Friday, June 5, 2015

Competition accuses 15 banks on suspicion of cartel in credit – publico

                 


                         
                     

                 

 
                         

The Competition Authority (AdC) accuses 15 banks operating in Portugal concerted practice (cartel) the exchange of sensitive commercial information on housing loans, consumer and businesses.


                     


                         In a statement published on its website, the AdC “confirms that adopted Note Illegality (statement of objections) against fifteen banks on suspicion of concerted practice, in the form of exchange of sensitive commercial information, as regards the provision of credit products in retail banking, including mortgage loans, consumer credit and corporate loans “.

According to the PCA, that practice will have lasted in some cases,” about 11 years and focused on information not public, namely, change of intent spreads . “

The investigation of this case stems from at least 2013 and, although not identify banks, encompasses virtually all institutions bank to grant credit in the domestic market.

According clarification of the organization, “the exchange of sensitive information is an anti-competitive practice when it is able to allow companies to become aware of market strategies of their competitors or anticipate conduct of its competitors, which facilitates the alignment of their conduct on the market, thus preventing consumers from benefiting from the increased level of competition that existed in the absence of such an exchange. ”

The Competition Authority safeguards, however, that “the adoption of a statement of objections does not determine the outcome of the investigation.” And that, at this stage, “is given the opportunity for companies to exercise their right to a hearing and defense against the illicit imputed to them and to sanction or sanctions that may apply”.

The Competition Authority also states that research is in secrecy until the final decision.

 
                     
                 

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