Eye trained on ferrymen
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SCOTTISH SECRETARY George Younger has ordered the auditors of Caledonian MacBrayne, the Scottish Transport Group shipping company, to keep a close eye on its relationship with sister haulage company MacBrayne Haulage.
The accountants will have to certify annually that the trading relationship between the two is "at arms' length". Mr Younger was responding to the Monopolies and Mergers Commission report last February, which concluded that Calmac's relationship with MacBrayne Haulage was against the public's interest because it discriminated against private hauliers.
Calmac had taken prompt action to remedy the situation and as a result there was no need to take action under the 1980 Competition Act, said Mr Younger. But he warned that the Scottish Office will continue to monitor the situation carefully.