homepage_name! > Editions > Number 096 > Education - Igor Isailovic


There is a good reason why the detested word ‘cartel’, which is constantly used in crime movie titles, is so despised. The harm that the so-called cartels have inflicted upon the world is so great that it does not compare to any war, any sickness, or any human mental disorder. Moreover, the worst human traits, most wars, most outbreaks of sicknesses, and most types of sickness are crucial elements in the development of a cartel.

Namely, Serbian Wikipedia defines the word cartel as “a form of association of competingcompanies from the same line of business which (by means of joining a cartel) become a monopoly. They realize greater profit by dictating the conditions of sale, fixing prices to fit their monopoly and enabling other privileges for themselves, as opposed to lowering expenses and rationalizing, as concernsdo.”

The term cartel is also used for the agreements of criminal groups manufacturing and selling narcotics, involving purchases and the divisions of the drug market.

Believe it or not, experts suggest that drug cartels may have caused less damage to the world than all the other cartels which we may have heard of in the newspapers, documentaries, or movies.

The greed of the Seven Sisters cartel has been the generator of many wars, death, starvation, extortion, overthrowing of democratically elected governments, and many other disasters which not even blockbusters can describe adequately. Namely, the Seven Sisters cartel, which has existed for almost 9 decades, includes certain multinational oil companies from Western Europe and several transatlantic countries. The goal of their informal association was to exploit all oil reserves in every way possible, which went on to cause the First and the Second Gulf War, the Arab Spring, the overthrow and assassination of legally elected statesmen, the confiscation of national treasures, murder, spin, brainwashing, the crisis in Venezuela, African wars, etc. Today, the world is on the verge of World War III, and if we carefully analyze the facts, we can conclude that the core of the conflict, i.e. the possible triggers for the catastrophe, are in the countries rich with oil (Iraq, Lebanon, Syria, Iran, Venezuela, etc.). Surviving so many years with no help from governments is not possible. Taking into account that the effects of the cartels are probably evident around the world, we can rightfully talk about a universal jurisdiction of any legal system. The power of the cartel is reflected in the fact that in 9 years not a single legal proceeding was commenced to punish any members of the Seven Sisters cartel.

The renowned FBI director J. Edgar Hoover had compiled a report on the cartel, which would have represented the grounds to commence a proceeding in any legal system, not to mention the “most developed democracy in the world”, but this report was the first and lastactivity in connection to this cartel.

At the sole mention of this cartel, the governments of certain countries, whole countries, and especially individuals tend to disappear, but this has always been considered a taboo.

Pharmaceutical industry cartels, which are as harmful as the Seven Sisters cartel, have created a system that we are experiencing every day. In the era of the world’s greatest discoveries, space travel, mind reading, in the age of information technology revolution, the claim that the cure for AIDS or cancer has not been found yet is impossible, especially if we take into consideration the assets which every country invests in its healthcare system. Another mystery is the appearance of new viruses and mutations of existing ones for which vaccines and medications are instantly developed. The amount of oncological assets has become so great that oncology is now in the center of the pharmaceutical industry.

The number of cartels is so large, and the consequences of their operations so disastrous that discussions on this topic seem too unreal to be true.

The Serbian law defines restrictive agreements (“cartel forming”) as agreements between undertakings which as their purpose or effect have a significant restriction, distortion, or prevention of competition in the territory of the Republic of Serbia.

Restrictive agreements can include contracts, certain contract provisions, express or tacit agreements, concerted practices, and decisions made byassociations ofundertakings, which in particular:

1)directly or indirectly set the purchasing or selling prices or other conditions of trade;

2) limit and control production, markets, technical development, or investments;

3) apply dissimilar business conditions to equivalent transactions with respect to a variety of undertakings, by which the undertakings are placed in unfavorable position against their competitors;

4) makethe conclusion of contracts or agreements subject tothe acceptance of supplementary obligations which, given their nature and trading customs and practices, are not related to the subject of the agreement;

5) share markets or sources of supply.

Restrictive agreements are prohibited and void, except in cases of exemption from their prohibition pursuant to the Law.

Igor Isailović, lawyer