Commissioner of the Competition Authority intends to impose a fine of NIS 8.6 million on the food company "Neto Melinda"

The Commissioner of the Competition Authority, Attorney Michal Cohen, announced that she intends to impose a fine of NIS 8.6 million on the food company "Neto Melinda" subject to a hearing, for failure to respond to data requirements as part of an investigation conducted by the Commissioner into suppliers in the industry on suspicion of violations of the Food Law, which were made within Commercial engagements between suppliers and retailers.
The Competition Authority stated that Neto did not provide complete information as required of it regarding the agreements it reached with food retailers. Neto is defined as a large supplier according to the Law on the Promotion of Competition in the Food Industry, and as such is subject to obligations and restrictions in accordance with the law.
As part of a broad enforcement process conducted by the supervisor on the subject, a number of data requests were sent to Neto. After a thorough inspection conducted by the commissioner, she received documents and correspondence from Neto that were not forwarded in her response to the data request, even though Netto confirmed that the response she forwarded to the commissioner was complete. According to the commissioner, this violation harms her ability to enforce the competition and food laws and thus maintain competition in the food industry and advance it.
Netto has the right to hold a hearing before the commissioner and within this framework she will be given the opportunity to raise her claims on the subject.
At the same time, the commissioner adds to examine, as part of the broad enforcement process, the net compliance with the provisions of the Food Law, and will formulate her decision on the matter in the near future.
Mento was informed that "the company worked to provide the information accompanied by its legal advisors and in coordination with them and that it believes that there is no basis for the authority's claims and that it has good claims. However, the company is studying the reference and will respond to it in a manner and time according to law."
About a week ago, the Competition Authority announced the imposition of fines on the companies Shastowitz, Layman Schlissel, Strauss, Tnuva, Angel, Unilever and Assem, in the cumulative amount of over NIS 23 million, for alleged violations of the provisions of the Law on the Promotion of Competition in the Food Industry. Assem will pay a fine of NIS 8.19 million, Sh. Shastowitz - 6.58 million, Unilever - 4.3 million, Tnuva - 1.67 million, Layman Schlissel - 1.18 million, Strauss - 785 thousand shekels and Angel - 571 thousand shekels. This, without admitting violations of the provisions of the law.