The allegations of the Federal Competition Authority against the Brewing Union and the owner Heineken weigh heavily. On Tuesday in the Palace of Justice in Vienna On Tuesday, the witness survey begins, who must also give a clearer picture for Judge Romana Wieser.
Justice Palace, Negotiation Hall D: Self, the same time with the first day of the negotiations at the beginning of February this year. The only difference: this time it goes to the company. “The first witness is interviewed” is heard by the Federal Competition Authority. This and others are intended to bring deep insights into the alleged machinations of the global company Heineken, which has been a 100 % owner of the Brewing Union since 2003.
Different violations in sight
With an annual turnover beyond 30 billion euros, the company is accused of having made violations of the ban on the abuse of a dominant position and against the cartel ban. The exact allegations of the Federal Competition Authority are:
- The Brau Union would have threatened drinkers not to sell them anymore if they don’t get other drinks.
- Customers would be obliged not to have drinks from other competitors in the reach or to cover the majority of the reach of the Brau Union.
- Moreover, there was also the exchange of competitive data and also market and customer group tastings.
The indictment refers to a similar matter, which led to an opinion against the Athens Brewery in Greece in 2017. The similarities of the two things are impressive. Heineken had to pay 31.5 million euros for market abuse in Greece.
Three beliefs
The company is no stranger to court: a fine of EUR 273 million was already due in 2007 after price agreements, and in 2023 in Hungary due to exclusive delivery relationships with a restaurant in Budapest, a fine of 39,000 euros.
In the case of the Brewing Union, there is a fine of a maximum of 10 percent of the annual turnover of the concert, because it is assumed that not only the Brewery Association, but also the parent company Heineken knew about the so -called illegal practices. However, it cannot be hired. Even the Federal Competition Authority expects a process for several months to years.
Source: Krone
I’m Ben Stock, a journalist and author at Today Times Live. I specialize in economic news and have been working in the news industry for over five years. My experience spans from local journalism to international business reporting. In my career I’ve had the opportunity to interview some of the world’s leading economists and financial experts, giving me an insight into global trends that is unique among journalists.
