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Office of Competition and Consumer Protection

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Bid rigging - proceedings of the UOKiK

< previous | next > 13.11.2017

Bid rigging - proceedings of the UOKiK
  • Two undertakings have attempted to unduly influence the results of tender proceedings concerning the public transport network in the city of Zgorzelec.
  • The UOKiK imposed penalties in the total amount of nearly PLN 130 thousand on the participants of the prohibited agreement.
  • How to detect and prevent bid rigging? The UOKiK is organising a series of free training courses for entities tasked with organising public procurement proceedings.

The Competition Authority initiated proceedings in the present case following complaints received from the District Police Headquarters in Zgorzelec. Following the analysis of the materials obtained, the Competition Authority concluded that two undertakings: Bieleccy from Bogatynia and FHU Bielawa from Leśna (Dolnośląskie province) have engaged in collusion. Both of these undertakings took part in the public procurement proceedings. The aggrieved party in the case in question was the organiser of the tender – the Zgorzelec Municipal Commune.

 – In the present case, the undertakings have applied a mechanism of bid submission and retraction. The bids they submitted were the two most advantageous in the entire proceedings. The winner of the tender subsequently retracted its bid, in order for the contracting authority to be forced to select the second-best (and therefore more expensive) bid submitted by the second of the two colluding undertakings. The difference between the two bids amounted to more than PLN 300 thousand. This may have been the total loss incurred by taxpayers if the local government failed to notice the irregularities present – says Marek Niechciał, President of the UOKiK.

The penalty imposed upon the undertakings for engaging in bid rigging practices amounted almost PLN 130 thousand. The decision is not final and may be appealed against to a court of law.

Additional information for the media:

Press Office of UOKiK 
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ICPENICNPolish Aid