Former egg company boss fined $120k

A former director of egg producer Farm Pride has been fined $120,000 after admitting he attempted to encourage other egg producers to limit supplies.

In a judgment handed down in the Federal Court on Friday, Justice Richard White imposed the penalty on Zelko Lendich.

Lendich was one of several producers taken to court by the Australian Competition and Consumer Commission, including the Australian Egg Corporation, over allegations they tried in 2012 to induce 19 egg producers to cull hens and dispose of eggs to avoid an oversupply and sustain prices.

In February, the court dismissed the ACCC's action against the egg corporation and the other defendants after finding they had not engaged in cartel behaviour.

The case against Lendich did not go to trial after he made admissions with his fine agreed between the parties.

Justice White said he had wavered on whether the penalty was appropriate but came to the conclusion that it was within the permissible range.

He said Lendich deserved credit for his "willingness to facilitate the course of justice", which would have taken courage given the attitude of his fellow defendants.

But the judge also criticised Lendich for trying to avoid the consequences of his actions in some of his submissions.

He said Lendich's attitude "brought to mind the saying that those who sit straddling a fence usually find themselves in an uncomfortable position".

Justice White ordered the ACCC pay the bulk of the costs of the parties cleared at the earlier trial.