TWO EXECUTIVES INDICTED IN MARINE HOSE BID RIGGING CONSPIRACY

On September 13, a Fort Lauderdale, Florida federal grand jury returned an indictment charging two individuals in a conspiracy to rig bids fix prices and allocate market shares for sales of marine hose used to transport oil.

The indictment, filed in the U.S. District Court in Fort Lauderdale, Florida, charged Francesco Scaglia and Val M. Northcutt with participating in a conspiracy to suppress and eliminate competition by rigging bids, fixing prices, and allocating market shares for sales of marine hose in the United States and abroad.

Mr. Scaglia is an executive with a firm engaged in the manufacture and sale of marine hose, headquartered in Milan, Italy, with operations in Broward County, Florida. Mr. Northcutt is an executive who worked in the Florida office of the same firm as Mr. Scaglia.

The indictment alleged that the conspiracy began at least as early as 1999 and continued until as late as May 2007. Mr. Scaglia was charged with participating in the conspiracy from at least as early as fall 2000 until as late as May 2007. Mr. Northcutt was charged with participating in the conspiracy from at least as early as 2000 until as late as May 2007.

The Antitrust Division’s National Criminal Enforcement Section, the Defense Criminal Investigative Service of the Department of Defense’s Office of Inspector General, the U.S. Navy Criminal Investigative Service, and the Federal Bureau of Investigation are conducting the ongoing investigation.

Andre Barlow
(202) 589-1834
abarlow@dbmlawgroup.com