‘Semiconductor course of’ bid rigging for 9 years, 12 Samsung companions fined 10.4 billion gained

by times news cr

2024-06-04 07:55:36

“Profitable bid at a low worth – collusion to forestall new corporations from coming into”
Honest Commerce Fee caught 323 out of 334 orders

Associate corporations which have colluded for 9 years within the bid for the management system utilized in Samsung Electronics’ semiconductor course of will probably be fined greater than 10 billion gained. That is the primary time collusion has been found within the semiconductor manufacturing area.

On the 2nd, the Honest Commerce Fee introduced that it will impose a corrective order and a superb of 10.459 billion gained on 12 semiconductor equipment producers for collusion for about 9 years from 2015 to 2023. The 12 corporations embody PSENG (now Daean C&I), Doota IT, Mecha Know-how, Ainstek, Changgong FA, Changseong Ace Trade, Korea Knowledge Company, Tasco, Energy Telecom, Hantech, Hanwha Convergence, and Hyupsung Electrical.

Based on the Honest Commerce Fee, these corporations colluded within the bidding course of for the semiconductor management and monitoring system. Bidding objects included methods for sustaining the optimum temperature and atmosphere within the manufacturing unit for semiconductor manufacturing and for employee security in harmful conditions. Though the bidder was Samsung SDS, the precise buyer was Samsung Electronics.

In 2015, Samsung SDS modified its management and monitoring system procurement methodology, which had beforehand been operated by non-public contracts, to aggressive bidding to scale back prices. The 12 corporations caught this time started colluding to forestall orders from being awarded at low costs and to forestall new opponents from coming into the bidding course of.

They determined prematurely which firm would win the bid for every merchandise and shared the bid worth and citation earlier than the bidding started in order that the corporate they chose might win the bid. Different corporations performed a form of ‘bridesmaid’ position by taking part within the bid at a worth set prematurely by the corporate scheduled to win the bid and deliberately being rejected. Via this, the corporate with which these 12 companions had beforehand agreed was chosen because the profitable bidder in 323 of the 334 bids ordered by Samsung SDS.

An official from the Honest Commerce Fee mentioned, “That is the primary case of detecting and sanctioning collusion associated to semiconductor manufacturing, a nationwide key business,” and added, “We’ll strengthen surveillance on collusion within the intermediate items sector and take strict motion when violations of the regulation are found.”


Sejong = Reporter Cho Eung-hyung [email protected]

Sizzling information now

2024-06-04 07:55:36

You may also like

Leave a Comment