Government Proposes Amending Competition Ordinance to Criminalise Four Types of Conduct Including Bid-Rigging in Building Maintenance

The government has announced measures to tackle bid-rigging in building maintenance works, proposing to amend the Competition Ordinance to make bid-rigging, price-fixing, market-sharing and output restriction in building maintenance tenders criminal offences. The maximum penalty is 10 years' imprisonment and a fine, with the fine capped at the higher of $10 million, three times the total amount of commercial gains, or 50 per cent of annual local turnover. The authorities also propose raising the cap on civil fines to $8 million and including the new offences in the Organized and Serious Crimes Ordinance, with the Secretary for Security leading a joint task force to tackle bid-rigging syndicates.