Four military suppliers fined EUR 2.8 mln over auction price-rigging in Romania

Newsroom 16/12/2013 | 13:59

The Competition Council handed down fines worth EUR 2.8 million to four companies that supplied infantry weapons and optics equipment to Romania’s Ministry of Defense between 2005 and 2007.

The antitrust watchdog concluded that Romania-based Transcarpat Sportours International was empowered by three foreign companies to draw up offers and bid on their behalf. The Romanian firm was fined EUR 32,020 following the investigation.

“Transcarpat had access to sensitive information at drew up the offers so as to maximize the successful bidding of each company,” said Bogdan Chiritoiu, president of the Competition Council.

The foreign firms involved in the tender received harsher penalties. Germany’s J.P Sauer & Sohn, the gunmaker, was handed down the biggest fine worth EUR 1.6 million. Switzerland’s San Swiss Arms, a gunmaker, and Brugger & Thomet, a maker of firearms and tactical components, were fined EUR 644,347 and EUR 545,113, respectively.

According to the antitrust watchdog, Transcarpat split the portfolio of products of the bidders so that they would not have to compete in the tender.