Peru is planning to sanction Kimberly-Clark for allegedly conspiring with a competitor to set prices for toilet paper and other products.

Antitrust regulators on Tuesday said that executives of Kimberly-Clark's local subsidiary and their counterparts from Chile's CMPC worked together from 2005 to 2014 to set prices and coordinate promotions. They say the scheme helped inflate prices by as much as 20 percent.

The two companies together control 88 percent of a personal hygiene market in Peru worth more than $250 million in annual sales. The disciplinary action was made possible thanks to information provided by CMPC and could result in heavy fines for the companies as well as 17 executives involved.

Kimberly-Clark did not reply to phone and e-mail requests for comment.