MARC SIEGEL (CSBN #142071)
RICHARD B. COHEN (CSBN #079601)
LISA V. TENORIO (CSBN #205955)
KESLIE STEWART (CSBN #184090)
DANA R. WAGNER (CSBN #209099)
U.S. Department of Justice
450 Golden Gate Avenue
Box 36046, Room 10-0101
San Francisco, CA 94102
Telephone: (415) 436-6660
Attorneys for the United States
NORTHERN DISTRICT OF CALIFORNIA
The United States of America, acting through its attorneys, charges:
DESCRIPTION OF THE OFFENSE
1. AKZO NOBEL CHEMICALS BV ("AKZO") and ERIK ANDERS BROSTRÖM are made defendants on the charge stated below.
2. From in or about September 1995 until in or about August 1999, defendants AKZO and BROSTRÖM and coconspirators entered into and engaged in a combination and conspiracy to suppress and eliminate competition by fixing the prices and allocating the market shares of monochloroacetic acid and sodium monochloroacetate (collectively referred to as "MCAA") to be sold in the United States and elsewhere. The combination and conspiracy engaged in by the defendants and coconspirators was in unreasonable restraint of interstate and foreign trade and commerce in violation of Section 1 of the Sherman Act (15 U.S.C. § 1).
3. The charged combination and conspiracy consisted of a continuing agreement, understanding, and concert of action among the defendants and coconspirators, the substantial terms of which were:
4. For the purpose of forming and carrying out the charged combination and conspiracy, defendants and coconspirators did those things that they combined and conspired to do, including, among other things:
DEFENDANTS AND COCONSPIRATORS
5. AKZO is a corporation organized and existing under the laws of The Netherlands. BROSTRÖM is the Sub-Business Unit Manager of AKZO's Industrial Chemicals Division. During the period covered by this Information, AKZO and BROSTRÖM were engaged in the business of producing and selling MCAA to customers in the United States and elsewhere.
6. Various corporations and individuals, not made defendants in this Information, participated as coconspirators in the offense charged in this Information and performed acts and made statements in furtherance of it.
7. Whenever in this Information reference is made to any act, deed, or transaction of any corporation, the reference means that the corporation engaged in the act, deed, or transaction by or through its officers, directors, employees, agents, or other representatives while they were actively engaged in the management, direction, control, or transaction of its business or affairs.
8. MCAA is a reactive chemical compound that is used to form a number of intermediate chemicals. Markets for MCAA and derivatives include drilling fluids, plastic stabilizers, herbicides, and pharmaceuticals.
9. During the period covered by this Information, the defendants and coconspirators sold and distributed MCAA in a continuous and uninterrupted flow of interstate and foreign trade and commerce to customers located in states or countries other than the states or countries in which the defendants and coconspirators produced MCAA.
10. The business activities of the defendants and coconspirators that are the subject of this Information were within the flow of, and substantially affected, interstate and foreign trade and commerce.
11. The combination and conspiracy charged in this Information was carried out within the five years preceding the filing of this Information.
ALL IN VIOLATION OF TITLE 15, UNITED STATES CODE, SECTION 1.