ACCC succeeds in price-fixing and resale price maintenance prosecutions

The ACCC has been successful in 2 recent prosecutions:

In Australian Competition & Consumer Commission v Australian Abalone Pty Ltd [2007] FCA 1834 penalties totalling $927,500 were imposed on individuals and companies involved in a Victorian abalone cartel.

The ACCC alleged that under the arrangement the parties would not supply a processor customer unless that processor paid a premium on top of an average 'beach' price (market price) and was a processor nominated by Australian Abalone Pty Ltd, a corporate vehicle created to market the catch by the quota holder and others.

Justice Weinberg of the Federal Court in Melbourne found, that the conduct contravened the primary boycott and price fixing provisions of the Act ( ss 45(2)(a)(i) and (ii) and 45(2)(b)(i) and (ii) of the Trade Practices Act 1974) and the Victorian Competition Code.

In ACCC v TEAC the Federal Court of Australia imposed penalties totalling $190,000 on TEAC Australia Pty Ltd and its National Sales Manager, Mr Warren Allison, for engaging in resale price maintenance in contravention of section 48 of the Trade Practices Act in relation to conduct that sought to stop an independent retailer of electronic products from advertising prices below the 'go price' specified by TEAC. (ACCC Media Release).