Page 44 - COMPETITION LAW_Flip

44
CARTELS

As Alcoa had not generated any revenues from the business affected by the
cartel in the year before the case began, Burnier held that it should be fined the maximum amount
allowed by Law No. 8,884/94, or 6 million UFIR. He proposed reducing the fines against Canguru
Embalagens and Santa Rosa by half because they were in court-supervised reorganization. He
also voted to fine Abraflex 2.5 million UFIR.
The Reporting Commissioner maintained his opinion, which was followed
by Commissioner Cristiane Alkmin. All of the issues raised in Maia’s opinion were outvoted.
President Alexandre Barreto joined Burnier’s opinion on the fines, using his casting vote to break
the tie. The Respondents were therefore fined in accordance with Commssioner Burnier’s opinion.

Fuel’s Cartel in Minas Gerais:
first Cease and Desist Agreement with a distribution company

In November, CADE’s Tribunal approved the first Cease and Desist Agreement
(TCC in its acronym in Portuguese) with a fuel distribution company, AleSat, in a cartel case. It
involved an investigation concerning an alleged collusion in the Minas Gerais state .
22
The fuel retail sector is the most problematic market in Brazil in terms
of cartel matters. For years, many companies and individuals were prosecuted and fined by
CADE for collusion. However, CADE has never found enough evidence to convict a fuel
distribution corporation. Only gas station companies were investigated and convicted by
the Brazilian antitrust authority.
The authorities found evidences that anticompetitive practices such as
cartel and resale price maintenance took place in the
fuel distribution and retail market in Minas Gerais THE AUTHORITIES
between 2006 and 2008. A number of retail firms and FOUND EVIDENCES THAT
individuals, as well as a trade union and the four biggest ANTICOMPETITIVE PRACTICES
fuel distributors of the country (Petrobras Distribuidora, SUCH AS CARTEL AND
Ipiranga, Shell and AleSat), are investigated. RESALE PRICE MAINTENANCE
Besides AleSat (the only distributor TOOK PLACE IN THE FUEL
which concluded an agreement), at least five more DISTRIBUTION AND RETAIL
TCCs with retail companies, individuals and the trade MARKET IN MINAS GERAIS
union were approved by CADE in the case. BETWEEN 2006 AND 2008.
AleSat recognized its participation A NUMBER OF RETAIL FIRMS
in anticompetitive conducts and agreed to pay a BRL 50 AND INDIVIDUALS, AS WELL
million monetary contribution. AS A TRADE UNION AND
THE FOUR BIGGEST FUEL
DISTRIBUTORS OF THE
COUNTRY (PETROBRAS
DISTRIBUIDORA, IPIRANGA,
22 See Administrative Proceeding SHELL AND ALESAT), ARE
No. 08700.010769/2014-64. INVESTIGATED.