Alliance Unichem blamed for raids

ALLIANCE Unichem was today blamed for triggering police raids at German pharmaceuticals wholesalers under suspicion of violating anti-trust laws.

The German cartel office is investigating claims that the country's four largest wholesalers are colluding on discounts offered to pharmacies.

It said it was acting on a tip-off from industry insiders. Janina Knab, a spokeswoman for market-leader Phoenix, said it believed Alliance Unichem may have been the source.

Germany's four largest wholesalers - Phoenix, Celesio, Sanacorp and Anzag - cover 80% of the market. They deny any collusion.

'The accusations are groundless, especially in view of the current ruinous discount competition,' Phoenix said.

Alliance Unichem operates a wholesale arm across Europe and considered buying a 25% stake in Anzag sold by a German bank in September.

Celesio and Phoenix had each acquired half of the stake, preventing the British firm from entering the market.

Alliance declined to comment, but insiders are said to be furious at being dragged into the row.

The cartel office has been probing the sector all year after its decision to block a merger between Sanacorp and Anzag on grounds of market dominance.

Phoenix claims the fact that pharmacies do not want to accept higher prices has led to a discount war among wholesalers.