CCI issues order against three suppliers for rigging Tender bids



Quick Summary
The Competition Commission of India (CCI) has ordered three suppliers to pay a £10,000 fine each for rigging bids in a tender for Picofall-cum-Sewing Machines. The tender was floated by Pune Zilla Parishad. The CCI found evidence of an agreement between the suppliers, including similar bid prices, shared IP addresses, and call data records, indicating price-fixing. This anti-competitive behaviour negatively impacts public procurement and the treasury.

CCI issues order against three suppliers for rigging bids in tender floated by Pune Zilla Parishad for procurement of Picofall-cum-Sewing Machine

The Competition Commission of India (CCI) has found an agreement between three suppliers, to rig the bids in respect of a tender floated by Pune Zilla Parishad for procurement of Picofall-cum-Sewing Machine, in contravention of the provisions of Section 3(1) read with Section 3(3)(d) of the Competition Act, 2002, which prohibits anti-competitive agreements.

The CCI has concluded that quoting of bid prices which were very close to each other with difference of just a few rupees by the bidders for the Impugned Tender was not a mere coincidence but a result of consensus/ understanding amongst the bidders. The CCI also noted that a holistic assessment of bid prices of the bidders coupled with other plus factors viz. single IP address, coordination in other tenders, call data record, mobile location, etc. is conclusive of an agreement amongst the bidders to fix price, resulting in rigging the bids in the Impugned Tender of Pune Zilla Parishad.

CCI Fines Suppliers for Rigging Tender Bids

The CCI also opined that such conduct in public procurements, besides defeating the tendering process, has an adverse impact on the exchequer. Accordingly, the CCI imposed a monetary penalty of Rs. 10 lakh each on the suppliers viz. M/s Klassy Computers, M/s Nayan Agencies and M/s Jawahar Brothers, for the anti-competitive conduct. Further, a penalty of Rs. 10,000 each was imposed upon each of the individuals of M/s Jawahar Brothers in terms of Section 48 of the Act. The other two bidders are sole proprietorship concerns and thus, no separate penalty is being imposed upon their respective proprietors. Besides, a cease and desist order was also issued against these suppliers.

The Order was passed on 17.03.2021 in Case No. 90 of 2016 and a copy thereof has been uploaded on the website of the CCI at www.cci.gov.in.

FAQ :

The CCI found that three suppliers had an agreement to rig bids for a tender floated by Pune Zilla Parishad for the procurement of Picofall-cum-Sewing Machines, which contravenes competition law.

The CCI noted very close bid prices, a single IP address, coordination in other tenders, call data records, and mobile location data as conclusive evidence of an agreement to fix prices.

The CCI imposed a monetary penalty of £10,000 each on M/s Klassy Computers, M/s Nayan Agencies, and M/s Jawahar Brothers. Additionally, individuals from M/s Jawahar Brothers received a £100 fine each, and a cease and desist order was issued.

The tender was floated by Pune Zilla Parishad for the procurement of Picofall-cum-Sewing Machines.

The CCI opined that such conduct in public procurements defeats the tendering process and has an adverse impact on the exchequer.




News posted by

Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.

Comments :


More »

Popular News





CCI Pro



Company
Featured 29 October 2026
Accounts Executive

Synergy Keystone

Chennai

B.Com

View Details
Company
02 November 2026
Audit Executive

SRJP & Co LLP

Kochi

CA Inter

View Details
Company
ARTICLESHIP 23 October 2026
CA Articleship / Article Assistant

M N Rao & Associates LLP

Vijayawada

CA Inter

View Details
Company
28 October 2026
Assistant Director/ Associate Director-Finance & Accounting

Krea University

Chennai

CA

View Details
Company
Featured 27 October 2026
semi-qualified CA

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Final

View Details
Company
30 October 2026
Asst Manager Accounts

Goodwin Pumps India Pvt Ltd

Chengalpattu

CA Inter

View Details
Company
10 November 2026
FP&A Executive

Gujarat Guardian

Ankleshwar

CA Final

View Details
Company
ARTICLESHIP 28 October 2026
Article assistants

Shyam S Gupta and Company

New Delhi

CA Inter

View Details