81 umrah travel agencies suspected of price-fixing

81 umrah travel agencies suspected of price-fixing

MyCC finds the companies agreed to set a floor price for both economy and premium umrah package services during several meetings last year.

mycc
The Malaysia Competition Commission will issue a final decision after considering the companies’ representations and the evidence.
PETALING JAYA:
The Malaysia Competition Commission (MyCC) has issued a proposed decision against 81 companies suspected of being involved in a price-fixing agreement to provide umrah travel services.

In a statement, MyCC chairman Hishamudin Yunus said the companies’ cartel behaviour could be deemed as an infringement under Section 4 of the Competition Act 2010 and they could face possible penalties.

MyCC said its investigations found that the companies, which are members of an association registered in Malaysia, agreed to set a floor price for both economy and premium umrah package services during several of their meetings early last year.

“MyCC also discovered that the association later made announcements to the media to inform the public about their agreed floor prices,” he said.

“All of these enterprises, except for 10, are licensed to carry out umrah travel services.”

Hishamudin said it should not be assumed that the enterprises had infringed the Competition Act 2010 as MyCC’s proposed decision is only a provisional finding.

He said all the companies named had been informed of the financial penalty proposed by MyCC.

They had been given the opportunity to submit their written representations to MyCC within 30 days of receiving the proposed decision.

They will also have the opportunity to present their oral representations before the commission at a date to be determined later.

Hishamudin said MyCC will issue a final decision after considering the companies’ representations and the evidence obtained during the investigation process.

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