The US Department of Justice (DOJ) announced that Argos USA LLC, a producer, and seller of ready-mix concrete, a product comprised of ingredients including cement, aggregate (sand and gravel), water, and, at times, other additives, was charged with participating in a conspiracy to fix prices, rig bids, and allocate markets for sales of ready-mix concrete in the Southern District of Georgia and elsewhere.
According to the prosecution, employees of Argos and other ready-mixed concrete companies have issued price increase letters to customers, awarding a specific ready-mixed mix concrete jobs in coastal Georgia's region, charging fuel surcharges and environmental fees, and bidding customers at collusive and uncompetitive prices. The charges conspiracy began as early as 2010 and continued until about July 2016. Argos is charged with a violation of the Sherman Act, which carries a maximum penalty of a $100 million fine for corporations. The fine may be increased to twice the gain derived from the crime or twice the loss suffered by victims if either amount is greater than the statutory maximum.
The Antitrust Division announced a deferred prosecution agreement (DPA) that resolved the charge against Argos. The company also agreed to pay a $20 million criminal penalty and admitted to participating in the charged conspiracy from October 2011 and agreed to cooperate with the Antitrust Division’s investigation and prosecution. Argos also agreed to maintain a compliance and ethics program to prevent and detect antitrust violations and to conduct periodic reviews and submit annual reports to the division regarding the remediation and implementation of its compliance program.
(DOJ – 04.01.2021)
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NAZALI TAX & LEGAL |