CMA fines construction firm and staff for concealing evidence during inspection
First civil penalties issued against individuals for concealing evidence during an investigation.
The Competition and Markets Authority (CMA) has fined construction firm M&J Group and 2 staff members a total of £50k for hiding a mobile phone and documents during an inspection, in breach of clear instructions.
The CMA carried out the inspection on the M&J business premises, alongside inspections of several other businesses, under a court warrant as part of its investigation into 12 construction companies suspected of bid rigging.
The CMA is examining whether these companies illegally colluded when bidding for contracts awarded by both private and public sector bodies, including projects funded through the Department for Education’s Condition Improvement Fund (CIF). The scheme awards millions of pounds each year to help schools repair and improve buildings, ensuring premises are safe for pupils and staff.
Today’s penalties concern failures to comply with the CMA’s investigatory requirements and are separate to any findings from the competition investigation, which remains ongoing and no assumptions should be made as to whether competition law has been broken.
During the inspection, M&J’s Estimating Director, Barry Pirrie, instructed M&J’s Office Manager, Tracey Woods, to remove a work mobile phone and paperwork from the company’s premises to prevent the evidence from being found by CMA investigators. Mr Pirrie also falsely told CMA officers that he did not have a work mobile phone.
The items were brought back and handed over later that day. However, concealing the evidence, even temporarily, risked the loss of relevant information, and wasted valuable investigative time and resource.
Under the CMA’s enhanced enforcement powers, which came into force in January 2025, businesses that fail to comply with CMA investigative requirements may face higher penalties for noncompliance – fixed penalties of up to 1% of turnover, daily penalties of up to 5% of daily turnover, or both.
As the conduct took place before the CMA’s new powers came into force, M&J is subject to the lower maximum penalty that applied at the time. The maximum penalties for individuals have not changed. The fines are:
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Barry Pirrie: £20,000
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Tracey Woods: £5,000
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M&J: £25,000
The CMA’s ongoing investigation into suspected bid rigging forms part of its work to tackle bid rigging in public procurement. Recently, it published a paper setting out the case for stronger action against bid rigging in UK public procurement and proposals to improve its detection, prevention and deterrence.
Notes to editors
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The CMA imposed these penalties using its civil enforcement powers under s. 40A (1) of the Competition Act 1998, where, at the time of the inspection in this case, the maximum penalty for both businesses and individuals was £30,000 for a fixed amount or £15,000 per day for a daily rate, or a combination of both. Following changes introduced by the Digital Markets, Competition and Consumers Act 2024 (DMCCA) from 1 January 2025, the maximum penalty which may now be imposed on an undertaking for failure to comply with investigative requirements under s.40ZE (1) of CA98 is, in the case of a fixed amount, 1% of the undertaking’s turnover, or if calculated by reference to a daily rate, 5% of the undertaking’s daily turnover, or a combination of both. Under the new powers, the maximum penalties for individuals have not changed.
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The CMA operates a rewards policy under which it may pay a financial reward of up to £250,000 in return for information which helps it to identify and take action against illegal cartels. For more information on the CMA’s informant reward policy.
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Anyone who has information about a cartel is encouraged to call the CMA cartels hotline on 020 3738 6888 or email cartelshotline@cma.gov.uk.
For media enquiries, contact the CMA press office.
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