The Competition Tribunal has approved a consent agreement between the Competition Commission and sprinkler system installer Eagle Fire Control, which admits that the company was involved in collusive tendering conduct.
Eagle Fire has agreed to pay an administrative penalty of R120 000, refrain from engaging in any anticompetitive behaviour and develop a competition law compliance programme.
The matter dates back to July 2017 when the commission launched an investigation into the Automatic Sprinklers Inspection Bureau and all sprinkler installers registered with the bureau.
Initially, during its investigation, the commission found that Eagle Fire and another firm may have entered into an agreement to collude when submitting bids to their clients.
The commission subsequently launched a separate investigation and found that Eagle Fire’s conduct with the other firm had amounted to collusive tendering for the supply and installation of fire equipment at Old Mutual properties and the replacement of sprinkler heads at buildings owned by Tiger Brands.