09.04.2025 | Danish competition authority
The Danish Competition and Consumer Authority (Konkurrence- og Forbrugerstyrelsen) has conducted unannounced inspections in the sports equipment sector as part of an investigation into possible breaches of competition regulations. These inspections are not indicative of any wrongdoing but are aimed at collecting evidence to confirm or refute any violations.
Following the inspections, the authority has 40 working days to review the collected materials. If the evidence suggests a potential breach of competition law, the case will be escalated to the Competition Council for further action. The authority has also updated its press policy to inform the public about such inspections, aligning with practices from the European Commission and similar approaches in Nordic countries.
Effective competition is crucial for both society and consumers, as it drives innovation and efficiency among businesses. However, companies that engage in anti-competitive practices, such as forming cartels, can cause significant harm, leading to price increases of 10-50% for consumers. The OECD has noted that cartels disproportionately affect low-income families, especially when they involve essential goods.
The authority's inspections require prior judicial approval and are conducted without notice to prevent the destruction of potential evidence. During these visits, officials examine various company records and materials that may be relevant to the investigation. If relevant evidence is found, it will be incorporated into the ongoing case.
The Danish Competition and Consumer Authority encourages individuals with information about potential violations to come forward, offering the option for anonymous reporting. Those involved in a cartel may apply for leniency, which can lead to immunity from fines or reduced penalties if they cooperate with the authorities.
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