Charges filed against milk market monopolist

The prosecution has launched a pre-trial proceeding against the owner of <a href="http://www.b92.net/eng/news/politics-article.php?yyyy=2010&mm=11&dd=02&nav_id=70657" class="text-link" target= "_blank">Danube Foods Group</a> and the person responsible for abuse of monopolistic position.

Izvor: B92

Wednesday, 03.11.2010.

10:35

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The prosecution has launched a pre-trial proceeding against the owner of Danube Foods Group and the person responsible for abuse of monopolistic position. The prosecution’s decision followed after the Administrative Court confirmed that the company had formed a monopoly and was abusing its position in the market. Charges filed against milk market monopolist For this criminal act the law envisages a fine and six months to five years in prison, Republic Public Prosecution Spokesman Tomo Zoric has confirmed to B92. “Since the Administrative Court has confirmed that Danube Foods Group has monopoly in the milk market and that it has abused the monopoly, the prosecution has ex officio launched a proceeding against the owner, i.e. responsible person of the firm,” he stressed. “There is reasonable doubt that Danube Foods Group was imposing unfair and unequal conditions on producers which prevented the competition from entering the milk purchasing market and put the producers into dependent position. The Criminal Procedure Code of the Republic of Serbia envisages prison sentence from six months to five years and a fine for the criminal act of abuse of monopolistic position,” Zoric explained. Certain politicians and media have been speculating that businessman Milan Beko is behind the company but this was never officially confirmed. Danube Foods Group have reacted by saying they were surprised by the decision of the Administrative Court to issue a public announcement regarding a ruling which was not submitted to them or to their legal representatives. According to the company, they appealed against decision of the Commission for Protection of Competition based on facts from 2006 and changed disputable regulations in contracts within 30-day legal deadline after receiving the initial ruling in January 2008. Tomo Zoric (Tanjug)

Charges filed against milk market monopolist

For this criminal act the law envisages a fine and six months to five years in prison, Republic Public Prosecution Spokesman Tomo Zorić has confirmed to B92.

“Since the Administrative Court has confirmed that Danube Foods Group has monopoly in the milk market and that it has abused the monopoly, the prosecution has ex officio launched a proceeding against the owner, i.e. responsible person of the firm,” he stressed.

“There is reasonable doubt that Danube Foods Group was imposing unfair and unequal conditions on producers which prevented the competition from entering the milk purchasing market and put the producers into dependent position. The Criminal Procedure Code of the Republic of Serbia envisages prison sentence from six months to five years and a fine for the criminal act of abuse of monopolistic position,” Zorić explained.

Certain politicians and media have been speculating that businessman Milan Beko is behind the company but this was never officially confirmed.

Danube Foods Group have reacted by saying they were surprised by the decision of the Administrative Court to issue a public announcement regarding a ruling which was not submitted to them or to their legal representatives.

According to the company, they appealed against decision of the Commission for Protection of Competition based on facts from 2006 and changed disputable regulations in contracts within 30-day legal deadline after receiving the initial ruling in January 2008.

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