Pursuant to the Leniency Regulation, the following conditions must be met for benefiting from immunity or fine reduction:
The applicant must submit:
- information on the products affected by the cartel;
- information on the duration of the cartel;
- names of the cartelists;
- dates, locations and participants of the cartel meetings; and
- other information or documents about the cartel activity.
Additionally,
- the applicant must avoid concealing or destroying the information or documents on the cartel activity;
- unless the Leniency Division decides otherwise, the applicant must stop taking part in the cartel;
- unless the Leniency Division instructs otherwise, the application must be kept confidential until the investigation report has been served; and
- the applicant must continue to actively cooperate with the Turkish Competition Authority (the “TCA”) until the final decision on the case has been rendered.
Application
A cartelist may apply for leniency until the full-fledged investigation report is officially served. Depending on the application order, there may be immunity from, or reduction of, a fine. This immunity or reduction includes both the undertakings and its employees/managers, with the exception of the “ring-leader”, who can only benefit from a reduction of fines.
Full Immunity
The first firm to file an appropriately prepared application for leniency may benefit from total immunity, if it is made before the investigation report is officially served and the TCA is not in possession of any evidence implicating a cartel infringement. Employees or managers of the first applicant will also be totally immune; the applicant must however, not be the ring-leader. If the applicant has forced any other cartel members to participate in the cartel, only a fine reduction is available of 33%-50% for the firm and 33%-100% for the employees or managers.
In addition to this, as stated above, the applicant must (1) end its involvement in the infringement, (2) provide the TCA with all relevant information on the infringement (e.g., meeting dates and locations, products affected, companies and individuals implicated), (3) not conceal or destroy any information and (4) continue to cooperate with the TCA after applying for leniency and to the extent necessary.
Reduction of Fines
The second firm to file an appropriately prepared application will receive a fine reduction of33%-50%. Employees or managers of the second applicant that actively cooperate with the TCA will also benefit from a reduction of between 33 and 100 per cent.
Furthermore, the third applicant will receive a 25%-33% reduction. Employees or managers of the third applicant that actively cooperate with the TCA will benefit from a reduction of 25%-100%.
Finally, subsequent applicants will receive a 16%-25% reduction. Employees or managers of subsequent applicants will benefit from a reduction of 16%-100%.
Individual Application
A manager/employee of a cartelist may also apply for leniency until the investigation report is officially served through an application that fulfills the conditions set under Leniency Regulation. Such an application would be independent from any applications by the cartelist itself. Depending on the application order, there may be total immunity from, or reduction of a fine for such a manager/employee.
Current Employees of a Cartel Member
The employees of a cartelist can also benefit from the same level of leniency or immunity that is granted to the company. There is, as yet, no precedent about the status of former employees. Apart from this, a manager or employee of a cartel member may also apply for leniency until the investigation report is officially served. Such an application would be independent from any applications by the cartel member itself. Depending on the application order, there may be total immunity from, or reduction of, a fine for such a manager or employee. The reduction rates and conditions for immunity or reduction are the same as those designated for the cartel members.
Oral Application
There is no legal rule barring a leniency application from being conducted orally. The Leniency Regulation provides that the information required for making a leniency application might be submitted verbally.
In such a case, the submitted information should be put into writing by the administrative staff of the TCA and confirmed by the relevant applicant or its representatives.
Confidentiality
The applicant and its employees/managers must keep the application confidential until the investigation report is officially served, unless otherwise requested by the assigned unit.
Active Cooperation Obligation
Active (continuous) cooperation must be maintained until the Board renders its final decision after the investigation is completed.
