North Midland Construction鈥檚 fine of 拢1.54m has been reduced to 拢300,000 on appeal.
GMI Construction Holdings and GMI Construction Group had been fined 拢1.8m by the OFT for two alleged incidents of cover pricing in 2000 and 2005. However, the CAT decided that the OFT had failed to prove its case, relying on witness statements and disputed hearsay evidence, and set aside the findings and penalties.聽
The appeal of AH Willis, facing a 拢120,000 fine, was based on its claim that the cover price supplied to another construction company was provided by a self-employed costs estimator without its knowledge. The appeal tribunal accepted this and also agreed that other infringements were also unproven. 聽Findings and penalties against AH Willis were also set aside.聽
In the case of North Midland Construction, the CAT decided that the OFT鈥檚 case was sufficiently robust but agreed that the fine of more than 拢1.54m was excessive and disproportionate, and reduced it to 拢300,000.
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