Fines Handed Down to German Companies, Associations

Attempt to boycott recycling companies results in fine by Germany companies.

Four German companies and three industry associations have been fined a total of $4.75 million by the German Cartel Office for trying to arrange a boycott of two recycling companies.

In two separate cases, retailers and waste management companies - including RWE AG unit RWE Umwelt and retailer Metro AG - as well as associations are accused of trying to prevent the activity of two competitors to Duales System Deutschland AG, which organizes the recycling of packaging in Germany.

DSD is owned by 600 companies in the retail and waste sector. It outsources the collection and recycling of packaging to waste management companies like RWE Umwelt.

Belland Vision GmbH and Landbell both attempted to propose alternative systems.

The companies and associations have been fined up to $542,000 on each charge.

They can appeal within two weeks, a spokesman for the Cartel Office said, in which case the matter would be taken to a German regional court. Dow Jones