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The Commission to the National Competition Authority of Paraguay presents its working method

kzkThe Commission for the Protection of Competition and the National Competition Commission of Paraguay (CONACOM – Comisión Nacional de la Competencia) held a joint online session where representatives of the Commission presented the working method related to the independent detection of cartels without relying on the leniency program,notifications or cooperation with other authorities.

Officials and representatives of the Paraguayan authorities were explained the cartel detection method developed by the Commission and were familiarized with its practice regarding the detection and proof of concerted practices as a type of restrictive agreement.

The collaboration took place during the 22nd annual conference “Global Competition Forum” Organization for Economic Cooperation and Development (OECD) held in Paris, where CONACOM officials expressed interest in the method presented by the Commission for the Protection of Competition.

A member of the Council of the National Competition Commission of Paraguay, Eduardo Barros, expressed his gratitude to the Commission for the presentation held to CONACOM employees.

The Commission Imposed a Competition Protection Measure With the Application of the “Leniency Program”

kzkCommission for Protection of Competition determined that companies KTG Solucije and Eco Sense Subotica with seat in Subotica agreed on the terms of participating in several public procurements procedures that were related to the procurement of cleaning products, thus concluding a restrictive agreement.

The Commission, through the Public Procurement Office, learned that KTG Solucije, as the bidder in certain public procurement procedures withdrew from the bids, thereby the contracting parties concluded the agreements with second-ranked bidder, Eco Sense, but, with higher prices compared to the ones offered by KTG Solucije. The subject of disputable public disputes were materials and products for cleaning buildings.

In addition to information on withdrawal from bids, the Commission, through the analysis of IP addresses (Internet Protocol Address) from which KTG Solucije d.o.o. and Eco Sense d.o.o. accessed the Public Procurement Portal in the said public procurement procedures, whether to download tender documents or submit bids, concluded that both companies almost always accessed from identical IP addresses. Results of IP address analysis point to the fact that both companies accessed the Public Procurement Portal almost always from devices that were connected on the same internet network, possibly from the same device.

Protection competition measures were imposed to the participants in a restrictive agreement, which was reduced for KTG Solucije due to the fact it used the “leniency program”, in line with Article 69 of the Law. The significance of this case is that this is the first case in which the Commission determined fulfilment of conditions to reduce the obligation of monetary amount payment related to competition protection measure based on the notification of the participant in restrictive agreement submitted during the procedure, that is, after it has been initiated.