Eleven construction companies active in Romania are being investigated by the country's Competition Council for allegedly agreeing to submit rigged bids to Bucharest street maintenance tenders, so that they won contracts by rotation. The estimated amount of the contracts signed with the 11 companies for the period 2011- 2014 is about EUR 347 million. Most of the investigated companies are local and have been working on road maintenance as well as larger road construction contracts with the state. Austrian Strabag is also on the list of investigated companies.

“We have clues that there is an agreement between the companies to participate with formal bids in the six auctions without actually compete. Thus, contracts were conferred by rotation. It is important to detect and correct malfunctioning in this area, so that finally to efficiently spend the public funds,” said Bogdan Chiritoiu, president of the Competition Council.

The 11 companies are Tehnologica Radion, Euro Construct Trading 98, Straco Grup, Delta ACM, Pro Cons XXI, RCV Global Group, Swietelsky Construcţii Feroviare, Strabag, Eurovia-Construct Internaţional, Global Service Proiect and Drum Concept. These companies have allegedly agreed to participate, individually and in association, with rigged bids in six auctions organized by General Council of Bucharest - Roads Administration for contracts on asphalting and filling hollows and borders. The companies risk fines of up to 10 percent of their turnover, should the Competition Council find infringement of the competition rules.

Tehnologica Radion is working on a segment of the Timisoara – Lugoj highway, while Euro Construct Trading 98 is building the Moara Vlasiei – Ploiesti highway segment together with Spedition UMB and PA&CO In­ternational. Delta ACM has won a contract to build the Raul Doameni – Eroilor new metro line in Bucharest – a EUR 215 million contract together with Astaldi, FCC Cons­truccion and AB Construct.

editor@romania-insider.com

(photo source: Photoxpress.com)