Brazil: Investigation launched on Drug acquisitions

Brazil’s competition watchdog announced the start of an inquiry into an alleged cartel within public drug acquisition processes, including providers of antidepressants, painkillers, sedatives, anticoagulants and other therapeutic drugs.

The investigation will focus on 15 companies, accused of establishing communication channels to coordinate their prices and gain advantage in public contract contests, restricting competition within the process. Company executives would previously agree on the winner and the amounts bid for each contest, among other violations of competition law.

The case, brought to light through intercepted telephone conversations, will focus on the companies’ actions between 2007 and 2011. The companies will be formally notified of the proceedings and invited to present their defence.

Full content: CADE

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