Case Law Details
In Re: Alleged anti-competitive conduct by various bidders in supply and installation of signages at specified locations of State Bank of India across Ina (Competition Commission of India)
Brief Facts
1. The present case was taken up by the Commission suo motu under Section 19(1) of the Competition Act, 2002 (the ‘Act’) pursuant to a complaint dated 28.06.2018 received in the Commission, alleging bid-rigging and cartelisation in the tender floated by SBI Infra Management Solutions Pvt. Ltd. (‘SBIIMS’) for the supply and installation of new signages/replacement of existing signages for branches/offices/ATMs of SBI located at specified metro centres of various circles of SBI across India (‘Impugned Tender’). From the facts on record, it appeared that certain bidders in the Impugned Tender were co-ordinating and fixing the prices of their services as well as allocating the market amongst themselves, with the object of distorting fair bidding process.
2. Noting the foregoing, the Commission formed a prima facie view that a case of contravention of the provisions of Section 3(1) read with Section 3(3) of the Act is made out with respect to the Impugned Tender. Accordingly, the Commission passed an order dated 19.05.2020 under Section 26(1) of the Act directing the Director General (‘DG’) to cause an investigation into the matter and submit a report. The Commission directed that if, during the course of investigation, the DG comes across anticompetitive conduct of any other entity/person in addition to those mentioned in the complaint, the DG shall be at liberty to investigate the same. The DG was also directed to investigate the role of the officials/persons who, at the time of such contravention, were in-charge of and responsible for the conduct of the businesses of parties/bidders as well as persons/officers with whose consent or connivance, contravention was committed, in terms of the provisions of Section 48 of the Act.
3. During the pendency of investigation before the DG, Avery Dennison Private Limited (‘OP-4’) filed an application on 31.08.2020 under the provisions of Section 46 of the Act read with the Competition Commission of India (Lesser Penalty) Regulations, 2009 (‘Lesser Penalty Regulations’) before the Commission.
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