Bread company won’t contest price fixing charges
A company that confessed to being part of a massive bread price fixing scandal said it would not contest...
A company that confessed to being part of a massive bread price fixing scandal said it would not contest the charges laid against it.<?xml:namespace prefix="o" ns="urn:schemas-microsoft-com:office:office"?>
Foodcorp had admitted it was part of the collusion cartel, which had been operating for several years.
It emphasised it would co-operate fully with the Competition Commission in its investigation into price fixing.
The company, which produces around 6% of <?xml:namespace prefix="st1" ns="urn:schemas-microsoft-com:office:smarttags"?><country-region w:st="on"><place w:st="on">South Africa</country-region>’s bread, also agreed to pay a penalty of more R40m.
Foodcorp said following an internal investigation, it would not contest the charges against it adding it had implemented corrective measures.
Premier foods, which was also part of the cartel, was granted immunity through its co-operation, while Tiger Brands paid a fine of over R90m after admitting guilt.
Trade union FAWU said while the three companies’ actions were deplorable, it praised them for at least co-operating with authorities.