South Africa: Commission Can Extend Chemical Cartel Charges

Chemical News: South Africa: Commission Can Extend Chemical Cartel Charges

https://www.chemnet.com Jun 14,2010

Johannesburg — THE Competition Tribunal yesterday gave the Competition Commission permission to widen the charges it had brought against chemicals companies accused of collusion.

The tribunal gave the commission, an investigating body, the go-ahead to amend the charges against Feltex, a unit of Cape Town-based Kap International.

Feltex now stands accused, along with Steinhoff unit Loungefoam and Gommagomma unit Vitafoam, of colluding over the purchase of chemicals used to produce polyurethane foam. Feltex was previously only charged with dividing markets.
The tribunal also gave the commission permission to bring an extra charge of collusion against Steinhoff and Kap "at a broader level," without giving further details.

More than three quarters of the global production of polyurethane goes into foams. Flexible foams are used in upholstery fabrics, while rigid foams are used in the walls of refrigerators and freezers.

Neither Steinhoff spokeswoman Mariza Nel nor Kap spokesman Paul Schouten could be reached for comment late yesterday.

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