Early this year, the Office of the Superintendent-General of the Administrative Council for Economic Defense (SG/CADE) signed two Leniency Agreements that resulted in administrative proceedings to investigate cartels in public and private procurements.
The first investigation started on 27 March; it delves into an alleged collusive behaviour involving three companies–as well as some of their directors and former directors–that bid in a procurement for the acquisition of prints and laminators specific for printing on PVC cards with chips. The procurement also included the supply of inputs for these devices plus warranty, assistance, and maintenance.
As for the second proceeding, initiated on 3 April, the investigation relates to an alleged cartel in public and private procurements for printing services, in the areas of security and forms. In this case, the Office of the Superintendent-General is investigating the involvement of seven companies and some of their directors and former directors.
The recent signing of these agreements indicates that the Brazilian Antitrust Leniency Programme offers enough incentives for perpetrators to be interested in collaborating with CADE, as the agreements include predictable and transparent rules following international best practices.
As in other jurisdictions, CADE’s Leniency Programme is continuously under improvement, as it concerns its internal negotiation procedures and normative framework, ensuring greater legal security and respect for the confidentiality of the information provided by leniency beneficiaries.
Finally, it is worth highlighting the recent approval of Law No. 14470/2022, which makes provisions applicable for deterring antitrust violations. This law provides for more benefits for companies signatories of Leniency Agreements with CADE regarding civil actions for damages related to cartel practices.
In this regard, by structuring the Brazilian private antitrust enforcement system, the new law established double compensation for damages related to antitrust violations caused by companies to third parties (double damages), ending joint and several liability for all that have signed with CADE Leniency or Cease and Desist Agreements related to cartel cases.
Source: Gov.br
