VORONEZH OFAS EXPOSED BID-RIGGING CARTELS AT TENDERS ON ORGANIZING HOT MEALS FOR SCHOOLCHILDREN FOR 280 MILLION RUB

Voronezh OFAS proved violations of the antimonopoly law organizing 22 tenders with limited participation for the services of organizing hot meals for schoolchildren in 2017.

As part of its efforts to decartelize public and municipal procurement of goods, works, services in the Voronezh region, the Office of the Federal Antimonopoly Service in the Voronezh region exposed some facts of bid-rigging cartels in the course of tenders for organizing het meals for schoolchildren in Voronezh in 2017. OFAS found that three school meal suppliers of violated Clause 2 Part 1 Article 11 of the Federal Law “On Protection of Competition”. For example, “Solnechny” Food Production Facility” Ltd., “School Food Production Facility” Ltd., “Stolitsa Plus” Ltd. and “Globus” Ltd. entered in cartel agreements between themselves that resulted in maintaining prices in the course of tenders. There was a minimum contract price reduction at all tenders (0.001%), and the total value was around 280 million RUB.

Head of FAS Anti-Cartel Department Andrey Tenishev emphasized: “The exposed cartels is the result of our systemic efforts to suppress anticompetitive agreements in social catering supplies. Only in the past two years, more than 50 cases were opened against cartels fir supplying food products for public needs. As a result of operations of such cartels, not only price competition is absent, but the quality of services suffers”.

In all tenders, there were always two participants. In some tenders these companies were “Solnechny” Food Production Facility” Ltd. and “School Food Production Facility” Ltd., on others – “Stolitsa Plus” Ltd. and “Globus” Ltd., in the third ones– “Solnechny” Food Production Facility” Ltd. and “Stolitsa Plus” Ltd. At the same time, it was found that all companies have the same legal address, and the same physical person performed the functions of the Chief Accountant and Head of HR in all tenders.

Cartel members also took advantage of the leniency programme and admitted the offence.