Tuesday, February 12, 2008

Fresenius Kabi blow the whistle on cartel

South African pharmaceutical firms Adcock Ingram, Dismed Criticare, Thusanong Health, along with Tiger Brands, will be prosecuted by the competition tribunal for conspiring over seven years to collude in the rigging of government and private hospital supply tenders, carving up the market and inflating prices in the process.

This new price-fixing furor is the latest blow for Tiger Brands, Adcock's parent company, which is still recovering from last year's bread price-fixing scandal which led to the company paying a R99 million fine and chief executive Nick Dennis taking early retirement.

A fourth pharmeceutical company, Fresenius Kabi South Africa (FKSA), which was also involved in the cartel, has co-operated with the commission and has been granted immunity from prosecution.

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