Brussels, 03/04/2007 (Agence Europe) - On 30 March, Commissioner Neelie Kroes confirmed that she has sent a statement of objections to companies active in the bathroom fittings and fixtures sector in Austria, Belgium, France, Germany, Italy and the Netherlands. Based on the Commission's preliminary findings following surprise inspections in November 2004 (see EUROPE 8827), the statement of objections alleges that these companies participated in anti-competitive behaviour in violation of EC Treaty rules (Article 81).
The alleged cartel is suspected of having exchanged information on price increases before their implementation, on rebates and discounts and other sensitive business information such as individual sales data. The Commission suspects that these practices took place bilaterally and multilaterally between manufacturers and importers, as well as via various trade and industry associations.
The Commission has not revealed which manufacturers are involved, but Reuters reports that inspections were carried out at Grohe, Hansgrohe (Germany), Sphinx BV Koninklijke and Foundation for Heating and Bathroom Fixtures (the Netherlands), and American Standard of the US. The US company Masco has said it was involved and is prepared to cooperate with the Commission.
The companies concerned now have two months to respond to the statement of objections in writing. They can also ask the Commission to hear their case at an oral hearing which usually takes place about a month after the written reply has been received. The Commission's final decision may be accompanied by fines of up to 10% of a company's worldwide annual turnover. (cd)