JOHANNESBURG - The Competition Tribunal has ruled steelmaker Cape Gate engaged in price-fixing in the scrap metal market.
Cape Gate, along with ArcelorMittal, Columbus Stainless, and Scaw SA were accused of forming a buyers’ cartel, agreeing on the price paid for scrap instead of competing fairly.
ArcelorMittal and Columbus settled with authorities. Scaw was granted leniency.
Cape Gate denied the claims, but the Tribunal dismissed its defence. Penalties will be decided later.
The conduct ended in 2008, but the consequences are being felt today.