Fair trade watchdog Competition Commission of India (CCI) has levied a penalty on PMP Infratech Pvt. Ltd., Rati Engineering, and their respective individuals who managed and controlled the firms, for indulging in concerted practices leading to bid rigging of the tender floated by Gas Authority of India Ltd (GAIL).
"CCI imposed a monetary penalty of Rs 25 lakh on PMP Infratech Pvt. Ltd, Rs 2.5 lakh on Rati Engineering, and Rs 1 lakh and Rs 50, 000 on their respective individuals who managed and controlled the firms, besides passing a cease-and-desist order," revealed an official statement.
The tender was floated in 2017–18 for the restoration of a well site located in Ahmedabad and Anand areas of Gujarat.
"CCI found such conduct to have contravened the provisions of Section 3(3)(d) read with Section 3(1) of the Competition Act, 2002 which prohibit anti-competitive agreements including bid rigging," added the statement.
CCI, based on an investigation, found that the two firms were in regular touch with each other regarding the tender and even after the submission of their bids.
In addition to this, the watchdog also found that the bids of two firms were submitted from the same IP address from the premises of PMP Infratech’s Ahmedabad office, within a day's gap.
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