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Morrisons sues over milk-fix slur Morrisons sues over milk-fix slur
(20 minutes later)
Supermarket chain Morrisons is suing the Office of Fair Trading (OFT) for naming it in connection with an alleged milk cartel, the OFT has confirmed.Supermarket chain Morrisons is suing the Office of Fair Trading (OFT) for naming it in connection with an alleged milk cartel, the OFT has confirmed.
The OFT alleged Morrisons was one of a number of firms involved in fixing the price of milk products in 2002. It later changed some of the accusations. The OFT alleged Morrisons was one of a number of firms involved in fixing the price of milk products in 2002. It later clarified the accusations.
Morrisons has accused the OFT of damaging its reputation by naming it as part of the milk price probe.Morrisons has accused the OFT of damaging its reputation by naming it as part of the milk price probe.
A Morrisons spokesperson refused to comment on its legal action.A Morrisons spokesperson refused to comment on its legal action.
'Ongoing litigation''Ongoing litigation'
The OFT said that: "There is ongoing litigation, relating to the content of a press release, which we are not able to discuss."The OFT said that: "There is ongoing litigation, relating to the content of a press release, which we are not able to discuss."
"But we can confirm that there is a continuing investigation into alleged collusion by Morrisons concerning milk prices in 2002," it added."But we can confirm that there is a continuing investigation into alleged collusion by Morrisons concerning milk prices in 2002," it added.
In September 2007, the OFT said it had provisionally found evidence against a number of supermarkets and dairy processors.In September 2007, the OFT said it had provisionally found evidence against a number of supermarkets and dairy processors.
It alleged they had colluded to fix the price of some dairy products by sharing commercially sensitive information in 2002 and in some cases, 2003.It alleged they had colluded to fix the price of some dairy products by sharing commercially sensitive information in 2002 and in some cases, 2003.
The OFT clarified its position concerning Morrisons in December last year.The OFT clarified its position concerning Morrisons in December last year.
It said its provisional findings related to allegations Morrisons colluded in respect of certain liquid milk products in 2002 only and that it regretted "any confusion which may have arisen".It said its provisional findings related to allegations Morrisons colluded in respect of certain liquid milk products in 2002 only and that it regretted "any confusion which may have arisen".
Asda, Dairy Crest, Safeway, Sainsbury's, The Cheese Company and dairy firm Wiseman, admitted anti-competitive practices and agreed to pay fines totalling £116m.Asda, Dairy Crest, Safeway, Sainsbury's, The Cheese Company and dairy firm Wiseman, admitted anti-competitive practices and agreed to pay fines totalling £116m.
Morrisons bought Safeway in 2004, after the period when the practices took place.Morrisons bought Safeway in 2004, after the period when the practices took place.