Double- glazing firm has their appeal dismissed today with the penalty of £180,000 imposed by the Competition Appeal Tribunal (CAT) still standing.
 
In June of last year, the OFT found evidence that the company now known as Sepia Logistics -Double Quick Supplyline (DQS) had engaged in price fixing and market sharing.
 
In the appeal it was claimed that the OFT had incorrectly applied its guidance when calculating the penalty, in particular not giving a reduction due to the financial position of DQS.
 
In June 2006, the OFT imposed fines totalling £1.38m on double glazing industry firms EWS (Manufacturing), Thermoseal Group, Double Quick Supplyline and Ulmke Metals. It followed an investigation into price fixing and market sharing in the aluminium spacer bar market.
 
EWS was fined £490,050, Thermoseal was fined £380,700 (reduced to £228,420 for leniency), and DQS fined £180,000. In line with the OFT's leniency policy Ulmke Metals Limited, fined £330,000, was granted 100% leniency in recognition of its cooperation with the OFT's investigation.
 
Brian McHenry, General Counsel to the OFT, said: "The OFT welcomes the CAT's judgement. The decision confirms the need for strong penalties as a significant deterrent to stop companies breaking the law. Price fixing and market sharing cartels hurt consumers by creating higher prices and less choice while also damaging confidence in the wider economy. This case has emphasised that where a reduction to a penalty is sought, that party should provide the OFT with all the information necessary to substantiate any claim, it is not for the OFT to seek out such information."
 
The decision was also directed to DQS' parent company, Precision Concepts (PCL).