KUALA LUMPUR: The Malaysia Competition Commission (MyCC) is proposing to fine seven tuition and day-care centres for wrongfully agreeing to fix and standardise their fees in SS19, Subang Jaya, Selangor.
The agreement to collectively fix the fees was decided in May 2017.
By doing so, they had infringed Section 4 of the Competition Act 2010 (CA2010).
After taking into account the circumstances of the case, MyCC has proposed to impose a collective penalty of RM33,068.85 for the duration of the infringement and not more than 10% of their worldwide turnover.
The provisional decision requires the centres to immediately cease price fixing and to repudiate the price-fixing agreement with immediate effect.
They are also required to enrol and complete MyCC’s e-Learning course on Competition Compliance for Small and Medium Enterprises (SMEs) within one month.
Pursuant to Section 36 of the Act, the commission had provided detailed reasoning for its decision to provide all seven tuition and day-care centres with a fair opportunity to respond.
MyCC’s chief executive officer Abu Samah Shabudin said price fixing was considered to be a very serious infringement under the CA 2010.
Therefore, the commission would not hesitate to take swift and stern action against all enterprises, whether big or small, found to be engaged in such anti-competitive practices.
“This should serve as a clear message and deterrent to others from following suit,” he added.