Originally published May 2011
According to reports, at 10am on Friday 13 May, up to 15
officials from the Irish Competition Authority, accompanied by a
Garda Detective, conducted a 'dawn-raid' on the Irish
Farmers Association offices in Dublin.
The Competition Authority is empowered under the Competition Act
2002 to investigate alleged anti-competitive behaviour either as a
result of a complaint or on an own-initiative basis. Pursuant to
Section 45 of the Act, the Authority may enter "if
necessary by force" the business premises and homes of
directors, managers and/or members of staff to search and seize
documentation relating to the alleged offences.
It is believed that the Authority's investigation centres
around possible price fixing allegations. During the
'dawn-raid', which lasted until 4pm, the Authority members
are reported to have reviewed, examined and removed files,
computers, laptops, personal mobile phones and personal diaries of
IFA personnel.
The consequences of breaching Irish competition laws are very
severe, and include the possibility of prison sentences and/or
substantial fines being imposed. As well as the Competition
Authority, bodies such as the Financial Regulator, the
Environmental Protection Agency and the Revenue Commissioners, all
have statutory powers to carry out 'dawn raids'.
The surprise element of a raid will generally mean that there will
be a degree of disruption. The extent of that disruption will
depend on the procedures you have put in place to deal with any
such investigation. In addition, consideration should be given to
training relevant personnel on the basics of what constitutes an
"anti-competitive agreement" so that they do not
unwittingly compromise the business in the course of their day to
day roles.
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