The Office punished a cartel of regional construction companies

2023-02-14
In its first-instance decision, the Office for the Protection of Competition (hereinafter referred to as “the Office”) imposed fines in the aggregate amount of CZK 3,157,000 on the undertakings aostav s.r.o., EFIOS stavební s.r.o., HERYÁN RECONSTRUCTIONS s.r.o. and the natural person K. K. for the prohibited agreement on a construction public contract. All the parties to the proceedings had entered into a settlement with the Office and did not file an appeal against the decision.

The bid rigging cartel agreement was concluded within a tender procedure for the revitalisation of a block of flats awarded by the community of unit owners of a particular flat house in 2020. According to documents and communications found by the Office, the undertakings concerned illegally cooperated with each other and coordinated respective budgets within their bids. They subsequently submitted such coordinated bids to the contracting authority, with the most advantageous bid being submitted by aostav s.r.o., thereby distorting competition.

When calculating the fines, the Office based its assessment on the value of the public contract in question, which exceeded CZK 11.5 million. All the parties to the proceedings fulfilled the conditions for a settlement procedure; thus, the fines imposed on them were reduced by 20%. The Office imposed a higher fine on aostav s.r.o. for its leading role in the cartel, while the fine on the natural person K. K. was reduced so as not to have an eliminating effect.

The resulting fines for the individual cartel members are stated below:

aostav s.r.o.                                                                  CZK 1,110,000

EFIOS stavební s.r.o.                                                   CZK 925,000

HERYÁN RECONSTRUCTIONS s.r.o.                        CZK 925,000

an entrepreneur K. K.                                                   CZK 197,000

Press Unit of the Office for the Protection of Competition

23/16 – S0163/2022

2024-05-09 / The Office Revealed and Punished Another Cartel Agreement between Construction Companies The Office for the Protection of Competition imposed fines totalling CZK 7,442,000 on the construction companies B.H.S. BOHEMIA, a.s., SEŽEV facility s.r.o., COMMODUM, spol. s r.o. and Hroší stavby...

2024-04-23 / EP ENERGY TRADING Infringed Competition Act by Early Implementation of Merger With Gazela Energy The Office for the Protection of Competition (the Office) imposed a fine of CZK 18,840,000 on the undertaking EP ENERGY TRADING. for concluding a concentration between undertakings prior to the notification...

2024-04-18 / Sector Inquiry on Waste Management The Office for the Protection of Competition (the Office) has initiated a large-scale sector inquiry focused on waste management. Over the next two years, the Office shall obtain information from all...

2024-04-09 / Zásilkovna will share pick-up points thanks to the intervention of the Office, more options for consumers The Office for the Protection of Competition (“the Office”) accepted commitments from an undertaking Zásilkovna s.r.o. consisting of an amendment to the contractual terms and conditions concluded...

2024-04-05 / Fine of CZK 8 million for Another Pet Food Distributor Forbiding Lower Prices By the first-instance decision, the Office for the Protection of Competition (“the Office”) imposed a fine of CZK 8,656,000 on the undertaking Dibaq a.s. for entering into prohibited agreements on...

2024-04-03 / The Office Imposed a Fine of CZK 72 million on Distributor of Moulinex, Rowenta, Krups and Tefal Products The Office for the Protection of Competition (hereinafter referred to as “the Office”) imposed a fine of CZK 72 333 000 on the undertaking Groupe SEB ČR s.r.o. for prohibited agreements on resale...

2024-02-13 / The Office Imposed a Record Fine of CZK 125 million on ELECTROLUX for Anticompetitive Conduct The Office for the Protection of Competition (hereinafter referred to as “the Office”) punished the undertaking ELECTROLUX, by imposing a fine of CZK 125 404 000 for long-term anticompetitive conduct...

2024-01-19 / The Office Will Share Its Experience Using the DATACROS Tool The results of the Datacros II project, which focuses on investigating corruption, organised and financial crime using innovative techniques, will be presented on Tuesday 30 January 2024 through a public...

If you want to recieve news by email please give us your adress and choose topic.

Email:
Significant Market Power
Public Procurement
State Aid
Competition
Significant Market Power
cs | en
+420 542 167 111 · posta@uohs.gov.cz