Commission refers alleged collusion case against Group Five to tribunal

17th March 2015 By: Natalie Greve - Creamer Media Contributing Editor Online

Commission refers alleged collusion case against Group Five to tribunal

Photo by: Duane Daws

The Competition Commission on Tuesday referred a case of alleged collusive tendering against construction major Group Five to the Competition Tribunal after an investigation found sufficient evidence that the company allegedly colluded with counterparts WBHO and Murray & Roberts subsidiary Concor in respect of a road rehabilitation project.

The commission requested the tribunal to impose the maximum penalty of 10% of Group Five’s yearly turnover in respect of the contravention.

The commission said in a statement that the alleged collusion occurred in relation to the Senekal project, which involved the rehabilitation of National Route 5, section 4 between Senekal and Vaalpenspruit in the Free State.

It stated that Group Five had “bilateral collusive agreements” with WBHO and Concor respectively in terms of which Group Five would submit a bid price lower than those submitted by WBHO and Concor to ensure that Group Five won the tender.

Group Five was not immediately available for comment.