Feds: Concrete companies conspired to manipulate market

By Land Line staff | Monday, February 13, 2012

Three Iowa concrete companies have received sentences for their role in a conspiracy to manipulate the ready-mix concrete market.

Federal prosecutors charged GCC Alliance Concrete, Great Lakes Concrete and Tri-State Ready-Mix for violations of the Sherman Act, which prosecutors said affected $14.7 million worth of commerce.

GCC Alliance Concrete received 18 months probation, $1,200 special assessment, and community service of supplying $100,000 worth of concrete to nonprofit organizations. They must also include $10,000 in advertising to solicit nonprofits to “define desired projects and to announce that this advertising is in response to their 18-month probation,” a statement from the DOT Office of Inspector General reads.

Tri-State Ready Mix received 5 years probation and a $500,000 fine.

Great Lakes Concrete received no probation, though Kent Stewart, the company’s president, was fined $400,000 and is serving supervised release.

A fourth company, VS Holding Company, was ordered to pay a $300,000 fine.

The case was investigated by the FBI and the Department of Justice Antitrust Division.

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