EU makes whistleblowing against cartels easier

European Union regulators sought on Thursday to make it easier for cartel members to snitch on their partners as part of a broader anti-cartel crusade.

The European Commission tried to make life easier for cartel members who blow the whistle by giving greater certainty about what information regulators need and what terms to get leniency and exemption from fines.

The leniency programme is one of the EU executive arm's main tools in its clampdown against cartels, which has been a top priority this year.

"To root out cartels we need heavy sanctions to deter cartels and an efficient leniency policy providing incentives to report them," EU Competition Commissioner Neelie Kroes said.

"These changes will further strengthen the effectiveness of the Commission's leniency programme in the detection of cartels and offer clearer guidance for business," she added.

In her cartel crackdown, the Dutch commissioner has so far this year targeted about 10 of them, nearly double last year's figure, and is expected to bust more before 2006 is over.

Stepping up its anti-cartel campaign, the commission last week imposed its second highest fine against a cartel by hitting companies in the rubber market with a penalty of 519 million euros.

The fine brought the total amount the commission has imposed in cartel cases this year to 1.843 billion euros, an annual record for EU regulators.

In addition to the rubber case, the commission has so far fined cartels in the markets for steel beams, copper fittings, bitumen in The Netherlands, acrylic glass and hydrogen peroxide.