Based on information unearthed in the context of criminal investigations conducted by the Central Public Prosecutor for Economic Crime and Corruption (WKStA), the Austrian Federal Competition Authority (AFCA) found indications of illegal conduct in the facade construction industry. On 25 August 2022, the AFCA filed its first application with the Cartel Court to have a fine imposed on one of the investigated companies, NFS Bau GmbH. The company agreed to settle the dispute and bring it to an amicable conclusion. In AFCA’s view, NFS Bau GmbH had been involved in anti-competitive, horizontal price fixing, market divisions and the exchange of sensitive information with competitors (see press release of 25 August 2022, Facade construction: AFCA files application to have first company fined).
In its decision of 14 November 2022, the Cartel Court fully upheld AFCA’s reasoning and imposed a fine of EUR 54,000. The AFCA had substantiated its claims by presenting evidence of the price fixing and market divisions, as well as the exchange of other sensitive information between NFS Bau GmbH and its competitors. The concerted practices concerned various construction projects and tenders in the facade construction sector. The anti-competitive conduct took place in and around Vienna during 2017.
Following a clarifying amendment in relation to administrative assistance, this was the first investigation that the AFCA conducted on the basis of recorded phone conversations, which the WKStA had provided in the context of cooperation between authorities. In the course of its investigations, the AFCA also carried out dawn raids at several companies together with the Vienna Regional Office of Criminal Investigation (LKA Wien) in 2019. The success of the investigations was due not least to the very good cooperation among all of the authorities involved.
The decision is final.
The AFCA has meanwhile launched new investigations into other companies in the facade construction cartel and will file further applications in the near future.