HomeLatest FeedsTechnology NewsDahua Technology Poland and equipment distributors received significant fines for an illegal...

Dahua Technology Poland and equipment distributors received significant fines for an illegal market agreement


Dahua Technology Poland and equipment distributors received significant fines for an illegal market agreementEntities with significant market position sometimes use it to their advantage against the interests of customers. It is the responsibility of state authorities to detect such cases and punish the enterprise in order to restore normal market competition. This is the situation in the case of Dahua Technology Poland and distributors of the monitoring equipment it imports.

The Office of Competition and Consumer Protection (UOKiK) imposed a total of over PLN 37 million in penalties on Dahua Technology Poland and its equipment distributors for price fixing and other illegal market practices. Managers from these companies will also be punished.

Dahua Technology Poland and equipment distributors received significant fines for an illegal market agreement

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The discussed UOKiK fines, with a total amount of as much as PLN 37 million, are the result of detecting cases of illegal agreements between Dahua Technology Poland and distributors of imported products. The main goal of companies was to maximize financial benefits by limiting normal market competition. Fines were imposed on six distributors, including Alpol, Alkam Security, Eltrox, Delta-Opti and Techglobal. Seven managers responsible for illegal agreements were also punished.

Dahua Technology Poland and equipment distributors received significant fines for an illegal market agreement [2]

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Dahua Technology Poland imports Dahua equipment into Poland. The imported devices include, for example, IP cameras, recorders and video intercoms. The practices detected were a form of illegal price collusion. The companies agreed on product prices and market division, under which individual customers were assigned to specific companies. In this way, the competition mechanism was disrupted because consumers were unable to buy equipment at prices lower than those set above. The first distributor who submitted a large order to Dahua Technology Poland received a discount and protection from the company, which prevented competing companies from presenting a better offer.

Dahua Technology Poland and equipment distributors received significant fines for an illegal market agreement [3]

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Irregularities in the market policy of Dahua Technology Poland have occurred since 2016. The company sent partners price lists that prevented the sale of products below certain price levels and also imposed maximum discounts. There were also cases when distributors themselves turned to Dahua Technology Poland if they noticed that someone was selling the company’s products at lower prices than those agreed above. In practice, all of the above activities were inconsistent with the principles of market competition, which did not escape the attention of the Polish antitrust office.

Source: UOKiK, TVN 24



Mr.Mario
Mr.Mario
I am a tech enthusiast, cinema lover, and news follower. and i loved to be stay updated with the latest tech trends and developments. With a passion for cyber security, I continuously seeks new knowledge and enjoys learning new things.

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