The European Commission fined General Electric for the supply of false data

Еврокомиссия оштрафовала General Electric за подачу ложных данных

The European Commission (EC) has fined the us energy company General Electric (GE) for providing false information in the investigation of the EC plan GE for the acquisition of the American manufacturer of components for wind turbines, LM Wind power generators. This is stated in a statement on Monday the statement the Supreme body of Executive power of the EU.

“The European Commission fined General Electric for €52 million for providing incorrect data in the course of the investigation by the European Commission of plans for the acquisition of the GE LM Wind in accordance with EU regulations for the merger”, – stated in the document.

As said the European Commission, January 11, 2017, GE said in its notice about the plans of acquisition LM Wind that at that time it did not produce offshore wind turbines, with a capacity of over 6 MW. At the same time, the European Commission found that in early 2017, GE has offered its customers a 12-megawatt wind turbines, designed to accommodate offshore. In February 2017, GE has corrected this information, and in March 2017, the European Commission allowed her to acquire the company LM Wind, but it didn’t save us energy from a penalty for perjury. The European Commission explained that the decision on the penalty does not cancel the permit issued to GE on the absorption of LM Wind.

The European rules on mergers (EU Merger Regulation) are part of EU competition law. They imply that the transaction for acquisitions of companies operating in the European market, must be inspected by the European Commission regardless of where the headquarters of the company. The EC in turn must ensure that such transaction will not lead to monopolization of the market or serious violations of the principles of competition in any of the sectors of the European economy.