KUALA LUMPUR (Sept 30): The Malaysia Competition Commission (MyCC) said on Monday investigation found 81 enterprises allegedly involved in a price-fixing agreement for the provision of Umrah travel services.
A proposed decision was issued and the 81 enterprises face possible penalty for the breach of Section 4 of the Competition Act 2010, MyCC said in a statement. The cartel behaviour allegedly stretched back to 2023, the anti-trust agency noted.
“It is important to highlight that at this stage, the proposed decision is a provisional finding and it should not be assumed that these enterprises have infringed” the law also known as Act 712, said MyCC chairman Datuk Seri Mohd Hishamudin Yunus.
MyCC will then make a final decision on whether an infringement has been committed and disclose the penalty to be imposed. A firm can ask the Competition Appeal Tribunal to re-examine MyCC’s decision and the last avenue for appeal would be to initiate a judicial review.
The MyCC investigation provisionally found that the 81 enterprises, which are also the members of an association registered in Malaysia, have agreed to fix the floor prices for both economy and premium Umrah package services during their meetings in early 2023.
The commission also discovered that the association in question later made announcements to the media to inform the public of their agreed floor prices. All 81 enterprises except 10 are licensed to provide Umrah travel services, according to the quasi-judicial body.
GISB Travel & Tours Sdn Bhd, Abeel Travel & Services Sdn Bhd and Abu Rizki Travel & Tours Sdn Bhd are among the 81 enterprises identified by MyCC for potentially violating the competition law.
MyCC said it had notified the enterprises named in the proposed decision about the proposed penalties. The law allows the enterprises to submit their written representations to MyCC within 30 days of receiving the proposed decision.
The enterprises will also have an opportunity to present their oral representations before the commission on a date to be determined later.
MyCC will issue its final decision only after taking into account the representations made by the enterprises together with the evidence obtained during the investigation, Mohd Hishamudin added.