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Independent Newspapers accused of being anti-competitive
Independent Newspapers is the dominant newspaper publisher in Kwazulu-Natal. Up until April this year Independent distributed Ilanga, an isiZulu weekly published by Mandla Matla, but the contract was not renewed and Independent launched Isolezwe, an isiZulu daily.
Independent allegedly refused to give details of the network of 2 500 distribution outlets and advertisers to which Ilanga was entitled. According to Arthur Konigkramer, Managing Director of Mandla Matla, Independent instructed its distributors not to handle any newspapers other than their own, or face cancellation of their contracts.
Konigkramer said that for three months Mandla Matla had no access to information about distributors, and suffered a subsequent loss in revenue. When the matter went to arbitration Independent was ordered to pay R192 000 for having wrongfully withheld information from Mandla Matla and denying it the ability to do business.
Graeme King, Independent's KZN MD, said that they had complied with the ruling and provided a list of outlets within two weeks of the decision been made. On the allegations of Independent cancelling contracts with distributors he said that he was "not aware of what they're talking about there." He added that he would take the matter seriously once a complaint has been laid with the Competition Commission.
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