76 lines
3.9 KiB
YAML
76 lines
3.9 KiB
YAML
plaintiff:
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- Competition Commission
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defendant:
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- Kam Kwong Engineering Company Ltd (金光工程有限公司)
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- Goldfield N&W Construction Company Ltd (聯合金輝建築工程有限公司)
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- Pacific View Engineering Ltd (豪景工程有限公司)
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- CHAN Kam Shui (陳金水)
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- LAM Po Wong (林保旺)
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case_reason: >
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Enforcement action concerning contravention of the First Conduct Rule in relation to
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tendering for renovation and redecoration work pursuant to the Hong Kong Housing Authority's
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Decoration Contractor System. The case involved market allocation and price fixing agreements
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among contractors, with the 3rd and 5th Respondents entering into an illicit arrangement
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exploiting the 3rd Respondent's privileged position as a HKHA designated decoration contractor.
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judgment_summary: >
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The Competition Tribunal imposed pecuniary penalties on the 3rd and 5th Respondents for
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contravening the First Conduct Rule. The 3rd Respondent (Pacific View Engineering Ltd) was
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ordered to pay a penalty of $1,579,000 for contravening the First Conduct Rule. The 5th
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Respondent (LAM Po Wong) was ordered to pay a penalty of $280,000 for being involved in the
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contravention. The Tribunal rejected the argument that both respondents should be treated as
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one undertaking for penalty purposes, holding that each legal person should be penalized
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individually under sections 91-93 of the Competition Ordinance. The Tribunal accepted
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undertakings from both respondents instead of injunctive relief. The decision followed the
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Kam Kwong procedure (analogous to the Carecraft procedure) where respondents conceded
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liability through a Statement of Agreed Facts. A 9% reduction was granted for cooperation
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and admission of liability.
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jurisdiction_code: >
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HKCT
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jurisdiction_name: >
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Competition Tribunal of the Hong Kong Special Administrative Region
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case_location:
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- Competition Tribunal
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- Hong Kong
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case_object:
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- Decoration Contractor System contracts
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- King Tai Court renovation works
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- Market allocation agreement
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- Price fixing arrangement
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judgment_result:
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- allegation_content: 3rd Respondent (Pacific View Engineering Ltd) contravened the First Conduct Rule
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established: Y
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- allegation_content: 5th Respondent (LAM Po Wong) was involved in the contravention of the First Conduct Rule
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established: Y
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- allegation_content: 3rd and 5th Respondents should be treated as one undertaking for penalty purposes
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established: N
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- allegation_content: Uncertainty in the state of law should mitigate penalties
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established: N
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- allegation_content: Contravention is part of long-standing and wide-spread industry practice (aggravating factor)
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established: N
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involved_entities:
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- name: Hon Harris J
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state_reasons: Judge who heard the case in chambers and delivered the decision on penalties on 22 July 2022
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- name: Hong Kong Housing Authority (HKHA)
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state_reasons: Authority operating the Decoration Contractor System under which the anti-competitive conduct occurred
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- name: Chan Hong Wing
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state_reasons: Sole director and shareholder of 3rd Respondent who entered into licence borrowing arrangement with 5th Respondent
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- name: Lee Hiu Leung
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state_reasons: Head of Litigation at the Competition Commission who filed affidavit regarding financial documents
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- name: Chan Wai Ching
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state_reasons: Head (Intelligence, Forensics and Leniency) in Operations Division of the Commission
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- name: 1st Respondent (Kam Kwong Engineering Company Ltd)
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state_reasons: Co-conspirator in the market allocation and price fixing agreement, previously dealt with in separate penalty decision
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- name: 2nd Respondent (Goldfield N&W Construction Company Ltd)
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state_reasons: Co-conspirator in the market allocation and price fixing agreement, previously dealt with in separate penalty decision
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- name: 4th Respondent (CHAN Kam Shui)
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state_reasons: Individual involved in the contravention, previously dealt with in separate penalty decision
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