CCI dismisses bid rigging allegations against Hitachi Sytems, IL&FS Technologies

Fair trade regulator CCI has dismissed allegations of bid rigging against IT solutions provider Hitachi Systems Micro Clinic and ILF&S Technologies in a tender floated by BHEL.

The Competition Commission of India (CCI) has disposed of the matter as it did not find any prima facie case of contravention of the Competition Act against Hitachi Systems and ILF&S Technologies.

The ruling comes following a complaint filed by Reprographics India against the companies alleging that in the entire bidding process, both the firms acted in collusion and thereby, rigged the process. Such alleged collusive bidding caused huge loss to public exchequer.

BHEL's Digital Transformation Centre at Bhopal had floated a tender inviting bidders for supply, installation and maintenance of PCs, servers, printers, network equipment and other computer peripherals throughout India at more than 20 locations or a period of five years on lease basis.

In an order dated November 9, CCI said that "the informant (Reprographics India) has failed to provide or suggest any evidence to show that there was any meeting of minds between the two companies before/at the time of submission of bids".

"The Commission observes that a prima facie case under the Act is not made out against the OPs (the two companies) as the case of the informant lacks reasonable allegations based on any concrete evidence in the matter," it noted.

Accordingly, the Commission has closed the matter.