Conventional wisdom (at least since Watergate) tells us that
"it's not the crime, it's the cover-up." In other
words, it's possible to violate the law by trying to conceal an
alleged crime – even if it turns out that the allegation of
criminal conduct is never substantiated.
In the same way, a basic principle of competition law compliance
– both in Canada and elsewhere – is that parties must
never obstruct an ongoing investigation, whether by hiding or
destroying documents, deleting emails, wiping out texts and
voicemails from cellphones, falsifying information, or otherwise
hindering the course of an enforcement action.
The recent penalty imposed by the United Kingdom's
Competition and Market Authority (CMA) on guitar manufacturer
Fender Musical Instruments (Fender) for obstructing a cartel
investigation underscores the harsh consequences of violating this
principle and illustrates the need for companies to take
preparatory measures to ensure compliance at all
