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New whistleblower tool to help EU fight cartels

17 March 2017, 00:19 CET
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New whistleblower tool to help EU fight cartels

Margrethe Vestager - Photo © European Union 2017

(BRUSSELS) - A new tool launched Thursday by the European Commission will make it easier for individuals to blow the whistle about secret cartels and other antitrust violations while maintaining their anonymity.

Anti-competitive practices include agreeing on prices or procurement bids, keeping products off the market or unfairly excluding rivals and can cause immense damage to Europe's economy. These can deny customers access to a wider choice of goods and services at reasonable prices, stifle innovation and put companies out of business.

"Inside knowledge can be a powerful tool to help the Commission uncover cartels and other anti-competitive practices," said the Competition Commissioner Margrethe Vestager: "With our new tool it is possible to provide information, while maintaining anonymity. Information can contribute to the success of our investigations quickly and more efficiently to the benefit of consumers and the EU's economy as a whole".

Until now, most cartels have been detected through the Commission's leniency programme, which allows businesses to report their own involvement in a cartel in exchange for a reduction of the fine imposed on them.

The new tool gives an opportunity also to individuals who have knowledge of the existence or functioning of a cartel or other types of antitrust violations to help end such practices.

The new system increases the likelihood of detection and prosecution and so stands to further deter businesses from entering or remaining in cartels or carrying out other types of illegal anti-competitive behaviour.

The new tool – anonymous provision of information

The new tool protects whistleblowers' anonymity through a specifically-designed encrypted messaging system that allows two way communications. The service is run by a specialised external service provider that acts as an intermediary, and which relays only the content of received messages without forwarding any metadata that could be used to identify the individual providing the information.

In particular, the new tool:

  • gives individuals the option of asking for the Commission to reply to their messages,
  • allows the Commission to seek clarification and details,
  • preserves anonymity through encrypted communications and the use of an external service provider,
  • aims to increase the likelihood that the information received will be sufficiently precise and reliable to enable the Commission to follow up the leads with an investigation.

Individuals that are willing to reveal their identity can contact the Commission's competition department directly through a dedicated phone number and e-mail address.

Anonymous Whistleblower Tool

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