Gas retailers fined $2M Canadian Tire Corp, Pioneer Energy LP & Mr. Gas Ltd.

Three gas companies admitted guilt in a price-fixing scheme in Kingston and Brockville, Ont. and have been fined a total of $2-million, the Competition Bureau said Tuesday.

The Bureau said it found evidence that local retailers from national chain Canadian Tire Corp. and Ontario-based chains Pioneer Energy LP and Mr. Gas Ltd. phoned each other and settled on the prices to charge customers at the pump in the two Ontario cities from May to November 2007.

“Consumers in Kingston and Brockville were denied a competitive price for gasoline as a result of this criminal price-fixing cartel,” said Melanie Aitken, Commissioner of Competition.

Ontario Superior Court in Brockville imposed fines after the three companies pleaded guilty to price-fixing under the Competition Act on Tuesday.

Pioneer and Canadian Tire both admitted price-fixing in Kingston and Brockville and were fined $985,000 and $900,000, respectively.

Mr. Gas was fined $150,000 for price-fixing in Brockville.

The Bureau has busted others for gas pump price-fixing in the past.

In June 2008 and July 2010, it laid charges against 38 people and 14 companies accused of conspiring to fix gas prices in the Quebec cities of Victoriaville, Thetford Mines, Sherbrooke and Magog.



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http://business.financialpost.com/2012/03/21/three-gas-retailers-fined-2m-for-price-fixing-scheme/

cmack 4,136

Three gas companies admitted guilt in a price-fixing scheme in Kingston and Brockville, Ont. and have been fined a total of $2-million, the Competition Bureau said Tuesday.

The Bureau said it found evidence that local retailers from national chain Canadian Tire Corp. and Ontario-based chains Pioneer Energy LP and Mr. Gas Ltd. phoned each other and settled on the prices to charge customers at the pump in the two Ontario cities from May to November 2007.

“Consumers in Kingston and Brockville were denied a competitive price for gasoline as a result of this criminal price-fixing cartel,” said Melanie Aitken, Commissioner of Competition.

Ontario Superior Court in Brockville imposed fines after the three companies pleaded guilty to price-fixing under the Competition Act on Tuesday.

Pioneer and Canadian Tire both admitted price-fixing in Kingston and Brockville and were fined $985,000 and $900,000, respectively.

Mr. Gas was fined $150,000 for price-fixing in Brockville.

The Bureau has busted others for gas pump price-fixing in the past.

In June 2008 and July 2010, it laid charges against 38 people and 14 companies accused of conspiring to fix gas prices in the Quebec cities of Victoriaville, Thetford Mines, Sherbrooke and Magog.



see more
http://business.financialpost.com/2012/03/21/three-gas-retailers-fined-2m-for-price-fixing-scheme/

cmack 4,136