Foam Mattress Companies Raided in Nairobi and Other Counties

The Competition Authority of Kenya (CAK) has raided six major foam mattress manufacturers and distributors across Nairobi, Machakos, Kiambu, and Kisumu counties.

The raids, conducted without prior notice, targeted company premises to collect electronic and physical evidence.

Investigators seized laptops, mobile phones, hard disks, thumb drives, management reports, and sales records. These items will undergo forensic analysis to uncover any anti-competitive practices.

Under Sections 31 and 32 of the Competition Act, CAK can enter premises where relevant information exists. Officers can inspect goods, documents, and records to detect restrictive trade practices.

These include abuse of dominance, collusive tendering, price fixing, and market or customer allocation.

Dawn raids help secure credible evidence. If companies receive prior notice, they might destroy or alter documents. CAK emphasized that the raids do not confirm guilt, but are a key step in the investigation.

Intelligence Indicates Possible Cartel

The raids follow intelligence gathered from market monitoring. CAK’s case officers found signs of suspected collusion among competitors.

During the operations, the Authority ensured businesses retained access to legal representation. Officers also took steps to minimize disruption to daily operations.

“Foam mattresses are an essential household commodity, used by millions of Kenyan consumers. Our intervention seeks to establish whether collusive practices are undermining the affordability and accessibility of these products for ordinary households,” said Mr. David Kemei, Director-General of CAK.

Also Read: GT Bank Appeals Ksh 33 Million CAK Fine

Next Steps in the Investigation

The Competition Act does not set a fixed deadline for investigations. Each case differs in complexity, the number of parties involved, and the volume of evidence.

Nevertheless, CAK will handle the process efficiently, lawfully, and fairly. Companies and their legal representatives will have opportunities to make oral and written submissions before a final decision.

If CAK confirms an infringement, it may restrain the companies from illegal conduct, order corrective actions, or impose financial penalties of up to 10% of gross annual turnover.

Also Read: Relief as Global Coalition Moves to Reopen Strait of Hormuz

“We expect this investigation to take several months. However, proactive measures such as upskilling officers and installing a modern forensic lab will help speed up the process,” Mr. Kemei added.

Members of the public with information on suspected anti-competitive practices are encouraged to report to CAK via its website, e-filing portal, or email.

Follow our WhatsApp channel for instant news updates

Collage of the CAK logo and the Director of CAK, David Kemei, during the swearing in ceremony. PHOTO/Courtesy.