Hot topic (Criminal Cartels)
First criminal cartel cases against Australian defendants
The Country Care Group
Criminal cartel charges have been laid against The County Care Group Pty Ltd, its Managing Director and a former employee.
The charges against County Care Group represent the first criminal prosecution of an Australian corporation and the second criminal prosecution of a cartel (the first being NYK) under the criminal cartel provisions of the Competition and Consumer Act.
The charges against County Care Group's Managing Director and a former employee represent the first time individuals have been prosecuted under thse provisions.
Alleged banking cartel
The second suite of criminal cartel prosecutions involving Australian defendants were laid by the CDPP in June 2018. The ACCC's press release states:
Citigroup Global Markets Australia Pty Limited (Citigroup), Deutsche Bank Aktiengesellschaft (Deutsche Bank) and Australia and New Zealand Banking Group Ltd (ANZ) have been charged with criminal cartel offences following an investigation by the ACCC.
Criminal charges have also been laid against several senior executives: John McLean, Itay Tuchman and Stephen Roberts of Citigroup; Michael Ormaechea and Michael Richardson formerly of Deutsche Bank; and Rick Moscati of ANZ.
The charges involve alleged cartel arrangements relating to trading in ANZ shares held by Deutsche Bank and Citigroup. ANZ and each of the individuals are alleged to have been knowingly concerned in some or all of the alleged conduct. The cartel conduct is alleged to have taken place following an ANZ institutional share placement in August 2015.
Background
Australia introduced criminal penalties for cartel conduct on 24 July 2009. The first action brought by the Director of Public Prosecutions pursuant to the criminal cartel laws involved Nippon Yusen Kabushiki Kaisha pleaded guilty before Justice Wigney on 18 July 2016. See case page for details: CDPP v Nippon Yusen Kabushiki Kaisha
Further reading
See Cartel page.
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