• SABC shenanigans

    SA has already embarked on a slippery slope to autocracy, warns Terry Bell in Inside Labour.

  • Zim tastes people power

    Protests in Zimbabwe are forcing Mugabe to face anti-government sentiment, says Memory Mataranyika.

  • Platinum handshake

    Officials who try to do what's right risk far more than blessed wrongdoers, says Solly Moeng.

All data is delayed
Loading...
See More

Afgri to pay millions after grain deal

Jun 06 2011 09:10
I-Net Bridge
Johannesburg - Afgri [JSE:AFR] has agreed to pay an administrative penalty of R15.6m as part of its settlement with the Competition Commission.

The company on Monday said it had reached a settlement with the Competition Commission regarding a complaint initiated by the commission that Afgri, as one of the members of Grain Silo Industry (GSI), had contravened the Competition Act by collectively participating in the determination of the South African Futures Exchange's (Safex's) daily grain storage tariffs via its membership of GSI.

The commission's investigation focused on the historic recommendation by members of the GSI to SAFEX of a uniform daily grain storage tariff at the request of Safex.

Afgri said the commission, having investigated other alleged contraventions, found that Afgri had not excessively priced any grain storage tariff or any other related products or services which were under investigation.

The terms of the settlement are subject to confirmation by the Competition Tribunal.

The amount of the penalty has been fully provided for by Afgri.

"We are satisfied with the outcome of the settlement negotiations which have brought finality to the commission's investigation," said Afgri CEO Chris Venter.

He said the investigation related to historic conduct which ceased some time ago with Afgri having stopped recommending SAFEX tariffs through the GSI before the commission's investigation had commenced.

"We respect the commission's finding that the recommendation of the SAFEX tariffs technically constituted a contravention of the Competition Act. The recommendation of the SAFEX tariffs was done at the request of SAFEX and on the bona fide understanding that it was crucial for the proper functioning of SAFEX that there were uniform daily grain storage tariffs," Venter said.

The SAFEX tariffs enable traders to calculate the maximum amount of storage charges applicable on a particular SAFEX transaction.
 
afgri

 
 
 

Read Fin24’s Comments Policy

24.com publishes all comments posted on articles provided that they adhere to our Comments Policy. Should you wish to report a comment for editorial review, please do so by clicking the 'Report Comment' button to the right of each comment.

Comment on this story
0 comments
Comments have been closed for this article.
 

Company Snapshot

We're talking about:

THE SAVINGS ISSUE

Saving can make a lot of things possible, but we all know how hard it is to save. This special Savings Issue will help you get focused.
 

Money Clinic

Money Clinic
Do you have a question about your finances? We'll get an expert opinion.
Click here...

Voting Booth

Sarb's decision to keep the repo rate unchanged is:

Previous results · Suggest a vote

Loading...