www.ccs.gov.sg

31 January 2013

Leniency Fundamentals – How to Design & Implement an Effective Leniency Program

Outline

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1. Introduction to CCS

3. CCS’ Leniency Regime – Key Features

5. Practical Challenges

2. Implementation of Leniency Regime

4. Outreach & Advocacy

6. Improvements & Revisions

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Introduction to CCS

Competition Commission of Singapore (CCS)

Statutory body under Ministry of Trade and Industry

Implement and enforce the Competition Act

Powers of the CCSInvestigate any infringement

Decide on infringements

Impose sanction

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Implementation of Leniency Program

2005

2006

2008

2009

MarCompetition Act comes

into Force

CCS begins enforcement of the Act

Study and Review of Leniency programs from

other jurisdictions

CCS introduces Leniency Guidelines Formally

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CCS’ Leniency Regime – Key Features

i. Leniency Programme since 2009

ii. 1 successful leniency case - Electric Works Case

iii. Increasing trend of international cartel applications

iv. Challenges

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CCS’ Leniency Regime – Key Features

i. Immunity from Financial Penalties for 1st applicant

ii. Up to 50% reduction for subsequent applicants

iii. Initial contact & Marker System

iv. Invited Leniency

v. Leniency Plus

Outreach & Advocacy – Before Implementation

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CCS Guidelines on Lenient Treatment for Undertakings coming forward with

Information on Cartel Activity

• Educating Businesses

• Ensuring Internal Framework / Processes strong

• Safeguards

Outreach & Advocacy – After Implementation

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• Guidelines• Manga Comics• Information

Booklets• Talks to

Stakeholders• Animation

Contests• Website Links

i. Information Sharing

ii. Different Enforcement Regimes

iii. Right against self-incrimination

Cooperation

i. Processii. Identity of

Individualiii. Identity of

Undertaking

Practical Challenges

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Confidentiality

i. Big MNCsii. Due Diligenceiii. Own statement or

Applicant’s

Managing Applicant

Contra

Pro

Pro Arguments

Potential for quicker resolution Enhances effectiveness Coordination of Investigations Capacity Building

Contra Arguments

Criminal vs Civil Regimes Privilege against self-incrimination Disincentive to seek leniency Divergence in leniency frameworks

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Practical Challenges

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Improvements & Revisions

i. Periodic Review – Guidelines

ii. Update of Internal Procedure Manuals

iii. Alignment of Processes

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Harikumar Sukumar PillayDeputy Director (Enforcement)

Legal & Enforcement

Championing Competition for growth and choice

Email: harikumar_pillay@ccs.gov.sg

Thank you. Questions?