ECA takes action against Oriental Weavers on monopoly charges
Egyptian Competition Authority (ECA) says it will recommend the prosecution investigate Oriental Weavers for alleged antitrust violations; Counters Has OW 15 Days To Set Things Right . Is Accusing ECA The Oriental Weavers Of Monopolistic Practices Investigations Reportedly Found After The Company Had Distributors Signed Deals With Them That Barred From Carrying Competitors’ Products, According To A Statement Posted To The ECA’s Official Website. Authority Says That The Oriental Weavers If Could Face A Fine Of Up To EGP 300 mn If Found Guilty Of Anti-Competitive Practices. Reuters Reuters UK Has Picked Up The Story In English. Meanwhile, Oriental Weavers responded in a statement to EGX denying the move to prosecute, explaining that the ECA has given the company a 15-day window within which to remove exclusivity clauses from their contracts. Analysts estimate OW has a c. 90% share of the local market.
Direct Link To The The Official Statement Is Here. Dispatch Of Time At This Morning, That Did Not Direct Link workTel, But The Statement Was Trafik için iyi Via The ECA’s Homepage. In the event the statement should be down, we have taken the liberty of reproducing a copy of below:
Protection of Competition device transmits Oriental Weavers Group companies to the public prosecutor on charges of monopolistic practices
18 August 2015
device transmits the Protection of Competition Oriental Weavers Group companies to the public prosecutor on charges of monopolistic practices
Council of Competition Protection device management and prevention of monopolistic practices in its meeting held on August 18 agreed in 2015 to refer the group weavers companies Weavers to the public prosecutor on charges of monopolistic practices.
Said Professor Dr. Mona To’eima shelf, chairman of the Competition Authority management, the Board of Directors voted unanimously to breach group Oriental Weavers law firms, as proved by the study prepared by the machine do the group referred to the exclusive agreement with a number of distributors of mechanical carpet not to distribute products of any of its competitors, which deprives these companies distribute their products freely in the market, including longer in violation of Article (8) paragraph (c) of the Protection of Competition Law. Where Oriental Weavers Group enjoys a dominant in mechanical carpet market with a share of about 90% during the examination period.
It is expected that in the case of a sentence on the group to impose a fine of up to 300 million pounds.
It is noteworthy that the President of the Republic has issued Law No. 56 of 2014 to amend the Protection of Competition Law and prevent monopolistic practices where they were to authorize the Board of device power management conversion issues that prove the contrary to the public prosecutor directly.
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