This Chocolate Ain't So Sweet

Who doesn't like chocolate? That's right, no one. Chocolate is amazing (so I say). It's great for a quick pick-me-up, or a burst of energy, or to release some of that make-me-feel-good energy stuff. Right? So when you're searching the grocery store or corner store, or anywhere you look to buy chocolate bars you aim to find the best price. Turns out, all the prices for the major chocolate brands have been tweaked a bit by the companies so that there is no difference in the prices.

Nestle and Mars have been accused of price fixing their chocolate. What does that mean? It means that there was an agreement between companies (Nestle and Mars) to sell a product at a fixed price to maintain the market conditions. If the companies are convicted they can be facing millions of dollars in fines and possibly jail time to the individuals. These companies and the individuals in charge of the companies are being accused of conspiracy under the Competition Act.

The bureau states that they found out about the alleged scheme through their immunity program, which states that the first party to disclose the offence or to provide evidence can have immunity, if they fully co-operate. In this case it was Hershey Canada who was the rat. Hershey later said in a statement that they regret its involvement in the incident and that it was not 'keeping with The Hershey Company's principles, global business practices and high ethical standards.'

OK, so they apologized. But the fact is they still participated in it! The only reason they aren't being prosecuted or having charges against them is because they ratted out the other companies involved. Just because they told the bureau about this doesn't mean that they didn't do anything wrong. What I question is why they don't have any consequences at all, because they participated in the exact same activities as Nestle and Mars.

The Competition Act's conspiracy could mean a fine of $25 million as well as possibly imprisonment of up to 14 years. That's a big fine! Why didn't the companies realize that they were going to get caught at some point?

The bureau is investigating more and new laws have been put in place including tougher sentences. So this topic is not being taken lightly. Good.

Canadian chocolate lovers have definitely overpaid for their comfort food. What do you think is an adequate punishment for the companies for cheating their customers? From Fame to Shame Hershey, Nestle and Mars have made their chocolate bitter because of their allegations. They have gone from a company that seeing a sale price makes you think you are getting a deal, but really you're still being scammed.

http://tanyaraz.files.wordpress.com/2011/01/broken-chocolate-heart.jpg
http://kitchener.ctvnews.ca/nestle-mars-accused-of-fixing-canadian-chocolate-prices-1.1313984