Tobacco groups, retailers face OFT price fixing allegations
01:16, 2008-Apr-25
LONDON - The United Kingdom Office of Fair Trade is set to unveil wide-ranging allegations that tobacco companies and retailers fixed
cigarettesprices, the Financial Times reported citing people familiar with the tobacco investigation.
The allegations come two days after the OFT was forced to apologise to Wm Morrisons and agreed to pay 100,000 pounds in damages and costs after admitting inaccuracies in another antitrust probe.
Cigarettes announcement, expected today, relates to alleged deals between the tobacco companies and a range of retailers, with cigarette suppliers the main focus of the enquiry, the report added.
The OFT launched the probe in 2003 and both Gallaher and Imperial Tobacco have previously said they are complying with requests for information. Companies involved in price-fixing face fines of up to 10 percent of annual turnover although this is usually lower if companies co-operate with an investigation.
