SINGAPOREAN company, APRIL Fine Paper Trading, has been fined $4 million by the Federal Court for price-fixing in the Australian market.
The pulp and paper company is a related company of APRIL International Marketing Services Australia. They were accused by the Australian Competition and Consumer Commission (ACCC) of breaching the price fixing provisions of the Trade Practices Act 1974 and Competition Codes.
According to the ACCC, the company was involved in price-fixing of copy paper and uncoated woodfree folio paper supplied to Australian customers.
"This matter sends a strong message that the ACCC will pursue alleged cartel arrangements made overseas by foreign corporations that affect Australian prices and consumers, in this case for a basic commodity like copy paper," ACCC chairman, Graeme Samuel says.
The ACCC says APRIL Fine Paper Trading admitted to taking part in 18 meetings with competitors at what was referred to as the AAA Club between December 2000 and January 2004. At the meetings, APRIL Fine Paper Trading made arrangements or understandings with competitors about the average price of paper sold, and it was alleged that the company gave effect to these arrangements in its Australian pricing.
Federal Court proceedings will continue against other parties implicated in the price-fixing arrangements.
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