Collusive Bidding in Brazilian Infrastructure Projects

Allegations of corruption have resulted in an investigation of Brazil’s national ‘oil’ company prior to an incumbent Brazilian president disputing their re-election. The investigation has examined allegations that several directors of the ‘state’-owned company received bribes from construction compa...

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Main Authors: Signor, R., Love, Peter, Olatunji, Oluwole, Vallim, J., Raupp, A.
Format: Journal Article
Published: 2017
Online Access:http://hdl.handle.net/20.500.11937/59452
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author Signor, R.
Love, Peter
Olatunji, Oluwole
Vallim, J.
Raupp, A.
author_facet Signor, R.
Love, Peter
Olatunji, Oluwole
Vallim, J.
Raupp, A.
author_sort Signor, R.
building Curtin Institutional Repository
collection Online Access
description Allegations of corruption have resulted in an investigation of Brazil’s national ‘oil’ company prior to an incumbent Brazilian president disputing their re-election. The investigation has examined allegations that several directors of the ‘state’-owned company received bribes from construction companies and that the funds were used to support the parties of the governing coalition. Using a case study, this paper presents the approach adopted by the Brazilian Federal Police to determine if collusion had occurred. The bidding patterns of construction firms in 22 infrastructure projects suggested to the police that collusion occurred. Considering these circumstances, 561 bids for 77 projects were examined. Investigators obtained evidence that indicates that a collusive behaviour regarding procurement at specific construction firms (the League of 16) had taken place. The conclusions of the research provide insights into the intendment of the League of 16’s bidding patterns with an example of the ‘real’ cost of cartelisation that was experienced in an infrastructure project.
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spelling curtin-20.500.11937-594522019-04-01T01:12:34Z Collusive Bidding in Brazilian Infrastructure Projects Signor, R. Love, Peter Olatunji, Oluwole Vallim, J. Raupp, A. Allegations of corruption have resulted in an investigation of Brazil’s national ‘oil’ company prior to an incumbent Brazilian president disputing their re-election. The investigation has examined allegations that several directors of the ‘state’-owned company received bribes from construction companies and that the funds were used to support the parties of the governing coalition. Using a case study, this paper presents the approach adopted by the Brazilian Federal Police to determine if collusion had occurred. The bidding patterns of construction firms in 22 infrastructure projects suggested to the police that collusion occurred. Considering these circumstances, 561 bids for 77 projects were examined. Investigators obtained evidence that indicates that a collusive behaviour regarding procurement at specific construction firms (the League of 16) had taken place. The conclusions of the research provide insights into the intendment of the League of 16’s bidding patterns with an example of the ‘real’ cost of cartelisation that was experienced in an infrastructure project. 2017 Journal Article http://hdl.handle.net/20.500.11937/59452 10.1680/jfoen.17.00013 fulltext
spellingShingle Signor, R.
Love, Peter
Olatunji, Oluwole
Vallim, J.
Raupp, A.
Collusive Bidding in Brazilian Infrastructure Projects
title Collusive Bidding in Brazilian Infrastructure Projects
title_full Collusive Bidding in Brazilian Infrastructure Projects
title_fullStr Collusive Bidding in Brazilian Infrastructure Projects
title_full_unstemmed Collusive Bidding in Brazilian Infrastructure Projects
title_short Collusive Bidding in Brazilian Infrastructure Projects
title_sort collusive bidding in brazilian infrastructure projects
url http://hdl.handle.net/20.500.11937/59452