Watchdog fines 3 soft drink makers for price rigging

SEOUL, Aug. 16 (Yonhap) -- South Korea's antitrust watchdog said Sunday it
imposed a combined fine of 25.5 billion won (US$20.6 million) on three soft drink
manufacturers for fixing their products' prices.
The three companies -- Lotte Chilsung Beverage, Haitai Beverage and Woongjin
Foods -- were found to have been colluding to rig product prices since early last
year, the Fair Trade Commission (FTC) said.
Industry leader Lotte Chilsung Beverage was slapped with the largest fine of 21.7
billion won, followed by Haitai Beverage with 2.3 billion won, the watchdog said.
Two other companies -- Coca Cola Korea and Donga-Otsuka -- were excluded from the
fines because they voluntarily reported their involvement in the price rigging
scheme.
The FTC said it will bring criminal charges against the chief executive officers
of Lotte Chilsung Beverage and Haitai Beverage.
"Investigators found that Lotte Chilsung Beverage had come up with a price hike
plan, with others following suit," the watchdog said.
The companies have jacked up prices three times since February last year, citing
a weakening local currency and increased prices for raw materials.
In March this year, the FTC launched a probe into allegations that the five
companies had been involved in price rigging.
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