3-Year Ban on Prozorro: Companies Fined 21 Million Hryvnias by the AMCU Have Lost Access to Government Procurement

15 August 06:51

The Antimonopoly Committee of Ukraine (AMCU) has decided to impose fines totaling more than 21 million hryvnias on four companies that manipulated the results of public auctions. The investigation revealed that the contractors divided up the market and coordinated their price bids during large-scale procurements of strategic raw materials and equipment for the oil and gas and utilities sectors. The AMCU reached this decision during a meeting, according to "Komersant Ukrainian"

Why the contractors were fined: details of two investigations

The first case concerned the procedure for concluding a framework agreement, which was conducted in 2025 by LLC “Gas Transmission System Operator of Ukraine.” The subject of the tender was automatic gas odorization systems with an expected value of over 200 million UAH. The Committee’s analysts established evidence of coordinated conduct between the participants—GAZOILTECHNOPIPE LLC and PROGRESSIVE OIL AND GAS TECHNOLOGIES LLC.

The second case concerns the procurement of technical salt for Kharkiv’s needs, organized in 2023 by the municipal enterprise “Centralized Procurement Organization of the Kharkiv City Council.” The combined estimated value of the two tenders exceeded 100 million UAH. The regulator proved the existence of anti-competitive concerted actions between Nanoexpo LLC and Mavel Ukraine LLC.

Main consequences for the violators: a 3-year “blacklist”

The AMCU’s decision served as yet another warning to businesses: simulating competition in the public procurement system results not only in financial losses but also in long-term disqualification.

As a result of the proven violation of antitrust law, GAZOILTECHNOPIPE LLC and PROGRESSIVE OIL AND GAS TECHNOLOGIES LLC were each fined a total of 7.6 million UAH. For coordinating their actions and attempting to eliminate genuine competition, Nanoexpo LLC and Mavel Ukraine LLC will pay a fine of 14 million UAH.

These fines are only part of the financial and reputational losses incurred by the violators. Under Ukraine’s Law “On Public Procurement,” holding a business entity liable for a cartel conspiracy results in an automatic three-year ban on participating in government tenders.

Being placed on the “blacklist” effectively prevents companies from doing business with the public sector through the Prozorro system

You can check potential contractors and review the Summary Reports on the distortion of tender results directly in the AMCU’s decisions section

A complete list of companies found to be in violation has been entered into the official registry on the Antimonopoly Committee of Ukraine’s web portal

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