The Belgian Competition Authority (BCA) has announced that it has imposed a fine of EUR 29.8 million on McKesson subsidiary and pharmaceutical wholesaler Pharma Belgium-Belmedis (PBB) on account of that firm’s participation in an alleged cartel between 2003 and 2016 (see, attached press release).

The other parties involved are Febelco and CERP. Febelco was granted immunity from fines because it brought the case to light.

Additionally, both Febelco and PBB acknowledged the competition law infringement and settled the case. By contrast, CERP denies any liability and therefore refused to settle. The BCA said that it would continue pursuing the case against CERP.

According to the BCA, the alleged cartel had two components.

First, in what is known as the “transfer orders system” (TOS), the three wholesalers had reportedly agreed on the prices which they would charge for the services performed for medicine suppliers and on the nature of those services.

Under the TOS, medicine suppliers sell directly to pharmacists, but the actual delivery and invoicing of the transaction are carried out by the wholesalers who rely on their own stock of medicines.

Second, the wholesalers allegedly also agreed on the application of uniform sales conditions for influenza vaccines in dealings with pharmacists during a yearly pre-sales period when sales are registered but the influenza vaccine is not yet actually put on the market.