The Hungarian Competition Authority condemns price fixing and bid rigging for public tenders in the construction sector and for the first time opens criminal proceedings (Bau Art)

Background Hétszínvirág Institution for the Education of Handicapped Children (Institution) issued a public tender in 2005 for extension and reconstruction works. As a result of a dispute between the successful bidder and the Institution, a new public tender was published for the same construction works on April 3, 2006 (the Tender). This Tender was a restricted tender addressed to BAU ART Marcali Építész Iroda Bt. (BAU ART), Ormai Építési Szerelési Vállalkozás Kft. (ORMAI) and Noa Épít?ipari és Beruházó Kft. (NOA). NOA participated in both tenders. BAU ART, ORMAI and NOA entered into negotiations before the invitation for the Tender, concerning the construction works of the Institution. The separate tender documentation of each bidder were prepared by NOA between March 29 and April 5,