Justice ratifies EU fine of 10.2 million Visa not to admit Morgan Stanley as a member
Thursday April 14, 2011
BRUSSELS, 14 (EUROPA PRESS) The General Court of the European Union (TEU) confirmed on Thursday that 10.2 million fine euros the Commission imposed on the credit card company Visa in 2007 for not admitting as a member of its network to U.S. bank Morgan Stanley between March 2000 and September 2006. Visa
argued that its rules stipulated that the network would not accept as a member to any candidate who was considered by the board as a possible rival. Morgan Stanley provided its own network of U.S. credit cards, Discover, but without the presence of the EU.
But the EU executive fined Visa on the grounds that its refusal to admit Morgan Stanley had no objective justification and restricted competition in the supply of credit card services to merchants in the UK. Visa
appealed the fine before the General Court of the EU, which on Wednesday has dismissed all its claims and has ratified the decision in Brussels. ------------------------------------
COMMENT:
I do not know if I sin of ignorance, I do not understand this news. Or rather, do not understand the decision of the Commission or the Court. Let me explain: I find logical reasoning VISA, not wanting to associate with a bank that has its own credit cards, but do not operate in Europe. The most logical is that a society only serves as a springboard for the bank to get themselves known, place their cards and gain a foothold in the market, entering into competition with the host company, ie, VISA. This could be a way to avoid near-monopoly of Visa in the EU, but I do not punishable. The Commission should seek other ways to improve the competence of other cards from the VISA. Why does anyone have to provide facilities to the competition?. I think not.
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