BS: A REAL Scandal in Canada

Subject: BS: A REAL Scandal in Canada
From: JohnInKansas
Date: 09 Jun 13 - 02:44 AM

Mars, Nestle, Hershey accused of chocolate price-fixing conspiracy in Canada

By Ian Johnston, Staff Writer, NBC News

Nestle, Mars and Hershey companies in Canada have been charged with conspiring with others to fix the price of chocolate, authorities said.

Nestle Canada and Mars Canada both said they would "vigorously defend" themselves against the claims.

Canada's Competition Bureau said in a statement that Hershey Canada was expected to plead guilty later this month "for its role in the conspiracy to fix the price of chocolate confectionery products in Canada."

However, the bureau said that Hershey had "cooperated" with the investigation and it had recommended to prosecutors that it should receive "lenient treatment."

John Pecman, the interim commissioner of competition, said in the statement the bureau was committed to taking on "those who engage in egregious anti-competitive behavior that harms Canadian consumers."
"Price-fixing is a serious criminal offence and today's charges demonstrate the Competition Bureau's resolve to stop cartel activity in Canada," he added.

ITWAL Ltd., a national network of independent wholesale distributors, has also been charged along with Robert Leonidas, former president of Nestlé Canada; Sandra Martinez, former president of confectionery for Nestlé Canada; and David Glenn Stevens, president and chief executive of ITWAL.

The Competition Bureau said it became aware of the allegations under a program in which the first party to disclose an offense "may receive immunity" from prosecution.

"Subsequent cooperating parties may receive lenient treatment under the Bureau's Leniency Program," it added. "These programs provide powerful incentives for business organizations and individuals to come forward and cooperate with the Bureau's investigations."

The bureau said the accused "face the possibility of a fine of up to $10 million and/or imprisonment for a term of up to five years."

In a statement on its website, Nestlé Canada said the allegations dated back to 2007 and before.

"Nestlé Canada will vigorously defend these charges," it said. "At Nestlé Canada, we pride ourselves on operating with the highest ethical business standards."

Mars also denied the charges. "Mars Canada intends to vigorously defend itself against these allegations," it said in a statement. "It is Mars Canada's policy not to comment on pending litigation and we are therefore unable to make any additional comments in relation to this matter, which is now before the court."

Hershey Canada said in a statement that it had "promptly reported the conduct to the Competition Bureau, cooperated fully with its investigation and did not implement the planned price increase that was the subject of the 2007 communications."

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Okay, so we expect a little price rigging on gasoline/petrol, or beer and breakfast cereals and beef; but an essential food like CHOCOLATE is just GOING TOO FAR.

Of course nothing like that could ever happen down here in the US.

John

Subject: RE: BS: A REAL Scandal in Canada
From: Bonnie Shaljean
Date: 09 Jun 13 - 05:09 AM

OMG!!!! I'll never eat chocolate again... oh, the betrayal...

I used to especially love munching on Hersheys & Marses & Nestléses while reading e-books on my Apple iPad...

Subject: RE: BS: A REAL Scandal in Canada
From: Charmion
Date: 09 Jun 13 - 07:25 AM

We have government-mandated price-fixing in dairy products, eggs and wheat -- they call it "supply management" -- and you're surprised that the private sector is using the same technique?

What's really funny is the prosecutors' indignation. I wanna see them take on the Milk Marketing Board of Ontario; now, that would be a genuine Trial of the Century!

Subject: RE: BS: A REAL Scandal in Canada
From: Mooh
Date: 09 Jun 13 - 09:44 AM

How sweet it is. Or is not.

Peace, Mooh.

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST
Date: 09 Jun 13 - 10:21 AM

The price fixing had to be done. Wallin took a stash of Mars Bars home, then forgot where home was. Duffy did the same with Hershey products. He also forgot where his home was. Harper left a grocery bag full in Peru. Unfortunately he remembered where his home was and returned. Anyway, to prevent financial collapse of Canada's sweets economy the aforementioned chocolate purveyors (Mars, Hershey, Nestle) sacrificed their good names to save us all. I'm sure NSA has it all digitalized somewhere.

Subject: RE: BS: A REAL Scandal in Canada
From: gnu
Date: 09 Jun 13 - 12:19 PM

Hershey bought out Moirs in Halifax and jacked up the price UNreasonaly on Pot of Gold chocolates which were a Maritime staple for years.

Subject: RE: BS: A REAL Scandal in Canada
From: Q (Frank Staplin)
Date: 09 Jun 13 - 12:53 PM

Milk prices seem to be "fixed" here in the west of Canada as well.

Subject: RE: BS: A REAL Scandal in Canada
From: Ed T
Date: 09 Jun 13 - 02:19 PM

I noticed the recent price hikes in all chocolate products (even the artificial chocolate products), and that these hikeswere not as steep in the US of A.

But, the "woman in me" pushed me to travel frequently down chocolate isles, regardless of price :)

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST
Date: 09 Jun 13 - 03:34 PM

I don't know if milk prices are still controlled, but at one time they were by the Feds. The rationale was that even poorer families would have access to a complete protein. I hope the prices are still controlled.

