JOHANNESBURG May 25 South Africa's Naspers'
pay-television subsidiary has agreed to pay an
accumulative fine of 180 million rand ($13.97 million) for price
fixing, the competition commission said on Thursday.
"DStv Media Sales (Pty) Ltd has admitted to price fixing and
the fixing of trading conditions in contravention of South
Africa's Competition Act," the commission said in a statement.
DStv, a digital satellite service, is owned by MultiChoice,
which is a unit of Naspers, the biggest listed firm on the
The matter relates to a November 2011 investigation, which
found that through the Media Credit Co-Ordinators (MCC), various
media companies agreed to offer similar discounts and payment
terms to advertising agencies that place advertisements with MCC
"The Commission found that the practices restricted
competition among the competing companies as they did not
independently determine an element of a price in the form of
discount or trading terms," the commission said.
As part of the consent agreement filed with the Competition
Tribunal, which makes the final ruling, DStv Media Sales will
pay an administrative penalty of over 22 million rand and pay 8
million rand to the Economic Development Fund over three years.
DStv Media Sales will also provide 25 percent in bonus
airtime for every rand of airtime bought by qualifying small
agencies for three years, the commission said.
MultiChoice and Naspers could not immediately be reached for
($1 = 12.8846 rand)
(Reporting by Nqobile Dludla; editing by Susan Thomas)