7-1.100 Department of Justice Policy and
Responsibilities
7-1.200 Notification to Targets
The U.S. antitrust laws represent the legal embodiment of our nation's
commitment to a free market economy in which the competitive process of the
market ensures the most efficient allocation of our scarce resources and the
maximization of consumer welfare. The Department of Justice is responsible for
enforcing the federal antitrust laws, which essentially prohibit private
restraints of trade (such as price fixing, bid rigging and other collusive
arrangements among competitors) that unreasonably impede the free forces of the
market. The Antitrust Division is responsible for coordinating the Department's
antitrust enforcement and public policy advocacy efforts, and has jurisdiction
for the statutes described in USAM 7-4.000,
among others.
The Antitrust Division accomplishes its mission in two principal ways.
First, as an enforcement agency, it prosecutes violations criminally and civilly,
primarily under the Sherman and Clayton Acts. Second, it advocates competition
before congressional committees and federal regulatory agencies, articulating
pro-competitive solutions for economic problems.
The experience of the Antitrust Division and of many United States
Attorneys' offices generally is that, in the course of investigations
supervised by United States Attorneys' offices, it is not uncommon for those
offices to obtain evidence of conduct that constitutes criminal antitrust
violations. United States Attorneys' offices should watch for
manifestations of price fixing, bid rigging, or other types of collusive
conduct among competitors that might have the effect of allocating
customers, restricting output, or raising price: such conduct would
constitute a criminal violation of Section 1 of the Sherman Act. See
AG Policy Statement in the Antitrust Resource
Manual at 1. A United States Attorney with evidence of a possible
antitrust violation should consult with the chief of the Antitrust Division
field office with geographical responsibility for the United States
Attorney's district, see USAM 7-3.700 or
with that field office's designated liaison with the United States
Attorney's district, to determine who should investigate and prosecute the
case. Most antitrust investigations are conducted by the Antitrust
Division's sections and field offices because they have specific expertise
in particular industries and markets. In some cases, however, it may be
more advantageous for the United States Attorney's office to investigate and
prosecute a matter, particularly where localized price-fixing or bid-rigging
conspiracies are involved, or where the antitrust violations are part of an
overall course of criminal conduct being investigated by the United States
Attorney's office. There may also be important mutual benefits to be
derived in situations where a United States Attorney's office and the
Antitrust Division can coordinate the prosecution and disposition of
criminal matters that involve both antitrust offenses and other offenses.
The Antitrust Division, through the Deputy Assistant Attorney General for
Criminal Enforcement, may refer antitrust investigations to a United States
Attorney. Once a United States Attorney's office accepts a referral, it will be
primarily responsible for the investigation and prosecution of that case.
Pursuant to 28 C.F.R. Sec. 0.40, all antitrust investigations, whether
initiated by or referred to a United States Attorney, are subject to supervision
by the Assistant Attorney General for the Antitrust Division. This ensures a
consistent national policy on antitrust questions. Accordingly, the Division's
approval is required at various stages of the investigation, as outlined in USAM 7-2.000 et. seq.
The Antitrust Division follows the Department's general practice of informing
individuals, under certain circumstances, that they are targets of an
investigation and advising them of the opportunity to appear voluntarily before
the grand jury. No similar opportunity to appear before the grand jury extends
to corporate entities. However, the United States Attorney ordinarily should
advise counsel for the corporate entities if indictment is being contemplated.
Counsel for corporate and individual targets of the investigation may request
the opportunity to present arguments against indictment to the Deputy Assistant
Attorney General for Criminal Enforcement or other Antitrust Division officials.
Although counsel does not have any absolute right to be heard by the Deputy
Assistant Attorney General for Criminal Enforcement, the Deputy, at his/her
discretion, will ordinarily meet with counsel, but only after counsel has already
met and discussed the issues with the United States Attorney. The United States
Attorney will be notified in advance of all such meetings and may be present.
| October 1997
| USAM Chapter 7-1
|