The Competition and Fair Trading Commission (CFTC) has ordered 11 firms to pay fines and refunds totalling K11.8 million for committing various offences under the Competition and Fair Trading Act.
Some of the firms found guilty and fined for unfair conduct are Old Mutual Pension Services, Chipiku Plus and People’s Trading Centre.
The commission has also fined Central Poultry Limited, Suncrest Creameries Limited, Vanguard Life Assurance Company and Platinum Finance Limited for misleading and unconscionable conduct.
In an interview after a media briefing in Blantyre on Wednesday, CFTC acting executive director Apoche Itimu said the decisions were made in the best interest of consumers.
She said: “These decisions are very critical because consumers are always in the most vulnerable position on the market as compared to the suppliers and traders.
“We issue the orders and determinations, they are supposed to act as a deterrent to those who violate such rights as provided for in the Competition and Fair Trading Act.”
The commission has since ordered Old Mutual Pension Services to pay a K500 000 fine for engaging in unconscionable conduct.
The commission further ordered People’s Trading Centre to pay a fine of K500 000 for supply of products likely to cause injury to health or physical harm to consumers and another fine of K500 000 for failure to comply with a directive or order lawfully given, or any requirement lawfully imposed under the Competition and Fair Trading Act.
Chipiku Plus was also ordered to pay a fine of K500 000 for engaging in misleading conduct and another fine of K500 000 for supplying products likely to cause injury or physical harm to consumers.
Commenting on the decisions, consumer rights activist John Kapito said consumers suffer at the hands of the industry and traders.
He said putting proper monitoring and inspection systems is key to ensuring that everyone is accountable for their actions on the market.
Kapito, who is Consumers Association of Malawi executive director, said: “The behaviour of industries and traders leaves a lot to be desired. They engage in cheating and other anti-competitive tendencies to defraud consumers forgetting that buyers are drivers of their growth.”
