MyCC ready to listen to fresh ev­i­dence from PIAM, mem­bers

New Straits Times - - Business - Ber­nama

The Gen­eral In­sur­ance As­so­ci­a­tion of Malaysia (PIAM) and its 22 mem­bers have been given a month from Fe­bru­ary 22 to for­ward ev­i­dence prov­ing that they have not breached Sec­tion 4 of the Com­pe­ti­tion Act 2010.

Malaysia Com­pe­ti­tion Com­mis­sion (MyCC) last week an­nounced a pro­posed de­ci­sion to im­pose a RM213.45 mil­lion fine on PIAM and the 22 lo­cal gen­eral in­sur­ers over an “anti-com­pet­i­tive agree­ment”.

MyCC chair­man Tan Sri Norma Yaakob said the move was a pro­posed de­ci­sion and the com­mis­sion had not fi­nalised it.

As such, the af­fected par­ties could come for­ward and make rep­re­sen­ta­tions.

“There is a process be­ing of­fered to PIAM and its af­fected mem­bers.

“We will listen to them. We can look at it again.

“We hope they will be able to give us fresh ev­i­dence which we never had an op­por­tu­nity to con­sider pre­vi­ously,” she said on the side­lines of the Malaysia Com­pe­ti­tion Con­fer­ence 2017, here, yes­ter­day.

The MyCC ac­tion fol­lowed in­ves­ti­ga­tions into an al­leged in­fringe­ment by PIAM and the Fed­er­a­tion of Au­to­mo­bile Work­shop Own­ers’ As­so­ci­a­tion of Malaysia over agreed dis­count rates for mo­tor parts prices and the labour rate for re­pairs of mo­tor ve­hi­cles in­volved in an ac­ci­dent.

The agree­ment was for the hourly rates and spare part prices charge­able for com­monly used ve­hi­cles in­clud­ing Pro­ton, Pero­dua, Naza, Nis­san, Toy­ota and Honda.

In re­sponse to the pro­posed fi­nan­cial penalty, PIAM urged the MyCC to re­con­sider its de­ci­sion, while Bank Ne­gara Malaysia said it would se­verely im­pact con­sumer in­ter­est.

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