The COMPETITION COUNCIL investigates companies from the adhesives market

Currently, the Competition Council has several ongoing investigations involving construction companies and suppliers of materials, all triggered by own initiative. The investigations include a possible agreement between 11 companies to participate with rigged bids (individually and in combination) at the auctions organized by the General Council of Bucharest (CGMB), through the Streets Administration, for the award of framework agreements in what concerns the paving and filling of pits and borders in the capital city. Also, there are three ongoing investigations on possible arrangements between various companies in order to participate with rigged bids in auctions organized by the Teleorman County Council, Ilfov County Council and the Regional Roads and Bridges Administration (DRDP) Craiova, for the award of contracts concerning the rehabilitation, modernization, as well as works and services for road maintenance. Other cross-examinations developed by the Competition Council are aimed at the adhesives and mortars for polystyrene distribution market, namely an agreement between the local manufacturer Gabbro and its distributors as between Ital-Kol Timiş and its business partners. Furthermore, possible agreements on the market of road construction in the counties of Braşov, Sibiu, Mureş, Covasna, Harghita, Timiş, Caraş-Severin, Arad, Hunedoara, Gorj and Mehedinţi as well as a sector inquiry on the market of works for roads and highways construction are currently investigated. According to the law, the Competition Council may initiate investigations through its own initiative or following a complaint. After detecting and punishing the cartel active on the cement market in 2005, the institution has carefully monitored the sector of construction works and materials. Among the most important penalties released last year by the Competition Council one may cite the case of the vehicle Do-Fi East Holding GmbH (part of the Austrian investment fund Donau Finanz), which holds shares in the construction companies SCT Bucureşti and CCCF Bucureşti. The Austrian company was fined with 1.06 million RON (about 263,628 EUR) for the implementation of a merger before obtaining the approval from the competition authority. For further information and a detailed analysis of the current Agenda Constructiilor issue click here!