SUMMARY OF ANTITRUST ENFORCEMENT ACTIONS
FOR PUBLIC RELEASE
FOR MONDAY, JAN. 13, 1992 THROUGH FRIDAY, JAN. 17, 1992
U.S. v. Tidewater. Inc. and Zapata Gulf Marine Corporation
Civil No.: 92-0106 (D.D.C.)
A complaint was filed in U.S. District Court in Washington, D.C.,
challenging the proposed acquisition of Zapata Gulf Marine Corporation
of Houston, Texas, by-Tidewater, Inc. of New Orleans, Louisiana.
At the same time, a proposed consent decree was filed which, if
approved by the court, will resolve the suit by requiring Tidewater
to divest certain vessels. Tidewater and Zapata are two of only
six firms that provide anchor-hauling service in the U.S. Gulf
of Mexico and both firms also operate several vessels in areas
outside the Gulf. The proposed acquisition would violate Section
7 of the Clayton Act by lessening competition in this highly concentrated
$30 million market.
Department of Justice Issues Business Review Letter
The Department, in a letter from James F. Rill, Assistant Attorney
General in charge of the Antitrust Division, to counsel for Experience
Information Bureau Inc. (EIB), advised EIB that it does not intend
to challenge EIB's proposal to operate an information exchange
for underwriters of credit life and disability insurance. EIB,
a North Carolina corporation, was formed to serve as a clearinghouse
for underwriters of credit life and disability insurance. These
insurers underwrite policies that provide for the payment of loans
in the event of death or disablement of the borrower. EIB proposes
to collect and distribute among subscribing insurers historical
loss information on individual lending institutions that sell
the insurance in order to assist the insurers in evaluating risk.
U.S. v. Magnolia Processing. Inc. d/b/a Pride of the Pond
Criminal No.: 92-00011 (E.D. Pa.)
One-count felony information was filed in U.S. District Court
in Philadelphia, Pennsylvania, charging Magnolia Processing, Inc.
of Tunica, Mississippi, with conspiring to fix prices, in violation
of Section 1 of the Sherman Act, of catfish products sold nationwide.
U.S. v. Electrovator Corporation
Criminal No.: CR-92-B-07S (N.D. Ala.)
One-count information was filed in U.S. District Court in Birmingham,
Alabama, charging Electrovator Corporation of Birmingham, Alabama,
with making false statements, in violation of 18 U.S.C. §
1001, to the United States in connection with its bid on a dredge
motor contract for the U.S. Army Corps of Engineers in Portland,
U.S. v. Joseph Montgomery
Criminal No.: 3-92CR031D (N.D. Tex.)
One-count information was filed in U.S. District Court in Dallas,
Texas, charging Joseph Montgomery of Burkburnett, Texas, with
rigging bids, in violation of Section 1 of the Sherman Act, for
the award and performance of contracts to supply fluid milk to
public school districts in Childress, Clay, Cooke, Hardeman, Jack,
Montague, Wichita, Wilbarger, Wise and Young counties, Texas.
U.S. v. Southwest Bus Sales, Inc.; Gary Hewitt Bennett; and
Randall Parker Bennett
Criminal No.: CR92-40006-01 (D.S.D.)
One-count indictment was filed in U.S. District Court in Sioux
Falls, South Dakota, charging Southwest Bus Sales, Inc. of Hanley
Falls, Minnesota and Canton, South Dakota, and its owners and
operators, Gary Hewitt Bennett and Randall Parker Bennett, with
conspiring to set prices, rig bids and allocate customers, in
violation of Section 1 of the Sherman Act, concerning bus and
bus body contracts for transporting children in South Dakota.
Copies of legal filings are available from the Legal
Procedure Unit, Antitrust Division, Room 3233, Telephone No.: 514-2481.