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May 18, 2021

Public auctions botched by authorities, worth over EUR 9 bln

In 2010, the public institutions organized, in irregular conditions, 2,047 auctions amounting to a total EUR 9.48 bln, according to the annual report of the National Council for Contestation Resolution (CNSC), “Gandul” reports. The figures resulted from the investigation of 6,562 contestations filed by companies, referring either to the result of the auction or the tender documentation. In 603 cases out of the 2,047, the institutions’ deviations from the legal bidding procedures were so striking that the bids were declared null and void. The total value of auctions contested and then annulled amounted to EUR 2.72 bln. Out of the 6,562 contestations filed by trading companies in reference to public auctions, in 31 per cent of the cases the contesters were given a favourable ruling, which is to say the institution in question had not abided by the legal procedures for public auctions. The company which filed the highest number of contestations in 2010 is Electrica Serv, in Ilfov, with 116 contestations, followed by Farmexpert DCI, in Bucharest, with 60, according to figures supplied by the National Authority for the Regulation and Monitoring of Public Acquisitions (ANRMAP). The favourite “target” of the contesters was, in 2010, Bucharest General Mayor’s Office, which was the object of 80 contestations, and, in 20 cases, the companies were given a favourable ruling.

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