Brussels, 25/09/2013 (Agence Europe) - The fines levied by the European Commission on companies involved in price-fixing are not high enough to act as a deterrent, according to research carried out by the Bruegel think tank on the anti-trust fines levied by the Commission over the past twelve years, and Belgian socialist MEP Marc Tarabella sent a letter to EU Competition Commissioner Joaquín Almunia on Wednesday 25 September, demanding explanations.
In a press release, Tarabella explains that in 80% of cases, the European Commission levies too small a fine, which means it makes more economic sense for big companies to fix prices and therefore harm consumers. The research shows that the sum of anti-trust fines over the past twelve years is €18.4 billion, but the total damage to consumers is €300 billion. Tarabella says that if the fines are so low, then they act as an incentive for companies to set up cartels; and the first victims, of course, are always consumers in Europe, followed by small and medium-sized companies that stick to the rules. He urges the Commission to set fines in line with the damage inflicted on consumers. (FG/transl.fl)