The Tribunal has confirmed a settlement agreement involving DStv Media Sales who is to pay an accumulative settlement agreement of R180 million.
DSTV Media Sales admitted to colluding with other media groups on pricing, discounts and payment terms for advertising space.
The matter relates to a November 2011 investigation in which it was found that, through the Media Credit Co-Ordinators (MCC), various media companies agreed to offer similar discounts and payment terms to advertising agencies that place advertisements with MCC members.
Accredited agencies were allegedly given a 16.5% discount on payments made within 45 days while non-accredited agencies received a 15% discount.
In terms of the consent agreement by DStv Media Sales the accumulative remedy of R180 262 599 includes an administrative penalty amounting to R22 262 599.
In terms of the imposed penalty, excluding the administrative penalty:
DStv Media Sales has undertaken to contribute R8 million to the Economic Development Fund over three years to enable the development of black owned small media or advertising agencies requiring assistance with start-up capital and to assist black students requiring bursaries to study media or advertising, among others.
DStv Media Sales further agreed to provide 25% in bonus airtime for every rand of airtime bought by qualifying small agencies. This is intended to help smaller agencies participate in the market.
The bonus airtime would be provided for a period of three years with a total annual airtime cap of R50 million.