CCI fines 7 firms & 10 individuals for rigging bids & cartelisation in Railway’s tenders

The CCI imposed penalties constituting 5 percent of the average turnover of the companies and individuals found guilty of violating provisions of the Competition Act.

IndiaтАЩs anti-trust regulator CCI has penalised seven companies that it says indulged in cartelisation and influenced prices of a tender launched by the Indian Railways.

The Competition Commission of India (CCI) imposed penalties constituting 5 percent of the average turnover of the companies and individuals found guilty of violating provisions of the Competition Act, it said in a statement.

The CCI did not reveal the identities of the companies or the persons.

The CCI said it found the seven companies as well as 10 individuals of these entities to have indulged in cartelisation in the supply of Protective Tubes to the Indian Railways, “by means of directly or indirectly determining prices, allocating tenders, controlling supply and market, co-ordinating bid prices and manipulating the bidding process”.

The case was initiated on the basis of a lesser penalty application filed by one of the cartelising entities, said the regulator. Section 46 of the Competition Act allows a cartel to seek a lesser penalty from the CCI in return for providing full and correct disclosures.

Courtesy: MONEYCONTROL

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