Govt agencies to monitor cartel practices

The ACCC has launched an information package to raise awareness of the signs of possible cartel behaviour affecting government procurement.

“The ACCC seeks to work with government agencies at all levels which are involved in the procurement process to raise awareness of possible cartel conduct and increase the likelihood that it will be detected”, chairman Graeme Samuel said.

“Experience domestically and abroad has shown that government procurement is susceptible to cartel conduct. The package will help identify suspect tender practices and allow agencies to report them to the ACCC.”

The package will assist government agencies to identify and report suspicious tender practices. In particular, it provides information about:

• the behaviour that constitutes a cartel;
• warning signs in the procurement process;
• what to do if the agency suspects a cartel; and
• the penalties attached to cartel conduct.

“The package is part of the ACCC's focus on cracking cartel behaviour and is preparatory to changes to the Trade Practices Act which will lead to higher civil penalties and criminal sanctions, including the possibility of jail terms for company executives.”

Further information at www.accc.gov.au