 |
|
The logos of SK Energy and GS Caltex
|
Three S. Korean companies plead guilty to fixing prices for gas provided to USFK
SK Energy, GS Caltex and Hanjin Transportation will have to pay US$236 million in fines and damages to the US government for fixing prices for fuel supplied to US Forces Korea (USFK). According to a press release that the US Justice Department published on Nov. 14, the three companies pleaded guilty to fixing prices for gas they provided to US army, air force and marine bases in South Korea. As part of their plea deal, the companies agreed to pay the sum of US$236 million, which includes US$82 million in fines and US$154 million in civil damages. SK Energy is slated to pay US$124.5 million, GS Caltex to pay US$104.2 million and Hanjin US$7.6 million. The Justice Department said the companies’ price-fixing began at least as early as Mar. 2005 and continued until 2016. US Assistant Attorney General Makan Delrahim, head of the Justice Department’s antitrust division, said that the three companies “and other co-conspirators rigged bids and fixed prices for fuel supply contracts issued by the US military in this strategically critical region for over a decade.” “As a result of the anti-competitive agreement, the US Department of Defense paid substantially more for fuel supply services than it would have absent the collusion.” “SK Energy, GS Caltex, and Hanjin have agreed to cooperate with the department’s ongoing criminal investigation,” the Justice Department announced. The Justice Department added that the charges against the three companies were part of a broader investigation into other implicated companies, hinting that additional investigations are underway. The investigation was handled by the FBI. “The FBI remains committed to holding corporations—both foreign and domestic—accountable for anticompetitive conduct and fraudulent practices toward the United States,” said FBI Executive Assistant Director Amy Hess. By Hwang Joon-bum, Washington correspondent Please direct comments or questions to [english@hani.co.kr]
