Thursday, 18 July 2024

Press Release – Fine imposed on an association of undertakings active in the retail market of supermarket products, following a decision adopted under the Settlement Procedure (SP)

Subject: Fine imposed on an association of undertakings active in the retail market for supermarket products following a decision adopted under the Settlement Procedure (SP). 

By Decision no 852/2024, adopted in the context of the Settlement Procedure laid down in Article 29A of Law 3959/2011 and according to Decision no 790/2022, the Hellenic Competition Commission (HCC) unanimously accepted the Settlement Proposal submitted by “EL.OM.A.S. GREEK SUPERMARKET BUYING ALLIANCE LIMITED LIABILITY COMPANY” (ELOMAS) following the collection of evidence demonstrating a violation of articles 1 of Law 3959/2011 and 101 TFEU.

The case concerned the retail market for supermarket products. The evidence available demonstrates that ΕLOMAS has received a series of written complaints from certain of its members demanding that retail stores should not operate in the same geographical area as other members of the alliance. The complaints invoked a general principle of the alliance set out in a decision of its General Assembly according to which its members should refrain from the opening of a store within a specific geographical distance, namely 1000 meters in areas outside Athens and Thessaloniki and 300 meters inside Athens and Thessaloniki, where retail stores of other members of the alliance were already active. 

In view of the above, ELOMAS has requested to enter into a Settlement Procedure, according to para. 16 of HCC Decision No. 790/2022, and, having expressly and unequivocally recognized that it has engaged in market allocation which constitutes a by object restriction of competition, has submitted a Settlement Proposal. By virtue of para. 39 of ΗCC Decision Νo. 790/2022, the Plenary of the HCC unanimously accepted the Settlement Proposal submitted by the abovementioned undertaking and decided as follows:

Finds that ELOMAS’ has infringed Articles 1 of Law 3959/2011 and 101 TFEU due to its decision concerning market allocation among its members.

Orders the abovementioned association of undertakings -which has already modified, by its own initiative, its Statute and its Internal Rules of Procedure and Conduct, which provide for an obligation of its members to respect competition law and an express reference to the prohibition of market allocation- to refrain in the future from the infringements of Articles 1 of Law 3959/2011 and 101 TFEU found.

Imposes on the association of undertakings a total fine of 172.424 euros, which has been reduced in view of its participation in the Settlement Procedure, for committing the established infringement of Articles 1 of Law 3959/2011 and 101 TFEU.

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