Stern action if claims of ‘contractor cartels’ bidding for jobs true, says Guan Eng

The Malaysia Competition Commission.

BUTTERWORTH: Finance Minister Lim Guan Eng today said contractors found to have been ganging up to form cartels to win government contracts will have stern action taken against them.

He said using such tactics was a clear violation of laws and the domestic trade and consumers affairs ministry, through the Malaysia Competition Commission (MyCC), must take action against such “cartels”, if claims that these contractors were working together to bid and then win lucrative government contracts had basis.

“If there is a cartel, then we cannot allow it as we want fair competition.

“There should be no party conspiring to put pressure on the bidding price so that it favours them. This is not about low prices any more but more about ensuring they win the government contract bids by forming a cartel.

Lim Guan Eng.

“If there are such cases going on, then reports must be lodged not only to the government but to the Malaysian Anti-Corruption Commission as this is an offence.

“This also comes under the domestic trade and consumers affairs ministry, and I am sure the minister will take prompt action,” he told reporters after attending the Bagan community Merdeka Carnival at Sekolah Kebangsaan Sungai Puyu here today.

Berita Harian today reported that MyCC was probing at least 10 government projects worth millions after the companies that won the bids were suspected to have formed an alliance in the bidding process.

The daily also reported that the investigation was initiated after MyCC received information about the tactics employed by the conspiring companies.