ALLEGED WITHHOLDING OF GOODS AND UNCONSCIONABLE CONDUCT BY CHIPIKU STORES

On 5th February, 2024 CFTC officially commenced investigations against Chipiku Stores on allegations of engaging in withholding of goods and unconscionable conduct in the supply of sugar.

The investigations found that Chipiku engaged in withholding of goods by refusing to supply a complainant sugar when it was available. Submissions by Chipiku failed to justify their action, and was found that the conduct by the Respondents was unfair, unjustifiable and irrational and was therefore in contravention of Section 43(1)(a) and (g) of the CFTA.

Upon deliberations, the Commission made the following orders:
1. The Respondents should be referred for criminal prosecution to the Office of the Director of Public Prosecution (DPP) for withholding products and engaging in unconscionable conduct in the trade of goods.

2. The Respondents should cease and desist from withholding products and engaging in unconscionable conduct in the trade of goods.