Competition Commission v Today's Destiny Trading and Project 81 CC and Another (CR079Aug16/SA167Nov16) [2016] ZACT 113; [2016] 2 CPLR 669 (CT); [2016] 2 CPLR 685 (CT) (30 November 2016)

Competition Commission v Today's Destiny Trading and Project 81 CC and Another (CR079Aug16/SA167Nov16) [2016] ZACT 113; [2016] 2 CPLR 669 (CT); [2016] 2 CPLR 685 (CT) (30 November 2016)

The Tribunal found that Raite Security Services and Consulting CC admitted to engaging in collusive tendering with Today's Destiny Trading and Project 81 CC, in contravention of section 4(1)(b)(i) and (iii) of the Competition Act. The evidence included identical pricing, supporting documents, and shared resources in their tender submissions. The Tribunal accepted the settlement agreement, which included Raite's admission, undertakings for future compliance, and payment of an administrative penalty equivalent to 2.1% of Raite's annual turnover for the relevant financial year. The Tribunal was satisfied that the agreement addressed the contravention and provided for appropriate remedies,...

Citation
[2016] ZACT 113
Parties
Applicant: Competition Commission; Respondent: Today's Destiny Trading and Project 81 CC; Respondent: Raite Security Services and Consulting CC
Court
Competition Tribunal
Jurisdiction
South Africa
Judgment Date
30 November 2016
Case Number
CR079Aug16/SA167Nov16
Procedural Posture
Settlement Application / Order Confirming Settlement Agreement
Outcome
Settlement agreement confirmed as an order of the Tribunal. Administrative penalty imposed on Raite Security Services and Consulting CC.
Judges
N Manoim, A Wessels, M Mokuena
Legal Topics
Collusive Tendering, Cartel Conduct, Administrative Penalty, Section 4 Competition Act
Competition Law Commercial and Corporate Collusive Tendering Cartel Conduct Administrative Penalty Section 4 Competition Act

Case Brief

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Parties

Competition Commission

Applicant

Today's Destiny Trading and Project 81 CC

Respondent

Raite Security Services and Consulting CC

Respondent

Procedural Posture

Settlement Application / Order Confirming Settlement Agreement

Legal Issues

  1. 1 Whether Raite Security Services and Consulting CC and Today's Destiny Trading and Project 81 CC contravened section 4(1)(b)(i) and (iii) of the Competition Act by engaging in collusive tendering.
  2. 2 Whether the settlement agreement between the Commission and Raite should be confirmed as an order of the Tribunal.
  3. 3 What administrative penalty is appropriate for the admitted contravention.

Ratio Decidendi

The Tribunal found that Raite Security Services and Consulting CC admitted to engaging in collusive tendering with Today's Destiny Trading and Project 81 CC, in contravention of section 4(1)(b)(i) and (iii) of the Competition Act. The evidence included identical pricing, supporting documents, and shared resources in their tender submissions. The Tribunal accepted the settlement agreement, which included Raite's admission, undertakings for future compliance, and payment of an administrative penalty equivalent to 2.1% of Raite's annual turnover for the relevant financial year. The Tribunal was satisfied that the agreement addressed the contravention and provided for appropriate remedies,...

Court Disposition

Settlement agreement confirmed as an order of the Tribunal. Administrative penalty imposed on Raite Security Services and Consulting CC.

Orders

  • The settlement agreement between the Competition Commission and Raite Security Services and Consulting CC is confirmed as an order of the Tribunal.
  • Raite Security Services and Consulting CC shall pay an administrative penalty of R1,593,820.00 within 12 months from the date of confirmation.