Ok, we all know that JCC is screwing us
But do you think anything is going to change? Shouldn't these monopolies be illegal now?
JCC Payments Systems, the monopoly entrusted with the task of credit card clearing has been charged by the Competition Committee for violation of articles of the Competitive law, operating in a monopolistic environment which has stifled competition.
The Competition Committee’s initial examination indicates that JCC has been overcharging for services rendered to retailers, including charges on transactions and POS terminals as well as price discrimination between non-affiliated local banking, governmental and semi governmental institutions.
The Competition Committee will continue the examination of JCC’s activities and it will separately examine the participation of major banks in the formation of a cartel controlling charges of card payment services.
The three largest banks in Cyprus, Bank of Cyprus owning 45% of JCC, Laiki Bank with a 30% stake and Hellenic Bank appear to be in breach of competition law on the transaction conditions of the credit cards and debiting issues.
George Christofides, head of the Committee of Protection of Competition said that an audit has been taking place since March and unannounced searches at JCCs offices have also been taking place since.
Christofides would not divulge the Committee’s findings or whether customers and traders were being overcharged by using credit cards, because, as he said, they were awaiting replies from the banks involved.
He didn’t exclude the possibility of JCC and the three banks being found guilty.
"At first sight, the Committee has concluded that the Cyprus law is being violated on the subjects of competition and specifically on the two basic chapters of the law, four and six – both on the subject of embezzlement of a despotic position and on the subject of previous agreements, more commonly known as a cartel."
He went on to clarify that the company JCC was at first sight in breach the law of embezzlement of a despotic position while the three banks appeared to be in breach of previous agreements.
Christofides added that it was the Committee’s obligation to announce its results and that these had already been put forward to the representatives of JCC and the banks.
