Cape Gate cartel case heads to ConCourt
CompCom fights Competition Appeal Court's scathing delay ruling.
The long-standing cartel conduct by major South African steel manufacturers has resurfaced in court, now headed to the Constitutional Court. The Competition Commission is appealing a guilty verdict against Cape Gate, a member of the alleged cartel, following a successful review of the decision. The Competition Appeal Court initially remitted the case back to the Competition Tribunal for a rehearing.
The Commission is seeking the reinstatement of the tribunal's finding against Cape Gate, arguing that the tribunal's inordinate delay in issuing its decision "contaminated the ultimate decision that was made". The tribunal took over six years to issue its guilty finding, and the panel members' excuses for the delay were deemed "false".
The commission believes that the delay was "inordinate" and should not absolve Cape Gate from liability, even if the commission is unsuccessful in its appeal. Cape Gate denies the allegations of cartel conduct and the basis for the delay, claiming that the delay was not unreasonable and that the tribunal members were dishonest in their explanations.
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