Investigators Unravel Japan’s Largest Bid-Rigging Scheme
Japanese authorities are unraveling what is shaping up as the largest and most highly organized bid-rigging scheme ever seen in the country. Investigators allege that two bid-rigging circles have been colluding to split Japans $3.02-billion annual market for steel bridges for as long as 40 years. Prosecutors have filed charges against more than 40 companies and singled out a dozen executives for prosecution. In the latest turn of events, investigators have brought charges against board members, executives and engineers working at the nations largest publicly owned highway corporation for aiding the bid-rigging.
Newspaper editorials and politicians now are all calling for corrupt practices to be rooted out. Takeshi Noda, a member of Japan's House of Representatives and a former minister of construction, says the nation needs to look at its bidding procedures. Currently, many public entities only allow selected, prequalified contractors to compete for projects.