[ad_1]
Jerónimo Martins Polska (JMP), a subsidiary of the Portuguese retail group, will legally challenge – “with full force, arguments and commitment” – the decision of the Polish Authority for Competition and Consumer Protection (UOKiK), which fined the retailer in PLN 723 million (163 million euros) for “imposing some arbitrary discounts”, mainly on suppliers of fruit and vegetables, after delivery of the products.
In a note released this Monday, December 14, after being accused of having invoiced more than 135 million euros in the last three years with abusive discount practices that have harmed more than 200 suppliers, the supermarket chain Biedronka says that “no accepts UOKiK’s decision and fine for being partial, lacking legal and factual basis and, therefore, unfair and undeserved “.
“The decision [do regulador] reveals a misunderstanding of the nature of the business and the inherent negotiating dynamics. The specific discount mentioned publicly by UOKiK is, in fact, previously agreed between the parties and applied to the billing for the defined period “, adds the retailer in the note sent to Negócios, saying that it has” confidence that the Polish courts will deal with this case objectively and impartially “and that justice will be done.”
After listening to the president of the UOKiK, Tomasz Chróstny, criticize these alleged “practices [que] destroy the foundations of fair competition “and that” are a manifestation of deep dishonesty and lack of respect “on the part of other economic agents, in addition to pointing out that these discounts did not translate into lower prices for the final customer, Biedronka questions the tone aggressive used by regulator and responds that this “collective bargaining effort aims to benefit consumers.”
“Biedronka deeply regrets that this unfair decision and aggressiveness in the form and content of its ad comes at a time marked by particularly challenging circumstances, when it is at the forefront of supporting consumers in the common effort to combat the pandemic. , also contributing to the strengthening of the Polish economy ”, adds Jerónimo Martins Polska.
Ladybug in Look at the Regulator
In the most recent presentation of accounts, Jerónimo Martins informed the market that the Biedronka supermarket chain closed the first nine months of this year with a sales increase of 7.3%, to 9.9 billion euros. On the other hand, the sales of the health and beauty store chain Hebe contracted by 9.4% until September, to 180 million euros.
In a few months, this is already the second fine imposed by the Polish competition regulator on Jerónimo Martins Polska. In August, it presented another fine of 26 million euros for charging prices other than those displayed on the shelves, a decision that the subsidiary of the Portuguese retail group announced that it would challenge in court, claiming that these incorrect prices were due to “human error.”
Still, this was a much less than the potential amount of the fine. It is that, when notifying JM in October 2019, the Polish authority highlighted that, if the accusations are confirmed, the group could incur a fine equivalent to up to 10% of Biedronka’s turnover. Now, as the supermarket chain earned 12.6 billion euros in 2019, the fine could amount to 1.2 billion euros.
[ad_2]
