The Federal Court has approved a settlement reached between agricultural cooperative Murray Goulburn and the Australian Competition and Consumer Commission (ACCC), which will see the cooperative’s former managing director hit with a US$200,000 fine.
The Federal Court’s approval of the settlement also saw Murray Goulburn declare that it had breached Australian Consumer Law, however no financial penalties were sought from the former dairy processor.
The ACCC launched proceedings against Murray Goulburn last year, alleging it had engaged in unconscionable conduct and made false or misleading representations in breach of Australian consumer law.
In April 2016, after months of promising to raise the farmgate milk price, Murray Goulburn suddenly and retrospectively slashed milk prices, stunning its suppliers and leaving many hundreds of thousands of dollars in debt.
Full Content: The Sydney Morning Herald
