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The Office of Fair Trading's unprecedented £130 million fines on price-fixing builders was in chaos today after a fifth of them lodged appeals.
Leading the 20 or more raft of appeals is Kier, builder of Westminster's new Supreme Court, which received the largest fine of £17.9 million. Kier says the level of fine is inconsistent and discriminatory.
Other appeals are just as strongly worded.
Ballast Nedam, the Dutch-owned construction company said its fine of £8.3 million was “manifestly unfair, perverse, irrational, disproportionate and in breach of equal treatment”.
Two months ago the OFT found more than 100 firms guilty of brazen scams to rip off the taxpayer and private developers in the building of hospitals, schools, universities and housing developments. Victims of the scam included television personality and Labour's Business minister Lord Sugar.
The OFT had uncovered a series of local cartels in which builders ganged up to fix project prices and in some cases arranging for losing bidders to receive “compensation”.
The appeals in the main challenge the methodology and quantum of the OFT's fines.
The Competition Appeal Tribunal is collating the legal submissions and a hearing is likely in the new year.
The OFT declined to comment.
