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Colombia: Cartagena foundations fined over food-program collusion

 |  July 17, 2017

Colombia’s Superintendence for Industry and Commerce has imposed fines on charitable foundations FUNDESOL and MULTIACTIVA, totalling more than $ 2.5 billion Colombian pesos (US$850,000) over their collusion to manipulate the bidding process to provide food to elderly citizens in the city of Cartagena. The legal representatives of both foundations were also charged. There were no reported misconducts attributed to public officials related to the adjudication process.

The cartelization or collusion found by the SIC consisted on a plan by FUNDESOL and MULTIACTIVA to present a series of seemingly independent offers, when in fact the two entities had coordinated their bids, simulating competition.

The SIC has also ordered for copies of their findings to be filed with the Attorney General, since collusion in a public procurement process is considered a punishable crime as per Colombia’s Penal Code.

Full Content: Caracol

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