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Decision to Toshiba Corporation and NEC Corporation

Decision to Toshiba Corporation and NEC Corporation

June 30/2003
Japan Fair Trade Commission

The JFTC decided to initiate hearing procedures against Toshiba Corporation (Minato-ku, Tokyo) and NEC Corporation (Minato-ku, Tokyo) on 4 December 1998 and has been having examiners conduct the procedures. The JFTC issued a resulting decision to the two companies on 27 June 2003 in accordance with Section 54(2)of the Antimonopoly Act.

 1 Outline of decision

(1)Outline of violation

The two companies had been restricting the competition, contrary to the public interest, in the trading field of automatic letter sorting machine ordered by Ministry of Posts and Telecommunications in the FY1995 or FY1997 in the method of open competitive bidding, by jointly predetermining the one who had received information from procuring officials of the Ministry before the bidding as the winner and allowing it to win the bid, assuming the information from the procuring officials of the Ministry.

(2) Outline of elimination measures

A. The two companies shall confirm cessation of the act of predetermining the winner and allowing it to win the bids for the sorting machines ordered by the Ministry by way of open competitive bidding from 3 July 2003 at the latest.
B. The two companies shall report to the Fair Trade Commission on the measures which were taken according to the preceding section.

 2 History

Decision to initiate hearing
The 1st hearing
The 26th hearing(termination)
Service of the decision draft
Request for a direct statement and objections to the draft.
Listening of the direct statement
12 November 1998
4 December 1998
5 March 1999
24 September 2002
24 March 2003
7 April 2003
8 May 2003

*Every announcement is tentative translation. Please refer to the original text written in Japanese.