Moscow OFAS exposed a cartel at seven auctions for supplying goods to the South Administrative Okrug of Moscow
The Commission of Moscow OFASexposed oral cartel collusion between “Aliance” OTK” Ltd., “PRIORITET” GK” Ltd. and “LOLEREA” Ltd.
Earlier the Prefecture of the South Administrative Okrug of Moscowand the authorities of five Moscow districts organized seven auctions for supplying goods and rendering services for festive and sport events. For instance, supply packed meals and the uniform of consolidated youth teams of the South Administrative Okrug for training and participating in the Ceremonial Parade on the Red Square, and food gift baskets for subsidized households on the memorable dates and dates of memorable military dates.
The total initial (maximum) contract price was 2.4 million RUB.
The cartel agreement between the above entities led to maintaining prices at the auctions, as a result of which “PRIORITET” GK” Ltd. won five auctions with 1% - 5% reductions from the initial (maximum) contract price, while “Aliance” OTK” Ltd. won two auctions with 5% - 6% reduction.
Moscow OFAShas established that the companies were exchanging information to the benefit of each other and used the same infrastructure filing the bids, price offers and signing the contract.
Under Clause 5 Part 1 Article 11 of No.135-FZ Federal Law “On Protection of Competition”, agreements between competitors – economic entities selling goods on the same market are recognized a cartel and prohibited if such agreements lead or can lead to increasing, decreasing or maintaining prices at auctions.