Egg industry operator fined in cartel case

A former director of the Australian Egg Corporation Limited has been fined $120,000 over cartel allegations brought by the ACCC.

A former director of the egg industry's peak body has been fined after admitting he attempted to encourage cartel behaviour among egg suppliers.

Former Australian Egg Corporation director Zelko Lendich has been ordered to pay $120,000 by the Federal Court for attempting to ecourage the control of egg production.

Mr Lendich is also a former managing director of major egg supplier Farm Pride Foods.

ACCC chairman Rod Simms said that if Mr Lendich had been successful the production and supply of eggs could have decreased and the price of eggs could ultimately have increased.

The ACCC brought cartel proceedings against a number of egg industry operators in 2014 and in February this year the Federal Court dismissed allegations against several large egg producers and the AECL, finding they had no case to answer.

The ACCC has appealed the Federal Court decision and is awaiting a hearing date.