FCCPC Raids Three Steel Companies in Ogun

The Federal Competition and Consumer Protection Commission (FCCPC) has raided three steel manufacturing companies in Ogun State as part of an investigation into alleged substandard production and anti-competitive practices.

The FCCPC, in a statement on Saturday, said the affected companies are African Foundries Limited (AFL), Monarch Steel Mill Limited and Kam Steel Integrated Company, all located in Ogun State.

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FCCPC Acting Executive Vice Chairman Adamu Abdullahi said the reason the commission visited these companies was based on intelligence that anti-competitive behavior may be occurring as alleged.

“Essentially, we have received intelligence and surveillance reports that these companies in question are involved in some anti-competitive behavior.

“That’s why we decided to go to these three companies so we can take samples of their products and see what they are doing by going through the records they gave us,” Abdullahi said.

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Abdullahi said there were “false, misleading and deceptive as well as unfair trade practices,” noting that some manufacturers produce 10mm iron rods but label and market them as 12mm rods.

This unfair trade practice, according to him, is one of the main causes of building collapse in Nigeria.

He said: “We are talking here about the issue of safety of Nigerians, which is the essence of consumer protection.

“We must ensure the safety of our population. What is happening so far in the construction sector worries the government and all well-meaning citizens of this country. So we need to look at their process to see if they’re saving money.

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“If they do this, we will apply the full force of the law to them. This is why we are here. »

During the raid, Abdullahi noted that the commission collected samples of products and records from the companies, which will be subjected to forensic analysis.

He added that the FCCPC is still in the information gathering stage and has not yet found any responsible company.