ACCC Takes Court Action Against Fresh Produce Suppliers Over Alleged Price Fixing
- Barry Money
- Sep 3
- 3 min read
Published: 1 September 2025
Source: Australian Competition and Consumer Commission (ACCC)
The Australian Competition and Consumer Commission (ACCC) has commenced civil proceedings in the Federal Court against four major fresh produce suppliers and three senior executives for alleged price fixing while supplying vegetables to ALDI supermarkets across New South Wales, Victoria and Queensland.
The case highlights the serious risks businesses face when accused of cartel conduct — not only significant financial penalties, but also reputational damage and possible disqualification orders for individuals.
Alleged Cartel Conduct
According to the ACCC, the alleged conduct involved fixing or maintaining the price of everyday vegetables such as broccoli, cauliflower, iceberg lettuce, cucumber, Brussels sprouts and zucchini between 2018 and 2024.
The businesses and individuals named in the proceedings include:
Perfection Fresh Australia
Hydro Produce (Aust)
Veli Velisha Fresh Produce and Velisha National Farms (including Director and CEO Catherine Velisha, and Senior Sales Manager Kaushik Vora)
M. Fragapane & Sons (including General Sales Manager Roberto Nave)
The ACCC alleges that on multiple occasions the suppliers either attempted to make, or did make, agreements that fixed or controlled prices submitted to ALDI under its “agile pricing” system.
Why Cartel Conduct Matters
ACCC Chair Gina Cass-Gottlieb emphasised that cartel behaviour is anti-competitive and illegal, stating:
“Businesses acting together instead of competing can drive up prices and harm consumers, while disadvantaging other businesses that are seeking to compete fairly.”
In this case, the ACCC alleges 28 instances of attempted arrangements and 48 occasions of submitting prices in line with those arrangements, directly impacting household essentials.
The ACCC is seeking civil penalties, compliance orders, and costs against the businesses, as well as disqualification orders and penalties against the executives involved.
Penalties for Breaching Cartel Laws
The potential penalties for businesses and individuals involved in cartel conduct are significant.
For breaches before 9 November 2022, penalties include up to $10 million or a percentage of turnover.
For breaches after 9 November 2022, penalties rise to $50 million or 30% of adjusted turnover, whichever is greater.
Individuals face penalties of up to $2.5 million per contravention.
This serves as a strong reminder that businesses in the fresh food, franchising, and retail sectors must ensure strict compliance with Australian competition law.
What This Means for Businesses
For franchisors, retailers, and suppliers across Australia, this case is a timely warning:
Agreements between competitors that affect prices, tenders, or supply arrangements can amount to cartel conduct.
Ignorance is not a defence — directors, executives and managers can all be held personally liable.
Compliance programs and legal advice are critical for businesses that want to avoid these risks.
How Bane Legal Services Can Help
At Bane Legal Services, we are not a law firm and do not provide legal advice. However, with over 30 years of business experience, we act as your trusted legal matchmaker — connecting you with the right commercial lawyer who specialises in:
Competition and consumer law compliance
Cartel investigations and enforcement proceedings
Franchising and retail supply agreements
Risk management and corporate governance
If your business operates in the retail, food, or franchising sectors, staying compliant is critical. The right legal partner can help you avoid costly disputes and penalties.
Source:
This blog is based on the ACCC’s official media release: ACCC takes court action against fresh produce suppliers for alleged price fixing cartel
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