The Competition Commission's market inquiry into the private healthcare sector started on 6 January 2014 and is already facing court battles.

Next week the High Court will hear an urgent application made by Netcare against KPMG and the Competition Commission in which Netcare is asking the court to stop KPMG from working with the Commission on the market inquiry. Netcare claims that KPMG has a conflict of interest because the audit firm has previously done work for Netcare. KPMG has had access to Netcare's information and it would prejudice Netcare if any of that information were revealed to the Commission in the course of its participation in the market inquiry process.

KPMG is opposing the application. It has said that it maintains and respects the integrity of all its clients'  confidential information and that its historic engagements with Netcare would not prejudice Netcare in any way in the current market inquiry process.

The application will be heard in the SouthGauteng High Court on 4 February 2014.

Jennifer Finnigan, Partner & Competition Law Specialist

Contact: 031 575 7406 and finnigan@wylie.co.za

Sally Mashiane, Competition Law

Contact: 031 575 7418 and mashiane@wylie.co.za