• IP addresses are NOT logged in this forum so there's no point asking. Please note that this forum is full of homophobes, racists, lunatics, schizophrenics & absolute nut jobs with a smattering of geniuses, Chinese chauvinists, Moderate Muslims and last but not least a couple of "know-it-alls" constantly sprouting their dubious wisdom. If you believe that content generated by unsavory characters might cause you offense PLEASE LEAVE NOW! Sammyboy Admin and Staff are not responsible for your hurt feelings should you choose to read any of the content here.

    The OTHER forum is HERE so please stop asking.

Penalties reduced for 5 modelling agencies fined for illegal price-fixing

Brian

Alfrescian
Loyal

Penalties reduced for 5 modelling agencies fined for illegal price-fixing


20111123.162654_modelreuters.jpg


AsiaOne
Monday, Apr 22, 2013

SINGAPORE - Five out of the 11 Singapore modelling agencies found guilty of illegal price-fixing activities in 2011 had their penalties reduced after an appeal to Competition Commission of Singapore (CCS).

An investigation was launched in 2009 when a complaint raised suspicions that the 11 agencies were collectively raising rates for various modelling services, in breach of the Competition Act.

In the course of investigations, the modelling agencies had characterised their actions as price guidelines issued by a trade association known as the Association of Modelling Industry Professionals (AMIP).

However, CCS found out that the AMIP was essentially a 'front' for its individual members, namely the agencies, to coordinate on and collectively raise rates for modelling services in Singapore.

The agencies had fixed rates on a wide variety of modelling services, including editorials, advertorials, fashion shows and media loading usage.

Customers who were impacted included publishers, photographers, show choreographers, show organisers and fashion labels.

The Competition Appeal Board (CAB) noted that price-fixing is regarded as one of the most serious forms of infringement of competition law.

Five of the 11 modelling agencies appealed to the CAB seeking a substantial reduction in financial penalties, but did not dispute that they had infringed the Competition Act.

After hearing the appeals, CAB dismissed most of their grounds of appeal save in two instances where the CAB held that the involvement of the directors, managers and proprietors was not an aggravating factor in the present case.

In its decision, CAB took into account that a large part of the turnover of the modelling agencies was paid to the models and consequently they received a low margin.

It also decided not to impose an additional penalty for the involvement of senior management based on the facts of the case.

The CAB ordered that the penalties of the five modelling agencies be adjusted from $291,067 to $243,077 in view of these considerations, and for the parties to bear their own legal costs.

The agency that received the largest penalty reduction was Ave Management, which had its penalty reduced from $132,315 to $110,262.

CCS Assistant Chief Executive Mr Toh Han Li warned that "companies should remain alert to avoid illegal anti-competitive practices, and train their staff to comply with competition law.

"Trade and industry associations should take care not to allow themselves to be used as a front for their members to engage in price-fixing or other anti-competitive practices," he said.

He also advised all parties faced with such situations in the future to clearly and publicly dissociate themselves from any price-fixing discussions and to report such conduct to CCS immediately.

[email protected]

 

Brian

Alfrescian
Loyal

Appeal by 5 modelling agencies involved in price-fixing dismissed

POSTED: 22 Apr 2013 6:14 PM

The Competition Appeal Board (CAB) has dismissed most of the grounds of appeal by five modelling agencies that had sought a substantial reduction in financial penalties.

singapore-news--320--sg-focus-363171.jpg


SINGAPORE: The Competition Appeal Board (CAB) has dismissed most of the grounds of appeal by five modelling agencies that had sought a substantial reduction in financial penalties.

The five modelling agencies were among eleven that were found by the Competition Commission of Singapore (CCS) on 23 November 2011 to have engaged in illegal price-fixing activities.

The CCS noted that the five agencies – Bees Work, Diva, Impact, Looque, and Ave – did not dispute that they had infringed the Competition Act.

The CAB considered two areas of their appeal.

In its decision, CAB took into account that a large part of the turnover of the modelling agencies was paid to the models and as a consequence they received a low margin.

The CAB has ordered that the total penalties of the modelling agencies be adjusted from S$291,067 to S$243,077.

The CAB has decided not to impose an additional penalty for the involvement of senior management based on the facts of the case. It said the involvement of the directors, managers and proprietors was not an aggravating factor.

The five modelling agencies will also have to bear their own legal costs.

In the course of investigations by the CCS, the eleven modelling agencies were found to have characterised their actions as price guidelines issued by a trade association known as the Association of Modelling Industry Professionals (AMIP).

The CCS found that the AMIP was essentially a front for its individual members (i.e. agencies) to coordinate on, and collectively raise, rates for modelling services in Singapore.

The agencies had fixed rates on a variety of modelling services including editorials, advertorials, fashion shows and media loading usage.

Customers that were impacted included publishers, photographers, show choreographers, show organisers and fashion labels.

- CNA/ck

 
Top