19 Mar 2014

Carter Holt Harvey could face $2m fine

1:17 pm on 19 March 2014

Carter Holt Harvey could be penalised nearly $2 million for its part in an Auckland price-fixing scheme.

The Commerce Commission says the company entered into an understanding with Fletcher Distribution to fix prices on structural timber for commercial construction in Auckland.

No caption

Photo: PHOTO NZ

Commission lawyer John Dixon says the price-fixing operated out of two of Fletcher's Placemakers shops in Auckland during late 2012 and early 2013, and involved MSG-8 timber.

He says it has not been possible to determine the company's precise commercial gain from the scheme but Fletcher's has said its shops benefited by $100,000.

Mr Dixon and Carter Holt Harvey have agreed on a recommended penalty of $1.85 million for the company, and a $5000 fine for a company sales manager, Dean Dodds, for his part in the scheme.

The judge has reserved his decision.