‘Serious cartel conduct’: Former Bingo Industries CEO pleads guilty to aiding and abetting
The former chief executive of a multibillion-dollar waste company is facing 10 years’ jail for colluding with its competitor to fix and jack up the prices of skip bins and waste processing in Sydney.
Daniel Tartak, the former managing director and CEO of Bingo Industries, pleaded guilty to two charges of aiding and abetting in the Federal Court on Wednesday.
The 37-year-old was charged in August following an investigation by the consumer watchdog, which alleged that in mid-2019, the company agreed with its competitors, Aussie Skips Bin Services and Aussie Skips Recycling, to increase prices for supplying skip bins and waste processing services for building and demolition waste in Sydney.
Bingo Industries CEO Daniel Tartak pleads guilty to aiding and abetting demolition waste price fixing.
A sentencing hearing will be held in March next year, where Tartak will face 10 years in jail, a fine of up to $440,000, or both.
“Colluding with your competitors to increase prices at the expense of your customers is serious cartel conduct. Taking appropriate action against companies and individuals allegedly involved is a significant part of our work,” Australian Competition and Consumer Commission (ACCC) chair Gina Cass-Gottlieb said.
Bingo Industries, a formerly ASX-listed company acquired by Macquarie Infrastructure and Real Assets in 2020 for $2.3 billion, was also charged following the ACCC’s investigation. Bingo Industries pleaded guilty in August and is now facing a maximum penalty of $10 million, or three times the amount the company earned from engaging in the illegal activity, or 10 per cent of the company’s annual turnover – whichever is the greater amount.
Tartak, and the extended Tartak family, remain a minority stakeholder in Bingo Industries.
Macquarie Infrastructure and Real Assets and Bingo Industries declined to comment. Bingo Industries said in August they regretted that the matter occurred and had co-operated with the ACCC and Commonwealth Director of Public Prosecutions through its investigation.
Bingo Industries was acquired by Tartak’s father, Tony Tartak, in 2005 for less than $1 million. The company went on to provide landfill, waste processing and skip bins services on Australia’s east coast.
Daniel Tartak took over as CEO and managing director in 2015. Two years later, the company went public, raising $440 million, and was listed on the Australian sharemarket at $1.80 a share. That same year, Tartak appeared on The Financial Review Young Rich List with an estimated net wealth of $130 million.
Before Macquarie Infrastructure and Real Assets’ takeover, Tartak told investors about the ongoing ACCC investigation.
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