1) About Cartel Practices
Identifying and breaking up cartel practices are an important goal pursued by most competition authorities around the world as cartel practices are very damaging to consumers. Sharing the view of competition authorities around the world, the MyCC has made “the fighting of cartels” its highest priority.
2) What Is the Relevant Legislation Concerning the Leniency?
The leniency is only available for a breach of Section 4(2) of the Competition Act 2010.
3) What Is the Statutory Framework of the Leniency?
In order to qualify under a leniency, firstly, there must be an admission to an infringement of the prohibition against a Horizontal Agreement; and secondly, the applicant must provide assistance to the Commission until the case has been decided. (Section 41)
4) What Is Needed to Be A Successful Leniency Applicant?
An applicant for leniency is required to provide information and offer other forms of co-operation with respect to an alleged infringement of a prohibition under the Act. The completed leniency application should be submitted in writing, unless otherwise authorised by the MyCC, and signed by an authorised senior officer of the applicant.
5) Is Confidentiality Afforded to the Leniency Applicant?
The MyCC requires a leniency applicant not to disclose to anyone that it has made an application for leniency. Confidentiality including the identity of the application will be maintained subject to Section 21 of the Act. The MyCC shall not use any self-incriminatory information obtained by leniency applications against any unsuccessful leniency applicant.
6) What Is the Benefit of Obtaining Priority (a “Marker”)?
The potential applicant may ask for a “marker” in order to preserve its priority in receiving leniency while an application is being prepared. The marker essentially records the priority, the date and times and matter for which an enterprise intends to submit an application for leniency and contains a stipulation of the date by which the enterprise must complete its application.
A marker is valid for 30 days from the date it is granted. If the recipient of a marker fails to complete its application by the end of the specified period, the enterprise will lose its priority position. It may wish to obtain a new marker if it wishes to make a leniency application. All subsequent leniency applicants will receive a marker upon request. An extension of time shall be subject to valid grounds and it is up to the discretion of the MyCC.
7) What Is Not Covered By A Grant of Leniency?
Any leniency granted would not, in and of itself, protect the successful applicant from other legal consequences, such as civil proceedings commenced by an aggrieved person who has suffered loss or damage directly caused by an infringement.
8) What is the Percentage Reduction of a Financial Penalty?
The Act provides that the MyCC may grant a reduction of up to 100 percent of a financial penalty that would otherwise be imposed by the MyCC in respect of a prohibition. (Section 41)
9) Contacting the MyCC
Potential leniency applicants should approach the MyCC as soon as possible. Applications may be submitted to the MyCC in any of the following ways:
- Email – Submit the completed Leniency Form by email to email@example.com
- Post – The completed Leniency Form may also be sent by post addressed to:
- Leniency Officer
Malaysia Competition Commission (MyCC)
Level 15, Menara SSM @Sentral,
No.7 Jalan Stesen Sentral 5,
Kuala Lumpur Sentral,
50623 Kuala Lumpur.
- In Person – Applicants may also call in person at our office to fill in and submit the Leniency Form.
For assistance, please contact the MyCC at 03-22732277. The MyCC has appointed an official to serve as the Leniency Officer to facilitate the handling of inquiries about the availability of leniency in specific circumstances.
NOTE: Please refer further to the Guidelines on Leniency issued by the MyCC.