$1.9 Million Criminal Fine for Price-Fixing Conspiracy
The Department of Justice reports that an e-commerce company has agreed to pay a $1.9 million criminal fine after pleading guilty to conspiring to fix prices for customized promotional products, such as wristbands and lanyards, sold online to customers in the U.S. According to a DOJ press release, the conspirators used social media platforms and encrypted messaging applications to reach and implement their illegal agreements from as early as 2014 until June 2016.
The company’s president has also agreed to plead guilty to a charge of price fixing in violation of the Sherman Act. Such violations carry a maximum sentence of ten years in federal prison and a maximum fine of $1 million for individuals, which may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either of those amounts is greater than the statutory maximum fine.