Brazil’s Administrative Council for Economic Defense (CADE) has recommended (29 November) penalties for four pharmaceutical companies and three individuals accused of participating in an international cartel.
The alleged cartel disrupted the production and sale of Scopolamine-n-Butyl Bromide (SnBB), a critical ingredient in antispasmodic medications, affecting markets in over 30 countries.
According to CADE’s Superintendence-General, the cartel coordinated production and sales volumes, set fixed prices, and erected barriers to hinder new competitors. These actions, dating back to the 1990s and continuing until 2019, aimed to preserve territorial control and protect preferred clients.
The investigation revealed systematic and frequent exchanges of sensitive information through emails, as well as bilateral and multilateral meetings among seven companies and their representatives.
During the probe, two companies—Boehringer Ingelheim Pharma GmbH & Co. KG and TransoPharm Handels GmbH—entered Conduct Adjustment Agreements, paying fines totaling BRL 24.4 million.
The case now moves to CADE’s Administrative Tribunal, where a rapporteur will be assigned before the council delivers its final decision. If found guilty, the companies face fines of up to 20% of their gross revenue, while individual executives could be fined up to 20% of the company’s penalty.
