Competition Law Compliance: Role of Directors, Summer 2011
19.08.2011
The detection and prosecution of cartel offences is one of the Irish Competition Authority’s main priorities. Companies which engage in cartel behaviour, such as price-fixing, bid-rigging or market sharing can be investigated by the Competition Authority and prosecuted by the Director of Public Prosecutions. The penalties are significant.
Irish criminal courts can impose fines of up to 10% of worldwide turnover or €4 million on companies and individuals. Executive and non-executive directors can face up to five years in prison as well as fines set at the same level as corporate fines. Directors who are convicted of cartel offences can also face disqualification from acting
as a director.
The UK’s Office of Fair Trading has recently (June 2011) published guidance of how directors can minimise the risk of disqualification in the UK, the imposition of fines, and to promote competition law compliance within business. The OFT publications contain guidance which is also useful in an Irish context.
