The Federal Commerce Authority is a Federal regulatory agency that oversees corporations that operate within the Federation. The Authority can rule on contract disputes between corporations, and any Federal corporations that wish to merge must first gain the its permission. In January 3307, it approved Core Dynamics' planned takeover of independent ship manufacturer Lakon Spaceways, and in January 3308, it reviewed Torval Mining Ltd's efforts to negotiate a supply contract with Federal corporations in the vicinity of the Dulos system.
Timeline[]
11 JAN 3308
- The company owned by Senator Zemina Torval is attempting to acquire a mining contract previously awarded to the Caine-Massey corporation. The agreement affects multiple corporations on the fringes of Federal space around the Dulos system, who for the last decade have purchased mined ore and other raw materials directly from Caine-Massey. With the contract up for renewal, Torval Mining Ltd has made an official bid. An announcement was made by Constantia Torval, the company's operations director and daughter of Zemina Torval: "We have enjoyed enormous success in a short space of time by providing services to the Empire. This is an opportunity to reach a broader customer base, and convince them that they too can benefit from Torval Mining's expertise." Johann Fleischer, the vice president of Caine-Massey, remarked: "Our corporation is proud of its origins within the Federation, and we have supplied these systems with resources for many years. This is a surreptitious attempt by an Imperial senator to boost her own standing by hijacking Federal business." The Federal Commerce Authority has responded to Caine-Massey's request for intervention. An initial review found that, while it recognises the aggression of the Torval Mining claims, there is no exclusivity clause in place that prevents the companies in question from holding talks with an Imperial supplier now Caine-Massey's contract term is expiring.[1]
05 JAN 3307
- The shipbuilding company Lakon Spaceways has officially accepted a bid for ownership from Federal corporation Core Dynamics. The proposal from Core Dynamics CEO Jupiter Rochester was ratified following a majority vote by Lakon's board of directors, many of whom were recently appointed following resignations demanded by shareholders. Trent Delaney, the new chairperson, confirmed the merger in a public statement: "We are overjoyed that Lakon Spaceways will join the Core Dynamics family, thereby overturning the mistakes of the previous management and setting us on course for a bright future. The transfer of ownership will take another two months to formalise. In that time, it will be business as usual for the manufacture and sale of our ships." The Federal Commerce Authority has approved the corporate takeover. However, the Independent Commission for Market Equality is still investigating reports of irregularities. The Council of Admirals has expressed concerns that a military supplier for the Alliance Defence Force should be owned by a Federal defence contractor. Admiral Rachel Ziegler informed the Assembly: "Regardless of our cordial relationship with the Federation, security issues will inevitably arise if the Alliance Chieftain and her sister ships are constructed by a foreign power. The ADF is already woefully underfunded, and this places extra strain on our ability to defend our interests."[2]
24 NOV 3306
- An official bid for complete ownership of Lakon Spaceways has been made by Core Dynamics, a major shipbuilding corporation in the Federation. The announcement caused ripples in the manufacturing sector, particularly as Lakon has been in partnership with the Alliance for several years. The newsfeed Sol Today featured a statement by Jupiter Rochester, the CEO of Core Dynamics: "Lakon Spaceways has made a name for itself with its practical and well-respected ship designs – the workhorses of the galaxy. Core Dynamics can help the company reach greater heights, and be even more successful. This can only be a positive move for both corporations. As with our acquisition of Vodel last year, Lakon will retain its talented engineers and production facilities while operating under our guidance." There has been no response yet from the board of directors at Lakon Spaceways. Some industry specialists have speculated that the company may have financial difficulties, after investing heavily in the Alliance Chieftain and its sister ships. Questions have been raised in the Alliance Assembly about the legality of inter-superpower corporate mergers. However, neither the Federal Commerce Authority nor the Independent Commission for Market Equality have disapproved of the proposal.[3]