Price fixers taped up

The European Commission has fined Sony, Fuji and Maxell €74,790,000 for fixing the prices of professional videotapes sold to customers in Europe, in violation of the EC Treaty’s ban on cartels and restrictive business practices.

Between 1999 and 2002, Sony, Fuji and Maxell raised or controlled prices through a series of regular meetings and other illicit contacts.

Sony's fine was increased by 30 per cent to €47,190,000 because it obstructing the Commission's investigation during on-site inspections at its premises. Fuji's and Maxell's fines were reduced by 40 per cent and 20 per cent, to €13,200,000 and €14,400,000, respectively, because they co-operated with the investigation under the Commission's 2002 Leniency Notice.

The Commission started an investigation on its own initiative with surprise inspections, carried out at the premises of Sony's, Fuji's and Maxell's European subsidiaries in May 2002. Abundant evidence of cartel activities was found.

However, a Sony employee refused to answer oral questions asked by the Commission's inspectors, in breach of Sony's obligation to answer, while another Sony employee was found to have shredded documents during the inspection. Fuji and, at a later stage, Maxell, co-operated with the Commission and submitted additional evidence.