BA Trial: OFT’s Cartel Offence Disrupted But Not Grounded

On 10 May 2010, the Office of Fair Trading's (OFT) high profile criminal prosecution of four current or former British Airways executives for price-fixing (under the "cartel offence") unexpectedly collapsed when the OFT decided not to offer any evidence because of concerns that it might be unfair to continue the proceedings following the discovery of a significant amount of new evidence after the trial had begun.

Although the UK's cartel offence has been in force since June 2003, the trial of the "BA four" was the first real test of the OFT's criminal powers.¹ It is therefore surprising that the case has failed in this manner. However, although a significant blow to the OFT, cartelists should not be celebrating by lighting-up an extra cigar or two in their "smoke-filled rooms"; the OFT remains committed to bringing criminal prosecutions against individuals who engage in price-fixing, and increasing use of its director disqualification powers, not to mention bringing