KUALA LUMPUR: The Malaysia Competition Commission (MyCC) will take stern action against companies of any size which display cartel elements as well as associations that encourage such practices.
Its chairman Tan Sri Idrus Harun stressed that MyCC will act without fear and favour and remains committed to protecting the interests of consumers and ensuring healthy competition in the market.
"MyCC expresses regret over the recent actions of some associations, including announcing price hikes, setting minimum prices for services and goods, and imposing new trade conditions that have had a negative impact on the cost of living.
"This matter raises concerns as it involves critical sectors such as transport, care services, health, and food, which are the people's basic needs," he said in a statement here on Saturday (Dec 21).
Idrus said that MyCC seriously viewed the actions of associations that had made statements regarding the issue without considering the impact on the challenges of the people's survival.
Based on information obtained, he said that an association, through its leader, had attempted to mislead the public by claiming that the announced price increase was merely an expected future rise or a guide price, when in fact, it was the result of a decision influenced by cartel practices.
"MyCC would not be surprised if associations made secret decisions, hoping their actions would go undetected, as they are aware that such conduct violates competition laws," he said.
According to Idrus, such an announcement could be considered an anti-competitive agreement or cartel, as it involved a decision by association committee members who were also competitors within the industry.
He also said that the announcement could be seen as a signal from the association to its members, intended to widely disseminate the decision and ensure that members carried out the cartel in a coordinated manner.
Idrus emphasised that companies should not resort to colluding to raise prices, setting minimum prices, or imposing new trade conditions that would lead to price hikes in their efforts to solve the issue of rising business costs.
"Such decisions should be made independently and without instructions or decisions from the association. They cannot hide behind the position or membership in the association. The position or membership is not a license to legitimise cartel conduct," he said.
Idrus said that MyCC's investigation and enforcement powers would be further strengthened through amendments to the Competition Act 2010, scheduled to be tabled in Parliament early 2025, to ensure that such economic sabotage behaviour could be dealt with more effectively through heavier penalties.
MyCC said it welcomes the cooperation of all parties, including committee or association members who disagree with cartel practices. Complaints can be made directly to the MyCC office, or through https://www.mycc.gov.my/bm/membuat-aduan or complaints@mycc.gov.my, with confidentiality guaranteed for whistleblowers and complainants. – Bernama
