Votorantim Cimentos SA, has stated that it became aware, through the media, of a public civil action filed by the Federal Prosecutors’ Office of São Paulo (MPF-SP) related to the decision issued by the Brazilian Administrative Council for Economic Defense (CADE) for alleged anticompetitive practices in the scope of the administrative proceeding that was closed in October 2015.
In this public civil action, MPF-SP would require the conviction of entities and cement companies, including Votorantim, for alleged material damages of BRL$28.9bn (US$5.21bn) due to the alleged existence of a cartel and alleged collective moral damages of BRL$10bn. Votorantim reinforces that it has not been summoned of this lawsuit.
Votorantim Cimentos clarifies that it has appealed to the Judicial Courts against CADE's decision, through an annulment action and has obtained an injunction to suspend its effects, which was confirmed by the Brazilian Superior Court of Justice (STJ). Until a final decision is reached in the judicial level, there is the possibility that CADE's conviction may be reversed.
Votorantim Cimentos says it will continue to take the necessary legal measures for its defence in connection with CADE's decision and this new public civil action filed by MPF-SP.
