CARTELS: AMO SR imposed fines for cartel agreement between undertakings in the field of constructing industry

08.11.2018
On 5 October 2018 the Antimonopoly Office of the Slovak Republic, the Division of Cartels, (hereafter "the Office") issued a decision imposing fines totalling EUR 307 546 on the undertakings PINGUIN, s.r.o., seated at Garbiarska 11, 040 01 Košice and HORADSTAV, s.r.o., seated at Betliarska 12, 851 07 Bratislava for the conclusion of cartel agreement.

It was based on the coordination of the bidding procedure of the undertakings operating in the field of construction works and the supply of equipment, namely in the public procurement that was announced on 2 December 2010 by the contracting authority PATRIA, n.o., seated at Drienovecké kúpele 497, 044 01 Drienovec and the object of the contract was the realization of the construction of rehabilitation house with accommodation for retirees, Drienovecké spa, Drienovec.

The project was funded by the European Structural and Investment Funds.

The documentation and information available to the Office showed out that in 2010 there were negotiations between these undertakings about the procedure for submitting bids in this public procurement.

The Office evaluated the conduct of the undertakings as an agreement restricting competition and based on direct or indirect determining prices of goods, market allocation and collusive behaviour in the public procurement process, which is prohibited under the Article 4 of the Act on the Protection of Competition.
 
In this respect, the Office states that the collusion in public procurement process or public tender is one of the most serious infringements of competition rules.

The decision of the Office came into force on 5 November 2018.
Last update:09.11.2018