Oriental Weavers denies monopolistic practices accusations

Egypt-based leading machine-woven carpet maker, Oriental Weavers (ORWE.CA) denied Wednesday involving in monopolistic practices, the company said in a statement a day after Egypt’s competition watchdog accused it of anti-competitive behavior.

The Egyptian Competition Authority (ETA) accused Oriental Weavers of entering into agreements with distributors not to distribute rugs made by competitors. As a result, the ETA has referred the case to the public prosecutor.

“In 2012 we amended all contracts with the distributors and cancelled the exclusivity condition,” head of investor relations Ingy El Diwany told Reuters.

If a court rules against Oriental Weavers, the group may faces a fine of up to 300 million Egyptian pounds (US$38.31 million), the authority said.