JD Sports Fashion plc Rotten Score Breakdown
💼Corporate Misconduct
Rotten to the core
Avg Rating: 5.00Ratings: 1Severity Score: 7.00Evidence Count: 2Contribution: 35.0 pts
Misconduct: low 1 · medium 0 · high 1
Remediation: low 0 · medium 0 · high 0ⓘ cap: 25%
JD Sports Fined for Breaching CMA Order During Footasylum Merger Investigation
In February 2022, the Competition and Markets Authority fined JD Sports and Footasylum almost £5 million in total for breaching an interim order during the CMA's investigation of JD Sports' acquisition of Footasylum.
The CMA said senior executives exchanged commercially sensitive information during meetings in July and August 2021 and that the companies failed to notify the regulator appropriately. The CMA also found their compliance safeguards were severely deficient.
The penalties arose from failures to comply with an interim order designed to keep the businesses separate while the merger investigation was ongoing.
The CMA ultimately required JD Sports to sell Footasylum after concluding the acquisition would substantially reduce competition.
Sources:
Competition and Markets Authority — penalty announcement
https://www.gov.uk/government/news/sports-retailers-fined-almost-5m-for-breaching-cma-order
Competition and Markets Authority — merger case
https://www.gov.uk/cma-cases/jd-sports-fashion-plc-footasylum-plc-merger-inquiry
JD Sports Fined £1.485 Million for Fixing Rangers FC Merchandise Prices
In September 2022, the UK Competition and Markets Authority fined JD Sports Fashion plc £1.485 million after finding that it broke competition law by fixing the retail prices of Rangers FC-branded replica kits and other clothing.
The CMA found that JD Sports and Elite Sports participated in a single and continuous infringement between September 2018 and July 2019. Rangers FC also participated for part of the period.
The regulator said the companies colluded to stop JD Sports undercutting the retail price of certain Rangers merchandise sold by Elite. JD Sports admitted to the illegal conduct and received reductions reflecting settlement and cooperation.
Source:
Competition and Markets Authority
https://www.gov.uk/government/news/firms-fined-for-fixing-prices-fans-pay-for-rangers-fc-merchandise
📰Human Rights & Exploitation
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🎭Fraud & Corruption
Community concern only
Community ratings exist, but no approved evidence has been submitted. Community ratings do not affect the Rotten Score.
Avg Rating: 3.00Ratings: 1Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🧪Deceptive Practices
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🚨Environmental Harm
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
🌱Sustainability Deception
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
💸Workplace Misconduct
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts
⚠️Financial Misconduct
No documented evidence
Avg Rating: —Ratings: 0Severity Score: 0.00Evidence Count: 0Contribution: 0.0 pts