In a bid to prevent cartelisation, the Competition Commission of Pakistan (CCP) has introduced a whistleblower incentive, under which informants who provide evidence of cartelisation can receive rewards of up to Rs2 million, with their identity kept confidential.
In a statement released on Monday, the CCP called for cooperation from the general public and concerned stakeholders in particular to cooperate in taking strict action against such illegal business nexus and cartels and to report any such act.
“If any individual is aware that a business association or product suppliers have colluded to fix prices or control supply, he is urged to immediately report such information to the CCP. Those who provide information and evidence regarding such illegal cartels will be rewarded with amounts ranging from Rs200,000 to Rs2,000,000.
“The identity of the informant will remain confidential,” the statement read.
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CCP said the initiative aims to promote public participation in eliminating illegal business practices. The scheme not only provides a legal avenue but also encourages the public to be part of protecting the country’s economy and their economic rights, it said.
CCP, which is mandated to promote fair competition in the economy, highlighted that the artificial increase in the price of goods and services in Pakistan, and the lack of quality goods, is largely the result of business cartelisation in the markets.
“Cartels are formed when suppliers in a market coordinate or enter into agreements to fix prices for goods and services and control the supply, all for unjustifiable gains and illicit profit, which is an illegal practice,” it said.
It added that engaging in such agreements is a serious crime under the Competition Act 2010.
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