The collusion of a group of Chilean supermarkets in the fresh chicken market, known as the chicken collusion, has added a new stage in its resolution process with the payment of compensation for consumers who were affected by the irregularities committed between the years 2008 and 2011. The National Consumer Service (Sernac), the public body in charge of protecting the interests of consumers in the South American country; and the National Corporation of Consumers and Users (Conadecus), a private institution that verifies compliance with user rights, reached a judicial agreement with the company SMU, the operator of one of the store chains involved in the case. This process established a monetary amount that will be given to affected clients, and that will be returned starting this December.
Supermarket collusion
The illegal agreement between three supermarket management companies (Cencosud, Walmart and SMU) consisted of an agreement to determine the prices of chicken meat. The investigation by the National Economic Prosecutor's Office also extended to poultry production companies. In 2019, the Court for the Defense of Free Competition (TDLC) applied a fine of 12 million dollars for tax benefits.
The judicial agreement
In parallel with the competition court's resolution, Sernac advanced a class action lawsuit so that consumers affected by price collusion would receive compensation. The entity reached a conciliation agreement with SMU (controller of the Unimarc supermarket), with which it agreed to a direct refund to users. The processes against Cencosud (Jumbo and Santa Isabel) and Walmart (Líder and Ekono) continue in the courts of law.
How much is the compensation amount
The agreement with SMU consisted of a total compensation of 2.6 billion pesos (about 2.6 million dollars according to the current exchange rate). Each beneficiary will receive 13,722 pesos (14 dollars) for this concept.
Who are the beneficiaries?
The compensation is intended for people who regularly receive the Basic Solidarity Disability Pension. Sernac estimates that 191,000 citizens will receive the money right in the middle of the end of the year celebrations.
When and how the money is delivered
The delivery of the amount began on December 3 and will end on the 24th of the same month. It is expected that the majority of beneficiaries will be compensated between December 18 and 20. The money will be transferred automatically for people who collect their disability pension at the Social Security Institute (IPS) or at ChileAtiende, the state collection systems. It is not necessary to request or apply for compensation. Beneficiaries must review their payment settlement and ensure that the label compensation for chicken meat collusion appears. If, once the agreement period has ended, there are unclaimed or untransferred monies, a Competitive Fund will be opened that will be allocated to consumer associations.