SOUTH AFRICA August 23 2016 5:04 PM
CAPE TOWN (Scrap Register): ArcelorMittal South Africa's is fined by the Competition Commission of R 1.5bn, which is the biggest fine imposed on a single company for anticompettitive behaviour in SA’s history.
As per the commission Arcelor had admitted its involvement in long steel and scrap metals cartels. But SA’s largest steel maker had denied allegations of collusion in the flat steel and wire rod markets.
Investigations into the local steel industry began in SA in 2008 following concerns about high and increasing steel prices. The R1.5bn fine brought to an end to all proceedings against the company, the commission said.
Arcelor had agreed to pay the administrative penalty of R1.5bn in five annual installments of at least R300m. The steel maker had also agreed to various other remedies, including limiting price increases of flat steel products and committing R4.64bn to capital expenditure for the next five years.