisions against cartels run the risk of turning the Competition Commission itself into a toothless watchdog
THE implementation of legislative provisions that criminalise cartel conduct could have several unintended consequences (NPA ’toothless’ in tackling cartels). For one thing, the criminalisation provisions run the risk of turning the Competition Commission itself into a toothless watchdog. In the past, companies have come forward to the competition authorities with information in exchange for leniency. There is now a major disincentive for them to continue doing that because individuals will carry the can for whatever information is offered up. Any firm that applies for leniency now exposes its directors and managers to criminal charges for cartel conduct, with the prospect of 10 years behind bars. The upshot is that cartel activity is likely to be driven further underground. Michael Cardo, MPDA spokesman on economic development
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