The Swiss Competition Commission has put an end to a cartel in the trade of pharmaceutical ingredients. The investigation spanned the entire globe.
Swiss competition authorities have literally taken care of stomach aches.
For the first time, the Competition Commission Weko sanctioned a cartel in the pharmaceutical sector involving an active ingredient, as the Swiss authorities announced today, Thursday.
Decades of abuse
The active ingredient in question was butylscopolamine bromide (SBNN) – an important ingredient in the manufacture of antispasmodic medicines for abdominal pain.
According to the communiqué, the Weko investigation revealed that the pharmaceutical companies Boehringer Ingelheim, Alkaloids of Australia, Alkaloids Corporation, Alchem, C2 PHARMA, Linnea and Transo-Pharm agreed on the minimum sales price of the active ingredient SNBB between 2005 and 2019 and divided up quotas.
They also exchanged commercially sensitive information.
Bonus regulation applied
Taking into account the mutually agreed regulations, the sanctions amount to around 600,000 Swiss francs. However, the Competition Commission did not explain why the authorities did not notice the irregularities for so long.
C2 PHARMA was only told that the sanction for uncovering the cartel was waived in full due to its participation in the bonus scheme.
Transo-Pharm and Linnea were granted partial immunity from sanctions.
From the EU to Australia
The competition authorities cooperated with authorities around the world to uncover these illegal price agreements.
Investigation activities were coordinated with the European and Australian competition authorities, it said.
An appeal against the ruling can still be lodged with the Federal Administrative Court.
10.04.2025/kut./ena.
