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Colombia: Superintendence denounces State contract-fixing Cartel

 |  May 1, 2018

Colombia’s Superintendence of Industry and Commerce (SIC) has filed charges against 23 companies and 21 individuals, alleged members of a “cartel” whose objective was to win contracts valued at $73 billion Colombian pesos (approximately US$25 million) in contests presented by state entities between 2014 and 2018.

Among the entities affected by this practice are the Prosecutor’s Office, the Police, the Logistics Agency of the Military Forces, the National Penitentiary and Prison Institute (INPEC) and the National Institute of Legal Medicine and Forensic Sciences.

According to the SIC, those involved would have identified the proponents or bidders in the hiring processes called by public organizations and approached them in order to collude. Then, the company who wanted to win the tender would pay off its competitors.

The goal of this strategy was to prevent further reductions in the prices established during the initial ‘bidding’ stage. As a result, the State ended up paying higher prices for the provision of products and services.

Full Content: El País

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