Australian wheat exporter AWB Ltd said on Tuesday that it has been notified of a third class action complaint filed on behalf of United States wheat growers in the US District Court for the Southern District of New York.
The complaint, filed on behalf of a Mr Dennis Brothers, is substantially identical to grower complaints filed by Boyd/Swatter and Erb, AWB said. The Brothers complaint alleges that AWB engaged in conduct contrary to US anti-trust laws and the US Racketeer-Influenced and Corrupt Organisations Act.
AWB said it was proposed that the three class actions be consolidated into one US wheat grower class action against AWB. AWB said it would vigorously defend the claims. An Australian judicial inquiry found last year that AWB had broken United Nations sanctions against Iraq with secret payments to the former regime of Saddam Hussein, to secure sales. US wheat growers have said that this disadvantaged their own sales to Iraq.