Competition Tribunal wants firm fined for overcharging SAPS for masks

Tsutsumani Business Enterprises is appearing before the Competition Tribunal for excessive pricing, among other contraventions of the Competition Act.

Picture: 123rf.com

JOHANNESBURG - The Competition Commission wants a company that allegedly overcharged the police for masks to be fined 10% of its annual profit for last year.

Tsutsumani Business Enterprises is appearing before the Competition Tribunal for excessive pricing, among other contraventions of the Competition Act.

The Competition Commission said that Tsutsumani’s conduct was detrimental to the police and the fiscus and should be acted on.

READ: Competition tribunal hears second case of SAPS being overcharged for PPEs

The company allegedly charged the SAPS excessive prices for 500,000 masks at the onset of the pandemic.

The Competition Commission also took issue with the consequences of such actions and said that by exploiting the police when it was desperate to acquire PPE products to ensure operations continued, it may have resulted in money being redirected from other programmes to foot the bill for the masks.

This is the second COVID-19 public procurement case the tribunal is hearing.

READ MORE: 2 companies overcharged SAPS by R14m for sanitiser - Competition Commission

The first case, also affecting the SAPS, was over the emergency procurement of sanitisers and was heard last week.

It was unclear how much money was involved in the mask case as the figures were kept confidential during the hearing.

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