Effie Rosenhaus sentenced to two months jail

Effie Rosenhaus  picture: Uriah Tadmor
Effie Rosenhaus picture: Uriah Tadmor

The former Shufersal CEO was convicted of illegal trade practices in a price war.

This morning, the Jerusalem District Court sentenced former Shufersal Ltd. (TASE:SAE) CEO Effie Rosenhaus to two months imprisonment following his conviction of offences against the Restraint of Trade Law. The offences related to the affair in which supermarket chain Shufersal removed products of certain food suppliers from its shelves, in response to low prices that the suppliers had given rival chain Mega, and to breaches of the conditions on which Shufersal was allowed to take over the Clubmarket chain after the latter got into financial difficulties.

Rosenhaus was also sentenced to two and half months community service and was barred from being a company director for three years. The Shufersal chain itself was fined NIS 3 million.

Last December, the Jerusalem District Court convicted Rosenhaus, Eli Gidor (former vice president for marketing at Shufersal) and Shufersal under the Restraint of Trade Law, among other things on four counts of attempts to form a cartel in the affair of the removal of products from Shufersal's shelves, which was the main affair on account of which the accused were indicted. Gidor was handed a one month prison sentence today. The conviction is regarded as precedent setting in this area of law.

Published by Globes [online], Israel business news - www.globes-online.com - on July 6, 2014

© Copyright of Globes Publisher Itonut (1983) Ltd. 2013

Effie Rosenhaus  picture: Uriah Tadmor
Effie Rosenhaus picture: Uriah Tadmor
 
 
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