Attorney General William Barr warned any “bad actors” against exploiting the coronavirus crisis in the United States through price-fixing or any other antitrust schemes.
“The Department of Justice stands ready to make sure that bad actors do not take advantage of emergency response efforts, healthcare providers, or the American people during this crucial time,” Barr said in a statement Monday. “I am committed to ensuring that the department’s resources are available to combat any wrongdoing and protect the public.”
The DOJ said it will “hold accountable anyone who violates the antitrust laws of the United States in connection with the manufacturing, distribution, or sale of public health products,” including face masks, respirators, sterile gloves, and diagnostic equipment. This is part of the Trump administration’s announced effort to ensure that all levels of government, the private healthcare, and the general public “are in the strongest possible position to respond to the outbreak” of the virus that causes COVID-19.
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The U.S. has identified almost 600 novel coronavirus cases across 37 states as well as Washington, D.C., and at least 22 deaths have been attributed to the disease. California, New York, Oregon, Washington state, and othe states have all declared emergencies. There have been over 113,000 coronavirus cases worldwide, with over 80,700 in mainland China alone.
The DOJ said any individuals or companies fixing prices or rigging bids for health protection equipment “could face criminal prosecution” and that competitors who agree to market allocation schemes to profit from the situation “could also be prosecuted.”
The Justice Department said its newly formed Procurement Collusion Strike Force, founded last year in coordination with the DOJ, FBI, U.S. attorneys, and inspectors general, will also “be on high alert for collusive practices in the sale of such products to federal, state, and local agencies.”
The government urged anyone with information on anticompetitive schemes during the coronavirus outbreak to call the DOJ’s Antitrust Division’s Citizen Complaint Center or to report violations online.
The coronavirus, also dubbed the “Wuhan coronavirus” by Secretary of State Mike Pompeo and a multitude of media outlets, originated in the city of Wuhan, the capital of China’s Hubei province.
Both China and Russia have been spreading disinformation about the virus.
A number of major public events like the South by Southwest festival in Austin and the 2020 Game Developers Conference in San Francisco have been canceled, and a growing number of schools have been closed as U.S. officials seek to stem the virus’s spread.
The stock market plunged on Monday amid concerns about the coronavirus’s effect on the global economy and as oil prices fell dramatically after Saudi Arabia flooded the oil market to compete with Russia.
Dr. Tedros Adhanom Ghebreyesus, the director-general of the World Health Organization, said on Monday that “now that the coronavirus has a foothold in so many countries, the threat of a pandemic has become very real — but it would be the first pandemic in history that could be controlled.”
“The bottom line is: We are not at the mercy of this virus,” Ghebreyesus said. “We need to remember that with decisive, early action, we can slow down the coronavirus and prevent infections. Among those who are infected, most will recover.”
