The Justice Department has announced that two directors from Epic Games, appointed by Tencent Holdings Ltd., have resigned following concerns raised by the Antitrust Division. The issue centered around potential violations of Section 8 of the Clayton Act, as Tencent also owns Riot Games Inc., a competitor to Epic. In response, Tencent has amended its shareholder agreement with Epic to relinquish its unilateral right to appoint directors or observers in the future.

Deputy Director of Civil Enforcement Miriam R. Vishio emphasized the importance of addressing interlocking directorates, stating, “Scrutiny around interlocking directorates continues to be an enforcement priority for the Antitrust Division.” She noted that increased enforcement efforts have led to significant results in recent years.

Section 8 prohibits individuals from serving on boards of competing companies, with few exceptions. No admissions of liability have been made regarding this investigation. The division plans to continue monitoring for antitrust law violations across various industries.

Tencent is a major multimedia and video game company headquartered in Shenzhen, China. It holds a minority interest in Epic and owns Riot Games among other investments. Epic is based in Cary, North Carolina, while Riot operates out of Los Angeles.

The Justice Department encourages anyone with information on potential antitrust violations to contact their Citizen Complaint Center.