Regulator finds possible competition law violations in flood control bid rigging

THE Philippine Competition Commission (PCC) said on Tuesday that it found possible violations of the Philippine Competition Act in the course of its investigation into alleged bid rigging in flood control projects in Bulacan.

In a statement on Tuesday, the PCC said it referred, through its Competition Enforcement Office, its initial findings to the Department of Justice (DoJ) on Nov. 14.

In particular, the PCC said that it found possible bid rigging in certain flood control contracts at the Department of Public Works and Highways (DPWH) 1st District Engineering Office of Bulacan.

“Evidence gathered indicates that the contractors agreed to rig and manipulate the bidding process by having predetermined winning and losing bidders,” the PCC said.

“On the other hand, several public officers of the DPWH 1st District Engineering Office facilitated and ensured that the bid-rigging arrangement was followed,” it added.

The PCC defines bid rigging as collusion by bidders to manipulate the outcome of a public procurement exercise.

“Such conduct undermines competition, deprives the public of fair value, and wastes government resources,” it said.

The DoJ is set to “evaluate the referral and recommend either the conduct of further case build-up or proceed to preliminary investigation.”

“The PCC will continue to support the process and uphold its mandate to safeguard competitive markets and protect public interest,” the competition authority said.

The DPWH tapped the PCC to evaluate to what extent infrastructure bidding is affected by collusion. — Justine Irish D. Tabile