Hong Kong – Penalty provision on operation of day procedure centre without licence under Private Healthcare Facilities Ordinance to take effect
Penalty provision on operation of day procedure centre without licence under Private Healthcare Facilities Ordinance to take effect
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The Department of Health (DH) today (June 28) said that the penalty provision pertaining to the operation of a day procedure centre (DPC) without a licence under the Private Healthcare Facilities Ordinance (Cap. 633) will take effect on June 30. Starting from that date, it will be an offence to operate a DPC without a licence.
The Ordinance provides for a new regulatory regime for premises of private healthcare facilities (PHFs) where registered medical practitioners and dentists practise. The Government is implementing the Ordinance in phases according to the risk of the type of PHFs. All hospital licences and the penalty provision on operation of a hospital without a licence have commenced on January 1, 2021. For DPCs, which are premises used for carrying out scheduled medical procedures under the Ordinance without lodging, licence application has commenced in January 2020 and the respective licences have been effective in batches since January 1, 2021.
After the penalty provision takes effect on June 30, any person operating a DPC without a licence will commit an offence and be liable on conviction to a fine of level 6 ($100,000) and imprisonment for three years.
As of June 24, there were 244 licensed DPCs (148 full licences and 96 provisional licences). The DH has established a Private Healthcare Facilities Register (www.directory.orphf.gov.hk/Directory/en/Home/Home), which lists out information of the PHFs with DPC licence in force for public inspection.
For more information, please refer to the website of the Office for Regulation of Private Healthcare Facilities of the DH (www.orphf.gov.hk/en).
The Competition Commission of India (‘CCI’) passed a final order against four maritime transport companies namely Nippon Yusen Kabushiki Kaisha (‘NYK Line’), Kawasaki Kisen Kaisha Ltd. (‘K-Line’), Mitsui O.S.K. Lines Ltd. (‘MOL’) and Nissan Motor Car Carrier Company (‘NMCC’) for indulging in cartelisation in the provision of maritime motor vehicle transport services to automobile Original Equipment Manufacturers (OEMs) for various trade routes. Amongst these four companies, NYK Line, MOL and NMCC were lesser penalty applicants before CCI.
The evaluation of available evidence revealed that there was an agreement between NYK Line, K-Line, MOL and NMCC with the objective of enforcement of “Respect Rule”, which implied avoiding competition with each other and protecting the business of incumbent carrier with the respective OEM. To achieve the said objective, the maritime transport companies resorted to multi-lateral as well as bilateral contacts/ meetings/ e-mails with each other to share commercially sensitive information which, inter alia, included freight rates. They also aimed to preserve their position in the market and maintain or increase prices, including by resisting requests for price reduction from certain OEMs.
Accordingly, based on a cumulative assessment of the evidence, the Commission held all the four opposite parties, i.e., NYK Line, K-Line, MOL and NMCC, guilty of contravention of the provisions of Section 3 of the Competition Act, 2002 (the Act), which prohibits anti-competitive agreements including cartels, from 2009 to 2012. Further, 14 individuals of NYK Line, 10 individuals of K-Line, 6 individuals of MOL and 3 individuals of NMCC, were also held liable for the anti-competitive conduct of their respective companies, in terms of the provisions of Section 48 of the Act.
As three companies filed lesser penalty applications, the Commission gave benefit of reduction in penalty by 100% to NYK Line and its individuals, 50% to MOL and its individuals and 30% to NMCC and its individuals. Accordingly, the Commission directed K-Line, MOL and NMCC to pay penalties to the tune of approx. INR 24.23 crores, INR 10.12 crores and INR 28.69 crores respectively, besides passing a cease-and-desist order.
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RM/KMN
CCI imposes penalty on maritime transport companies for indulging in cartelisation
(Release ID: 1792247)
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