Today the Commerce Commission has filed proceedings in the High Court against Carter Holt Harvey Limited for price fixing in the Auckland timber market.
Carter Holt Harvey Limited is Australasian forest products Company focusing on wood importing and exporting as well as forestry investments.
Carter Holt Harvey underwent an understanding with Fletcher Distribution Limited to fix prices in respect of the supply of structural timber to commercial customers in Auckland, in breach of Part 2 of the Commerce Act. The understanding operated during the period which involved latter part of 2012 and early 2013.
The Commission has also filed proceedings against Dean Dodds, Carter Holt Harvey manager, for his involvement in the understanding. Fletcher Distribution was given immunity for raising the alarm.
Fletcher Distribution Limited which discovered its involvement in the understanding earlier this year, made the Commission aware of the situation, and cooperated with the Commission's investigation.
Both Carter Holt Harvey and Mr Dodds have also cooperated with the Commission's investigation, and both have now under gone settlements with the Commission in which they confess that their conduct breached the Commerce Act.
A penalty hearing before the High Court will take place in due course.