Firms expected to find out by next month how much they will be fined by watchdog

Demolition contractor Brown and Mason has said the cost of its involvement with the Competition and Markets Authority鈥檚 bid-rigging probe will be more than 拢2m.

The company is one of 10 that the cartel-buster publicly named in June as being involved in the scandal.

Brown and Mason has admitted its involvement in bid-rigging, along with seven others. 鈥淭he bids were rigged by one or more construction firms which agreed to submit bids that were deliberately priced to lose the tender [known as cover pricing],鈥� the CMA added.

brown

Brown and Mason has already admitted its involvement in bid-rigging

In its latest report and accounts, the firm said the cost of dealing with a civil regulatory matter 鈥� the CMA investigation 鈥� was 拢2.35m which includes legal fees.

It added: 鈥淭he company has fully cooperated with the matter and has subsequently reached a settlement pursuant to which a payment will be made in due course.鈥�

So far, five other firms have publicly said what the investigation is expected to cost them in penalties.

Careys has put the figure at 拢9m, Keltbray 拢6m while McGee, which along with Careys 鈥渞eported their involvement in the conduct under the CMA鈥檚 leniency policy鈥�, has said it expects the number to be no more than 拢2.4m.

John F Hunt has gone further, saying in its report and accounts filed at the end of May, that the 鈥�investigations have now been settled with the liability agreed at 拢5.6m鈥�. Cantillon owner Morrisroe said the figure would be a maximum of 拢1.9m.

The CMA has told those demolition firms who have admitted their involvement in bid-rigging that they will find out how much they will be fined by January.

But two, Essex contractor Squibb Group and Erith, currently working on the demolition of 120 Fleet Street in the City of London, are contesting the provisional findings.

As well as being guilty of bid-rigging, seven of the 10, including Squibb and Erith, were also accused of making and receiving 鈥榗ompensation payments鈥�.

In its accounts for the year to April, Brown and Mason said turnover was up a quarter to 拢51m on pre-tax profit up 91% to 拢1.9m.

The Kent-based firm added in its accounts that it was 鈥渃ommitted to conducting its business with highest integrity and compliance with the law and has standards in place which must be adhered to by everyone who represents the company鈥�.