The information Yokohama Rubber reportedly supplied led to the May arrests of eight senior company officials.
The U.S. Justice Department claims that the eight men had met in the United States, Bangkok and London on numerous occasions since 1999 in order to predetermine which company would be awarded contracts. They are also suspected of manipulating the tender prices for marine hoses.
The deal struck by Yokohama Rubber was reportedly made possible thanks to a policy established by the U.S. Justice Department in the 1990s that allows for the granting of immunity to companies who voluntarily report their involvement in antitrust practices. The Justice Department reportedly made an offer of immunity to Yokohama Rubber last year following the arrest on separate charges of an agent employed by Yokohama Rubber. The agent reportedly informed U.S. authorities about Yokohama Rubber’s involvement in the marine hose cartel.
Yokohama Rubber reportedly agreed to the Justice Department’s deal as it claimed had not been an active member of the cartel since 2004, following accusations of collusive practices by Japan’s Fair Trade Commission. Documents and other evidence related to the cartel were handed over, and investigators then reportedly used Yokohama Rubber’s contact details to e-mail a U.K.-based consultant who is believed to have co-ordinated the cartel’s dealings in exchange for a £25,000 annual fee from each participating company.
A meeting – the first for several years – was allegedly organised for early May at a hotel in Houston. As the meeting concluded, U.S. investigators made their move, arresting all of the participants except reportedly the Yokohama Rubber representative. The company reportedly has also sought immunity from authorities in Japan, the U.K. and the EU, and is continuing to help with investigations.
