Articles

Czech Government Fined 100,000. By A State Institution

In Economy, Politics on September 25, 2007 by Petr Bokuvka Tagged: , ,

The Labor Ministry made a mistake and was sentenced to pay 100,000, says a ruling by the Office For The Protection of Competition.

The ministry did not announce a public bid for a fifty-million contract on its information system. Instead only a few companies were contacted to take part in the “competition for the contract”. According to Czech law if a value of a contract offered by a state institution is higher than a certain amount, a public bid must be announced.

Some smart-ass government officials try to avoid these “problems” by splitting the contract into several smaller contracts so that no public bid is necessary and all these small contracts can go to one single company that would probably not succeed in the public bid.

The contract on operation, maintenance and development of the information system was signed by former Deputy Minister. She was sacked by the new minister after the last elections.

The question remains: if a state institution is given a fine by another state institution, who gets hurt, who gets prosecuted? The money belongs to taxpayers. Nobody at the ministry will have a bad sleep, unlike a driver who loses his license after a reckless ride. 

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