The fine of CZK 1 million imposed on the University Hospital Kralovske Vinohrady was confirmed
In 2004, University Hospital Kralovske Vinohrady concluded the contract for supplies of energy with the company Pražská energetika. In 2006 – 2011, the Hospital concluded four amendments to the contract by which the contracting entity reacted to price movements of electricity. The amendments were concluded without conducting an award procedure.
In the contract, the contracting entity defined the method for the calculation of the price increase however this provision was not respected in practice when concluding amendments. The amendments modified the original contract in a way that was not expected in terms of the original contract and that was in favour of the supplier. For this reason, the change of the contract was significant and unacceptable. The amendments which value exceeded CZK 200 million should have been awarded in the proper award procedure pursuant to the Act.
By its conduct, the contracting entity prevented other tenderers from submitting offers and eliminated the competition for the public contract. If the contracting entity proceeded pursuant to the Act, it could receive offers with more favourable terms. The Office imposed the fine amounting to the quarter of a maximum rate for the repeated misconduct.
The Chairman of the Office rejected the objections of the appeal including a request to waive a fine as the contracting entity committed a total of four administrative infringements of the most serious nature.
International and External Relations of the Office
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