Spain fines $ 148 million rail cartel involving Siemens, Nokia, Telecom News, ET Telecom


MADRID: Spain’s competition watchdog fined eight companies, including Siemens, Nokia and ACS, € 127.3 million ($ 148 million) for allegedly rigging public procurement of systems railway signaling.

Between 2002 and 2017, the companies acted as a cartel to illegally distribute contracts valued at 4.1 billion euros awarded by the national rail infrastructure operator Adif, the CNMC watchdog said on Friday.

A spokesperson for Nokia said the company fully cooperated with the CNMC investigation and believed it acted legally.

“We will appeal the decision and request the suspension of all sanctions pending the appeal,” the spokesperson said.

Neither Siemens nor ACS immediately responded to a request for comment.

CNMC said the move followed a 2019 investigation that ended a similar cartel, involving many of the same companies, focused on rail electrification contracts.

“The practices of this (more recent) cartel have been particularly damaging since, in some cases, the effects of the fraud lasted until 2040 due to the length of some of the contracts,” the watchdog said in a report. communicated.

Fines totaling 483,000 euros were imposed on 10 company executives, CNMC added.

ACS subsidiary Cobra received the biggest fine of 30 million euros, followed by Nokia, which must pay 24 million euros. Siemens and its subsidiary Siemens Rail were fined € 28.9 million.

Leave A Reply

Your email address will not be published.