Takata will face 21 corruption charges in South Africa

This follows the commission that brought four charges against Takata Corporation and Takata South Africa in court for it to be prosecuted in March.

The latest accusations relate to collusion related to calls for tenders launched between 2006 and 2011 by BMW, Toyota and VW for the manufacture and supply of various automotive components, including airbags, seat belts and steering wheels. . The four court charges in March related to price fixing, market division and collusive bids on tenders launched for Honda, BMW and Toyota models.

The commission was not seeking sanctions against other global players and their local affiliates involved with Takata.

Autoliv Inc., Autoliv SA, TRW Automotive Inc. and TRW Occupant Restraints South Africa IncTRW were the first to seek immunity from prosecution. Autoliv, one of the world's largest manufacturers of airbags, seat belts and steering wheels, has signed a settlement agreement with the commission, which was upheld by the court last year. Under the agreement, Autoliv agreed to pay a fine of R 149.96 million for taking part in a number of anti-competitive practices prohibited in bids issued by BMW and Volkswagen for the manufacture and sale of the car. provision of airbags, seat belts and steering wheels.

Tembinkosi Bonakele, the Commissioner of Competition, said yesterday that the discovery and prosecution of this international cartel confirmed the commission's position as one of the world's global forces against the cartel. "The auto parts cartel is one of the most extensive global cartels affecting most vehicle models and therefore a significant number of consumers worldwide, including South Africa."

"Vehicles concerned are among the most popular in our market. Its effect would have been an increase in the prices of the motor vehicles concerned, "he said.

In March of this year, the Competition Commission approved, with conditions, a merger proposal under which Joyson KSS Holdings n ° 2 and Joyson KSS Automotive Safety SA intended to acquire Takata Corporation.

Conditions were imposed to secure the payment of the fines imposed on Takata by the court Sipho Ngwema, Communications Manager At the time, the commission stated that the conditions imposed on the proposed transaction would ensure the preservation of any claim that the commission may have against Takata in the event that an administrative penalty was imposed on Takata. Independently of the Commission's concerns about market collusion, he was concerned that the proposed transaction would serve to protect Takata from any administrative penalty that could be imposed on Takata if found guilty of violating the Competition Act.

He said that the commission believed that Ningbo Joyson's acquisition of control over Takata's case that was supposed to be involved in cartel conduct, resulting in Takata's absorption by Ningbo Joyson, would lead to uncertainty as to which company would be liable for the penalty arising from the investigation of the cartel in the event that an administrative penalty would have been imposed.