El Salvador: End to Conflict in the Flour Market

The Superintendence of Competition reported that it has closed the case on flours, after verifying the payment of a fine of more than $1.97 million, a result of the embargo on the bank accounts of Molinos de El Salvador.

Friday, August 17, 2018

The sanction was imposed by the SC, in September 2008, due to the anticompetitive practice of agreeing to divide up the flour market.

From a statement issued by the Superintendency of Competition (SC):

The Superintendence of Competition (SC) closes the case of flours with unprecedented judicial victory, after a communication from the Office of the Attorney General of the Republic (FGR) regarding payment of a fine of more than $1.97 million, product of the embargo on the bank accounts of Molinos de El Salvador, SA de CV (MOLSA). The sanction was imposed by the SC, in September 2008, due to the anticompetitive practice of agreeing to share out the flour market.

See "El Salvador: Sanctions on flouries ratified"
 
In May 2017, the Contentious Administrative Chamber (SCA) of the Supreme Court of Justice declared the sanctions imposed by the SC on the flour companies legal, obliging them to pay their respective fine: $1,971,015.16, for MOLSA, and $2,061,406.20, for HARISA. The latter voluntarily paid the fine in August 2017; while in the case of MOLSA, the FGR proceeded to a judicial process to enforce the judgment in which it effected the seizure of its bank accounts for the actual payment made on August 15.

Read full statement (in Spanish).

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El Salvador: Sanctions on Flour Producers Ratified

May 2017

The Supreme Court of Justice has ratified the sanctions imposed in 2008 on Molinos de El Salvador and HARISA for anticompetitive practices, and $4 million must be paid in fines.

From a statement issued by the Superintendency of Competition:

Anticompetitive Flour Practices Denounced

June 2016

Agroindustrias Gumarsal has denounced to the Superintendency of Competition in El Salvador alleged anticompetitive practices in the flour sector.

From a statement issued by the Superintendency of Competition:

The Superintendency of Competition this morning received a complaint from the legal representative of Agroindustrias Gumarsal requesting the initiation of disciplinary proceedings for anticompetitive practices in the flour sector.

Flour: Relapse into Anticompetitive Practices

November 2014

The Superintendency of Competition in El Salvador has pointed out that the businesses MOLSA and HARISA are still forging agreements on sharing the market, having been previously sanctioned for the practice.

Six years after being punished for engaging in anticompetitive practices, the companies MOLSA and HARISA are again under scrutiny by the competition regulator, whose head submitted documents "...

Anticompetitive Practices in Flour Market

August 2012

The Superintendence of Competition in El Salvador has initiated an investigation into alleged anticompetitive practices in the market for the production and distribution of wheat flour.

A statement by the Superintendency of Competition (SC) reads:

SC investigates wheat flour market

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