“CCI found that the two firms were in regular touch with each other regarding the tender floated by GAIL and even after the submission of their bids. Further the bids of two firms were submitted from same IP address from the premises of PMP Infratech office at Ahmedabad, with a one-day gap,” an official statement said.
CCI found such conduct to have contravened the provisions of Section 3(3)(d) read with Section 3(1) of the Competition Act, 2002 which prohibit anti-competitive agreements including bid rigging.
The competition regulator imposed a monetary penalty of Rs 25 lakh on PMP Infratech, Rs 2.5 lakh on Rati Engineering and Rs 1 lakh and Rs 50,000 on their respective individuals who managed and controlled the firms. This is in addition to passing a cease-and-desist order.