Construction companies that didn’t sign VRP settlement agreement are off the hook | The Citizen

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Eight construction companies – were among 15 firms that reached settlement agreements with the Competition Commission. Find out more 📱

The eight companies in the CIDB’s sights for contraventions of its code of conduct were G Liviero & Sons Building, Giuricich Bros Construction, Haw & Englis, Hochtief Solutions, Norvo Construction, Rumdel Construction, Tubular Technical Construction and Vlaming.

Ebrahim Patel, then minister of economic development and now minister of trade, industry and competition, confirmed at a media conference in February 2017 to announce the signing of the VRP by the listed companies, that it was now capable of being extended to other parties.“We will be engaging with the other companies to say to them: ‘This is the framework, you have been implicated and there are still outstanding matters involving you and it would be good for you to come on board.

The commission referred a further 19 cases to the Competition Tribunal for prosecution, two of which resulted in fines. Delatoy Investments agreed to pay a fine of R4.1 million, while GCP was fined R900 000 after being found guilty of engaging in cover pricing. “Such societal organisations, or even individual citizens, might, where warranted, litigate using other avenues – such as the Prevention and Combating of Corrupt Activities Act [Precca] and Prevention of Organised Crime Act [Poca], because collusion is not only anti-competitive, it is also organised crime – and make a case to National Treasury to blacklist convicted offenders from public procurement for a period of time.

He said the majority of Safcec members are committed to these codes, because they are constantly reminded of them as part of the self-regulatory mechanism in line with Safcec’s continuous commitment to promoting the image of SA’s civil engineering construction industry.In terms of the VRP settlement agreement, the seven listed construction companies agreed to:

 

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Construction companies that didn’t sign VRP settlement agreement are off the hookEight construction companies off the hook from CIDB disciplinary action, for 2010 infrastructure bid-rigging, price fixing and collusion. Moneyweb PriceFixing
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