Siloes – preliminary investigation and searches
  • Has the increase of prices for siloes intended for storing crops following the announcement of aid scheme for farmers been the consequence of an illegal competition-restricting arrangement?
  • President of UOKiK, Tomasz Chróstny, has initiated preliminary investigation while the UOKiK officials, upon a consent of the court and assisted by the Police, carried out searches at the premises of two entrepreneurs.

President of UOKiK, Tomasz Chróstny, has initiated preliminary investigation following the information acquired by way of the open-source intelligence. The actions assumed aimed at checking whether prices of crop siloes might have increased as a result of illegal practices following the announcement, in April 2023, by the Minister of Agriculture and Rural Development, of the scheme for subsiding the purchase and constructing infrastructure for warehousing agricultural products. Within the framework of the investigation, UOKiK employees made searches in the premises of two entities: BIN from Aleksandrów Kujawski and Michał P. Targoński, limited partnership, with its registered office in Wysokie Mazowieckie.

– In the preliminary investigation, we want to check if market competitors might have been involved in collusion and confidential information sharing procedures. We are currently reviewing the collected evidence. Let me remind you that joint collusion or sharing information about it constitutes a violation of the competition law. Entrepreneurs should independently calculate rates at which they offer products – says Tomasz Chróstny, President of UOKiK.

The preliminary proceedings are conducted in the case itself and not in relation to specific entrepreneurs. If the evidence collected confirms the suspicions, the President of the Office will initiate antitrust proceedings and bring charges against individual entities. An enterprise involved in a competition-restricting agreement faces a fine of up to 10% of its turnover. The managers responsible for concluding the collusion, in turn, face a fine of up to PLN 2 million.

Severe sanctions can be avoided by taking advantage of the leniency scheme. It offers to entrepreneurs involved in an illegal agreement and to managers responsible for collusion an opportunity to reduce a fine or, in some cases, avoid it altogether. It is applicable to those who agree to cooperate with the President of UOKiK as a “crown witness” and provide evidence or information on the illegal agreement.

Entrepreneurs and managers interested in the leniency scheme are encouraged to contact UOKiK. By calling 22 55 60 555, you will be able to talk to UOKiK lawyers, who will answer all of your questions, also anonymous ones, related to leniency applications.

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