Cosatu has applauded the Competition Commission for penalising 15 construction companies for being involved in a multi-billion rand rigging cartel.

However, the labour federation agrees with criticism that the fine imposed is a drop in the ocean.

The Commission has fined 15 construction companies a total of R1.4, 8 billion for being involved in a rigging cartel.

Cosatu’s Vusumusi Bengu says the fine should have been considerably higher and the money should be used to help government deliver services to the poor. Bengu says these collusive companies have robbed the poor and the workers.

“The money that has been stolen from the poor and the workers should be channel towards improving the conditions of the poor and the workers. These people should be sent to jail for being criminals. They are robbing and stealing from the poor.”

Meanwhile, the Opposition to Urban Tolling Alliance (OUTA), believes that the collusive behaviour by construction companies impacted negatively on the costs of the construction of the Gauteng Freeway Improvement Project (GFIP).

OUTA’s Wayne Duvenage has called for part of the fine imposed on the companies to be allocated to roads agency SANRAL’s repayments for the GFIP.

Duvenage says he wonders what the extent of the collusion was on GFIP and how much those roads would have cost if that collusion had not taken place.
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