Subject: RE: BS: A REAL Scandal in Canada
From: Q (Frank Staplin)
Date: 09 Jun 13 - 04:05 PM

Farmers are getting an extra 5 cents/litre(er) because of higher fuel and grain costs, but some retailers have jacked the price by as much as 50 cents.
CBCnews.ca, 11 Feb. 2013. "Farmers blame soaring milk prices on retailers."

Subject: RE: BS: A REAL Scandal in Canada
From: JohnInKansas
Date: 09 Jun 13 - 04:31 PM

US milk prices aren't "controlled" since they discovered the euphemism "supported." Some time ago they found that producers had more than they could sell at a price that covered the costs of production, so the Fed buys milk at some minimum price if the open market price falls below the "support level."

The result has been described as something like a "stretch bra" since the quantities the Fed can buy are limited, so it's "incomplete support" and there's nothing preventing the market price from rising above the support level so that the Fed buys none, although the Fed can "release for sale" some of what they bought previously to exert some control over temporary "peaks."

An insufficiently recognized result of the "price supports" comes from the fact that "raw milk" is a more complex product than most people realize, since it's the source for separate products like milk, milk protein, milk fats, whey, glue*, (barn) paint and the like. Selective purchase/sale of components in the Fed "reserve" can be used to exert some "regulation" of a very broad variety of industries. As it is a Federal program, even those who administer it have little understanding ... ... ... of all its effects.

* The appearance of consistently reliable casein glue, basically a milk product, saved thousands of chickens previously slaughtered for the "chicken blood" that held wooden airplanes (and a few automobiles? at the time) together, and greatly improved the smell in lots of factories. Possibly due to the wartime economy, no price supports for the chickens was created, although the fishbait industry was credited with making a valiant effort to provide an alternative use.

John

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST,Chris B (Born Again Scouser)
Date: 10 Jun 13 - 06:07 AM

'I used to especially love munching on Hersheys & Marses & Nestléses while reading e-books on my Apple iPad... '

Well, there's two food groups covered.

Subject: RE: BS: A REAL Scandal in Canada
From: number 6
Date: 10 Jun 13 - 07:01 AM

Guest @ 09 Jun 13 - 10:21 AM ... very good !!! *LOL*

biLL

Subject: RE: BS: A REAL Scandal in Canada
From: gnu
Date: 10 Jun 13 - 08:13 AM

Ditto sIx.

Subject: RE: BS: A REAL Scandal in Canada
From: Rapparee
Date: 10 Jun 13 - 09:46 AM

Chocolate...what's next? Sex? They go together. I can see the headlines now:

"Harper In Love Nest With Sweet Marie!!
      National Security Threatened!!!
      Six Sticky Pages Of Photos!!!"

Subject: RE: BS: A REAL Scandal in Canada
From: Q (Frank Staplin)
Date: 10 Jun 13 - 01:37 PM

Pot of Gold often on sale at a local drug giant. OK, but local chocolatiers produce much better chocolates.

Subject: RE: BS: A REAL Scandal in Canada
From: gnu
Date: 10 Jun 13 - 01:56 PM

Here too, Q. I don't think there are very many around here but I seldom touch chocolate... the last time was three "samples" from a tin of quality street I was given which I took to my credit union and gave to a teller to put in the lunchroom. Too much wax. Before that, I can't recall when I last ate chocolate.

POG now sucks. Even Ganong's (NB) quality has gone downhill due to the ravages of mass production and the market pressure the large companies bring to bear.

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST,Mark
Date: 10 Jun 13 - 05:37 PM

Quebec margarine cannot have a "buttery" taste. This was soon after it was no longer illegal in Quebec to have margarine colo(u)red yellow.

http://www.cjad.com/CJADLocalNews/entry.aspx?BlogEntryID=10521193

Subject: RE: BS: A REAL Scandal in Canada
From: Q (Frank Staplin)
Date: 10 Jun 13 - 07:23 PM

Yellow margarine is fakery any way you look at it. It does not have carotene.

Subject: RE: BS: A REAL Scandal in Canada
From: Rapparee
Date: 11 Jun 13 - 09:42 AM

So what color IS margarine in Quebec? Beige? Blue? Green? Black? Teal?

Can you make it any color you want? How about butter -- can you add some blue food coloring and make it green, or would that be against the law?

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST
Date: 11 Jun 13 - 09:55 AM

Even butter now has color added to it. I'm old enough to recall margarine that came in one-pound plastic bags. There was a color thing that you broke and then mushed the bag until the white oleo turned uniformly yellow. Haute cuisine for the poor.

Subject: RE: BS: A REAL Scandal in Canada
From: bobad
Date: 11 Jun 13 - 10:35 AM

The dairy lobby in Quebec convinced the government that yellow margarine would cause confusion in consumers who would not be able to tell the difference between it and butter. The government sure had a high opinion of the intelligence of Quebecers.

Subject: RE: BS: A REAL Scandal in Canada
From: GUEST
Date: 11 Jun 13 - 10:46 AM

I can't believe it's not butter!