The Competition Authority sanctions four cartels in the prefabricated concrete products sector. Eleven companies are sanctioned for a total amount of 76,645,000 euros.
If the Authority has sanctioned cartel practices for periods varying from 7 to 10 years depending on the grievances retained (from 2008 or 2011 to 2017 or 2018), it nevertheless emphasizes that the elements in the file show that in reality, these practices were deeply ingrained in the way the sector operated, to the point where some participants in the practices reported having “ lost view » the illegal nature of their actions and being unable to precisely determine the beginning of the practices, which, according to them, could date back to the 1980s.
The existence of a criminal aspect
Informed by a report from the DGCCRF (BIEC of Lille), the general rapporteur of the Authority sent a report on the basis of article 40 of the code of criminal procedure to the public prosecutor
Following this report, the investigating judge carried out interceptions of telephone exchanges and searches of the premises of several incriminated companies. A search also took place at the Mercure Hotel in Roissy, interrupting a meeting bringing together seven business representatives. This Authority’s decision in no way prejudges the outcome of the criminal proceedings.
Two requests for leniency
Following the criminal searches, the companies KP1 and Rector filed two leniency requests with the Authority. The Authority then took action and opened an investigation concerning possible anti-competitive practices in the prefabricated concrete elements sector. KP1’s declarations notably enabled the Authority to detect anti-competitive practices other than those detected from the elements of the criminal investigation transmitted to the Authority by the investigating judge.
Four agreements sanctioned:
- KP1, Rector and SEAC for having implemented an agreement on a national scale aimed at distributing the volumes of construction sites by distorting competition during the tender procedures launched by construction companies. KP1, Rector, SEAC, Strudal, A2C, FB, L’Industrielle du concrete (IB), Saint-Léonard Matériaux (SLM), Soprel are also sanctioned for having implemented this national strategy within several regions.
- KP1 and Rector and for having implemented an agreement relating to the rate of increase in tariffs applicable to businesses and builders of individual homes.
- KP1, Eurobéton France and Strudal for sharing sensitive information in the context of calls for tenders relating to concrete framework projects.
- KP1 and the Landaul Prefabrication Company (SPL) for having implemented a bilateral agreement on prices and customer distribution.
It should be noted that the Authority imposed an additional fine of 75,000 euros on Eurobéton France for obstructing the investigation, the company having provided incorrect information to a request for information from the investigation services and not having corrected this error only after the notification of objections.
