EU accuses Deutsche Bank and Rabobank of cartel

The European Commission has filed official charges against Deutsche Bank, one of Germany’s largest banks, and Netherlands-based Rabobank, alleging they formed a cartel in the market for euro-denominated government bonds.

In the statement, it was noted that the Commission sent an official notification with the accusations to the banks in question.

In the statement, it was stated that the EU Commission was of the opinion that Deutsche Bank and Rabobank were harming competition by collaborating in the bond market, and it was pointed out that the banks’ behavior violated EU rules.

BANK EMPLOYEES SPEAK UP TO SHARING INFORMATION

The statement said that employees of the bank in question communicated via email and online chat rooms between 2005 and 2016, and that the merchants shared commercially sensitive information.

In the statement, it was emphasized that banks coordinate their pricing and trading strategies when trading bonds on secondary markets in Europe.

The EU was investigating to determine whether the banks in question had formed a cartel among themselves.

YOU CAN PENALIZE UP TO 10 PERCENT OF THE ANNUAL BILLING

The EU Commission has the authority to inspect companies operating in EU countries if there is an anti-competitive situation in their sectors.

If the EU Commission finds a violation of competition or antitrust laws in such an investigation, it ends it and imposes large fines on the companies.

Companies that violate competition rules can be fined up to 10 percent of their global annual turnover. (AA)