In a speech delivered yesterday, the Interim Commissioner of Competition (the “Commissioner”) launched The Criminal Cartel Whistleblowing Initiative that encourages members of the public to provide the Competition Bureau (the “Bureau”) information regarding possible violations of the criminal cartel and bid-rigging provisions of the Competition Act (the “Act”). The Commissioner also outlined other initiatives aimed at improving enforcement of the Act.
Whistleblowing Initiative
Under this initiative, a member of the public who has reasonable grounds to believe that a person has committed, or intends to commit, a criminal offence under the Act (for example, has entered into an agreement or arrangement with a competitor to fix prices, allocate markets, restrict output or rig bids) may provide information to the Bureau on a confidential basis. Information provided to the Bureau can only be shared in very limited circumstances and, in all instances, the Bureau will protect the identity of the whistleblower.
Information provided by a whistleblower will be examined by an investigative team, who will determine whether to commence a formal inquiry under the Act. Should an inquiry be initiated based on the information provided by a whistleblower, the Bureau can use its full range of investigative powers, including search warrants, wire taps and compulsory production orders.
The launch of the a formal whistleblowing initiative reflects the reality that the Bureau is often alerted to conduct that potentially violates the criminal provisions of the Act by private complainants. While the confidentiality protections simply reflect those that already existed under the Act, this initiative is intended to encourage potential whistleblowers to come forward by providing an accessible, comprehensible overview of the complaint process and comfort that their identities will not be disclosed.
For a copy of The Criminal Cartel Whistleblowing Initiative, please click here.
Compliance and Collaboration
The Commissioner’s speech emphasized that, given the increased level of cooperation and coordination between global competition enforcement agencies, the likelihood of detection and prosecution of anti-competitive conduct is higher than ever. In this regard, the Commissioner suggested that the best way for businesses to avoid significant fines, jail time for employees and associated reputational cost resulting from violations of the Act should both (i) implement a corporate compliance program, as well as (ii) ensure that compliance programs are monitored and updated regularly.
The Commissioner also announced that the Bureau will be holding a series of “sector days” where companies will be invited to share their first-hand knowledge of the industries in which they participate. These exchanges with stakeholders will better inform the Bureau’s understanding of sector-specific dynamics and in some instances, inform the Bureau’s strategic regulatory interventions.
For a copy of the Commissioner’s speech, please click here.
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