Fastener makers stitched up

The European Commission has fined YKK, Prym and Coats and four others a total of €328m for operating cartels on the markets for fasteners and attaching machines in violation of EC Treaty rules that outlaw restrictive business practices.

Five subsidiaries of the above groups were named and shamed by the commission, together with Scovill group, A. Raymond, Berning & Söhne and the German trade association Fachverband Verbindungs-und Befestigungstechnik, which also participated in one of the infringements.

The commission found four separate cases in which these companies agreed on co-ordinated price increases, fixed minimum prices, allocated customers, shared markets and exchanged other commercially important and confidential information.

Prym group received full immunity from fines under the commission's leniency programme as it was the first to provide information about the cartel. In addition, the fines imposed on Prym group for its involvement were also lowered as a result of the company's cooperation.