MyCC proposes to fine 8 contractors for bid rigging

THE Malaysia Competition Commission (MyCC) may fine eight enterprises for engaging in bid rigging in 2019 for two tenders of the Public Works Department (JKR) and one tender of the Department of Drainage and Irrigation (JPS).

In a statement today, MyCC said it had on April 16 made a proposed decision against the eight enterprises for infringing section 4 of the Competition Act 2010 (CA 2010). The proposed decision was served on the eight enterprises yesterday.

The three tenders, worth a total RM473 million, were for the provision of services for construction works for roads and flood mitigation systems.  

Six enterprises — Dutamesra Bina Sdn Bhd, IDX Multi Resources Sdn Bhd, Mangkubumi Sdn Bhd, Menang Idaman Sdn Bhd, Meranti Budiman Sdn Bhd and Pintas Utama Sdn Bhd — were implicated in all three tenders. One enterprise, NYL Corp Sdn Bhd, was implicated in both JKR tenders while another enterprise, Kiara Kilat Sdn Bhd, was implicated in one of the two JKR tenders, according to the statement.

MyCC said investigation has provisionally found that these enterprises had colluded in bid rigging through information sharing and coordination in the participation in the tenders.

It added that it was important to highlight that MyCC’s findings are provisional and it should not be assumed that any enterprise has conclusively infringed the Competition Act 2010 at this stage.

As required by the Act, it said the enterprises concerned have also been notified of the proposed penalties and they were accorded the opportunity to submit their respective written representations within 30 days after receiving the proposed decision.

Thereafter, it said the enterprises have the additional opportunity to make their respective oral representations before the commission at a later date to be determined.

MyCC, an agency under the Ministry of Domestic Trade and Cost of Living (KPDN), will issue its final decision after considering representations made by the enterprises as against evidence gathered from the investigation. — TMR