Rory Watson in Brussels
The European Commission imposed one of the highest cartel fines in its history yesterday as it penalised nine companies for operating an illegal paraffin mafia for more than 13 years.
The combined penalties of 676 million (£534 million) on the companies for fixing prices and carving up markets for paraffin wax which is used in products such as candles, tyres and adhesives are the latest sign of the Commissions determination to stamp out cartels that prevent customers benefiting from competition.
Neelie Kroes, the EU Competition Commissioner, said: There is probably not a household or company in Europe that has not bought products affected by this paraffin mafia cartel, with all that implies in paying over the odds, higher costs and economic damage.
The Commission made dawn raids on the companies three years ago after Shell, one of its members, blew the whistle on the illegal activities.
The investigators found that the companies held regular meetings to discuss prices, allocate markets and customers and exchange sensitive commercial information.
Shell escaped a possible fine because it provided the Commission investigators with the initial vital information.
Sasol, the South African-German company that was considered the leader of the group, was fined 318.2 million. Among its employees, the cartel was dubbed the Blauer Salon (Blue Saloon) after the hotel bar in Germany where the first meetings were held.
Sasol, the worlds biggest manufacturer of motor fuel from coal said: Sasol is surprised by and does not understand the reasons for the magnitude of this fine and will be studying the reasons for the finding with a view to lodge an appeal against it.
The other companies fined were Total of France (128.2 million), ExxonMobil of the US (83.6 million), RWE of Germany (37.4 million), ENI of Italy (29.1 million), Hansen & Rosenthal of Germany (24 million), MOL of Hungary (23.7 million), Repsol of Spain (19.8 million) and Tuda-petrol of Germany (12 million).
The global paraffin wax market is worth almost 500 million.
RELATED LINKS
http://business.timesonline.co.uk/tol/business/law/article4863537.ece
Royal Dutch Shell conspired directly with Hitler, financed the Nazi Party, was anti-Semitic and sold out its own Dutch Jewish employees to the Nazis. Shell had a close relationship with the Nazis during and after the reign of Sir Henri Deterding, an ardent Nazi, and the founder and decades long leader of the Royal Dutch Shell Group. His burial ceremony, which had all the trappings of a state funeral, was held at his private estate in Mecklenburg, Germany. The spectacle (photographs below) included a funeral procession led by a horse drawn funeral hearse with senior Nazis officials and senior Royal Dutch Shell directors in attendance, Nazi salutes at the graveside, swastika banners on display and wreaths and personal tributes from Adolf Hitler and Reichsmarschall, Hermann Goring. Deterding was an honored associate and supporter of Hitler and a personal friend of Goring.
Deterding was the guest of Hitler during a four day summit meeting at Berchtesgaden. Sir Henri and Hitler both had ambitions on Russian oil fields. Only an honored personal guest would be rewarded with a private four day meeting at Hitler’s mountain top retreat.
IN JULY 2007, MR BILL CAMPBELL (ABOVE, A RETIRED GROUP AUDITOR OF SHELL INTERNATIONAL SENT AN EMAIL TO EVERY UK MP AND MEMBER OF THE HOUSE OF LORDS: 
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A head-cut image of Alfred Donovan (now deceased) appears courtesy of The Wall Street Journal.
