Australian giants accused of trying to fix prices in multibillion-dollar Defence contracts

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Australian giants accused of trying to fix prices in multibillion-dollar Defence contracts
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Two major services companies have been accused of causing “direct harm” to the Australian government and taxpayers.

Two major services companies have been accused of causing “direct harm” to the Australian government and taxpayers by allegedly engaging in a price-fixing cartel for multibillion-dollar Defence contracts.

The ACCC claims on three occasions between 2019 and 2022, four senior executives across the two companies engaged in price fixing in an effort to control the price at which their services were offered to Defence. One price-fixing incident alleged by the ACCC involves STIM20, a government-run program to give additional work to small and medium businesses on Defence properties during COVID.The watchdog claims Spotless and Ventia executives communicated with each other to agree to seek additional compensation beyond what was agreed by Defence for the STIM20 works, with the executives concerned about recouping the costs associated with these works.

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