This story was first published in the Irish Mail on Sunday on 18/03/2012
By: Debbie McCann, Michael O’Farrell
TWO of the country’s biggest bakeries have been raided in a nationwide investigation into suspected price-fixing. Brennans Bread and Irish Pride bakeries were hit by a team from the Competition Authority last week, backed up by gardaÃ.
Eyewitnesses said computers and paperwork were seized from Brennans’ factory in Walkinstown, Dublin, just over a week ago as staff were ordered not to move by Competition Authority staff backed up plainclothes detectives.
Colm Brennan – Brennans’ managing director – was apparently told to ‘stay put’ while the raid took place.
Brennans – Ireland’s biggest breadmaker – has refused to comment on the raids, as has Irish Pride. Sources say other bakeries are also being looked at as part of the inquiry.
A spokesman for the Competition Authority refused to confirm or deny that an investigation into the bakery sector was under way. But a source familiar with the probe told the Irish Mail on Sunday: ‘A number of bakeries were raided last week. Two fraud detectives based in the Competition Authority were backed up by gardaà from the computer section in the Bureau of Fraud Investigation.
‘Searches were carried out on each of the bakeries simultaneously. It was a painless enough exercise for all involved.’ However, one eyewitness to the raid on Brennan’s said that the swoop had shocked staff at the south Dublin depot.
He said: ‘Everyone looked shocked when the authorities arrived. They asked everyone their name and what they did at the company before allowing them to leave.’ The eyewitness said Mr Brennan was getting into his BMW to leave as the raid took place.
‘A detective asked him who he was and what he did. He said his name was Colm Brennan and he was the MD. They told him to stay where he was.’ Last week, the MoS approached Mr Brennan directly after his press officer chose not to respond to queries about the raid.
It was suggested to Mr Brennan that his bakery had been raided a day earlier by the Competition Authority. Mr Brennan replied: ‘No comment’. It was put to him that the raid had to do with an investigation into suspected price-fixing. Again he said: ‘No comment.’ Asked whether he would deny that an investigation was under way, he said: ‘I do not wish to make any comment.’ However, subsequent inquiries by the MoS established further details about the investigation.
Sources familiar with the inquiry said two Irish Pride bakeries had also been raided. On Friday, the MoS contacted Irish Pride asking it to comment. The spokesman immediately said: ‘I have no comment to make.’ Brennans was also contacted again but again made no comment.
Yesterday the MoS called to Mr Brennan’s luxurious south Co. Dublin home once again to give him another opportunity to put his firm’s side of events.
His grown-up daughter said: ‘Yeah, one second. Dad!’ She closed the door then re-emerged one minute later and said: ‘I am sorry, he’s actually not here.’ The Competition Authority is the watchdog that investigates allegations of price-fixing and the alleged running of cartels.
Asked about the investigation, an official spokesman for the authority said: ‘We never comment unless parties have spoken out in the public domain.’ Following an inquiry, the authority can submit a file to the DPP or launch its own prosecutions in the district court for lesser offences.
This is the second time in six months that Brennans Bread has hit the headlines. Last year, rival McCambridge successfully sought injunctions in the High Court to prevent Joseph Brennan Bakeries, trading as Brennans, confusing its customers by copying its packaging. Brennans is appealing the ruling.
