The Namibian Competition Commission (NaCC) has fined Maxes Office Machines (Pty) Ltd, a distributor of office printing equipment in Namibia, and one of its suppliers, Riso Africa (Pty) Ltd, close to N$1 million for anti-competitive behaviour.
According to NaCC spokesperson Dina //Gowases, the two companies have entered into settlement/consent agreements with the commission after an investigation into alleged anti-competitive behaviour which concluded these entities entered into an exclusive distributorship agreement.
The commission found that the companies contravened sections of the Namibian Competition Act by entering into an exclusive agreement which afforded Maxes sole distribution rights of Riso-related products in Namibia.
Although the two parties disputed the factual findings and interpretation of the act by the commission, they admitted that their conduct constituted an unintended contravention of the act, and agreed to settle the matter on the terms and conditions set out in the consent agreements.
Maxes on 21 April entered into a consent agreement with the commission to pay a total settlement amount of N$341 601, comprising a pecuniary penalty of N$273 280, and a portion of the commission’s costs incurred as a result of the investigation, amounting to N$68 320.
Riso Africa on 21 April also agreed with the commission to pay a total settlement amount of N$341 601, comprising a pecuniary penalty of N$273 280, and a portion of the commission’s costs incurred as a result of the investigation, amounting to N$68 320.
The above payments are to be made within 24 months after confirmation of the consent agreements as orders of the High Court.
– email: matthew@namibian.com.na
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