Chile: FNE accuses Biosano and Sanderson labs of bid rigging

Chile’s National Economic Prosecutor (FNE) has presented its counterpart, the Tribunal for the Defense of Free Competition (TDLC) with charges against local drug-makers Laboratorio Biosano, Fresenius Kabi Chile and its affiliate Laboratorio Sanderson. Authorities have accused the companies of forming a decade-long arrangement to rig government contract bidding. The labs are the country’s only makers of medical ampoules for generic medication.

The FNE charges accuse the labs of rigging bids for supplying the national health system by defining beforehand which of the two would be the winner of each contest. The cartel would coordinate reference prices and adjust their offers to ensure the ‘right’ company would win a specific contract.

The FNE has asked for a fine of 18 thousand UTA units for Sanderson and 2 thousand UTA units for Biosano, bringing the total to around $17 million USD. Biosano was able to avoid sanctions due to its cooperation under Chile’s leniency program for antitrust violators.

Full Content: La Tercera

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