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Office of Competition and Consumer Protection

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UOKiK issues decision in bid rigging case

< previous | next > 12.02.2016

UOKiK issues decision in bid rigging case

The competition Authority has issued a decision finding two bread delivery companies engaged in bid rigging, influencing the outcome of a tender for the supply of bread eight times since 2013.

Poland’s Office of Competition and Consumer Protection (UOKiK) instituted proceedings in March 2015, having established that Firma Produkcyjno Usługowa Natex and Młyn Malinie Dziewit agreed bid prices in bread delivery tenders. When the two finished first and second in a tender, the winner would pull out, leaving the other, more expensive bid to take the contract.

After the tender results were announced, the winner would either not contact the bid organiser, or furnish terse or vague explanations for refusing to sign the contract. However, a number of circumstances suggested the two companies were working in concert. Foremost was the fact that offers from both companies were signed by the same person, the same mistakes occurred in documents from both companies, documents submitted by both lacked particular attachments, and some tenders were sent at the same time from the same post office.

The effect of the eight instances of bid rigging was that public entities, including social assistance facilities and army units, lost from several thousand to tens of thousands of zlotys. The family ties that exist between the two companies may have facilitated the shared arrangements. UOKiK has fined both companies 130,000 PLN (29,000 EUR) for participating in a competition limiting agreement. The decision is not final and may be appealed in Poland’s Court of Competition and Consumer Protection (SOKiK).

Additional information for the media:

Press Office, UOKiK
Pl. Powstańców Warszawy 1, 00-950 Warsaw
Phone.: +48 22 827 28 92, +48 22 55 60 314, +48 22 55 60 430
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Twitter: @UOKiKgovPL

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See also:
ICPENICNPolish Aid