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Truck dealers fined for price fixing


The Brisbane Federal Court has ordered more than $1 million in total penalties against two truck retailers and three individuals in proceedings brought by the Australian Competition and Consumer Commission (ACCC) for price fixing and market sharing.
 
Vanderfield Pty Ltd, which sells Hino trucks in Toowoomba and the Gold Coast, and Sci-Fleet Motors Pty Ltd, which sells Hino trucks in Brisbane, will pay penalties of $500,000 each, and the individuals $30,000 each.
 
Justice Dowsett found that between about February 2005 and September 2006, Vanderfield, through its then sales managers Bavin Cherry and John McGuinn, and Sci-Fleet, through a sales manager Ross Goodwin, gave effect to anti-competitive agreements in relation to the sale of light and medium trucks in south east Queensland, contravening the Trade Practices Act 1974.
 
The parties made full admissions and also recommended agreed penalties to the court to resolve the matter.  It was accepted that the individuals concerned did not understand the law or the legal consequences of their actions.
 
"This case shows that people acting in responsible positions without a thorough understanding of the Trade Practices Act assume a very dangerous risk for themselves and their employers," said ACCC chairman Graeme Samuel.
 
"I am pleased to note that all parties cooperated with the ACCC in resolving this case, and we therefore were able to recommend significant penalty discounts.  In particular, Sci-Fleet and Mr Goodwin were quick to volunteer information that significantly assisted our investigation.
 
"The ACCC will seek much heavier punishment for those who are found guilty but who do not put their hands up, particularly for more serious cartel conduct, which is now a criminal offence," Samuel said.
 
 

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