Three Japanese Executives Indicted for Price Fixing

Three former ocean freight executives have been indicted by the U.S. Department of Justice for participating in a long-running price-fixing conspiracy. The executives – Yoshiyuki Aoki, Masahiro Kato and Shunichi Kusunose – have been charged with allocating customers and routes, rigging bids and fixing prices for the sale of international ocean shipments for roll-on, roll-off cargo services. The fixed cargoes included cars, trucks, construction and agricultural equipment. 

Aoki, formerly of Kawasaki Kisen Kaisha (K-Line), and Kato and Kusunose, formerly of Nippon Yusen Kabushiki Kaisha (NYK), are among seven executives who have been charged in the investigation thus far. Four have pleaded guilty and have been sentenced to prison.  NYK and K-Line as well as another company have pleaded guilty and agreed to pay more than $136 million in fines.

“The companies and executives who conspired to restrict competition and raise prices for shipping these products must be held accountable,” Assistant Attorney General Bill Baer of the Antitrust Division said. “We  charged NYK and K-Line for their role in this long-running conspiracy. Today, we are continuing in our effort to ensure that the executives at those companies who orchestrated the ocean shipping conspiracy also face the consequences as well.”

“The felony charges indicate to those intent on corrupting our economy, that  they will be identified and brought to justice,” said Special Agent in Charge Kevin Perkins of the FBI’s Baltimore Division. “Our job is to protect victims who don’t always see these crimes occurring, but who always end up paying the price.”

The indictment was returned by a grand jury in the District of Maryland. It charges Mr. Aoki with participating in the conspiracy from as early as 2001 until September 2012. Mr. Kato also participated from as early as April 2002 to about  September 2012. Mr. Kusunose began in the conspiracy from as early as April 2004 September 2012. 

The investigation is being conducted by the Antitrust Division’s Washington Criminal I Section and the FBI’s Baltimore Field Office along with assistance from the U.S. Customs and Border Protection Office of Internal Affairs, Washington Field Office/Special Investigations Unit. 

More details are available here.