2023, the Second Department of Anti-monopoly Law Enforcement of the State Administration of Market Supervision and Administration issued a decision on administrative penalties for 21 concrete production enterprises in Hangzhou to reach and implement monopoly agreements. In November 2021,
Zhejiang Provincial Market Regulatory Bureau reached and implemented a monopoly agreement to investigate 21 concrete production enterprises in Hangzhou. On July 27, 2023, the Zhejiang Provincial Market Regulatory Bureau made an administrative penalty decision on the parties concerned. It is hereby announced.
21 concrete manufacturers:
Hangzhou Zhenteng Industrial Co., Ltd., Hangzhou Huajie Commercial Concrete Co., Ltd., Hangzhou Pengcheng Concrete Co., Ltd., Hangzhou Qunqi Building Materials Co., Ltd., Zhejiang Gucheng Concrete Co., Ltd., Zhejiang Xiaoshan Jianhong Commercial Concrete Co., Ltd., Hangzhou Jianfeng Commercial Concrete Co., Ltd., Hangzhou Zhenhong Commercial Concrete Co., Ltd., Hangzhou Gaoxiang Concrete Co., Ltd., Hangzhou Chaohong Building Materials Co., Ltd., Hangzhou Jinteng Commercial Concrete Co., Ltd., Hangzhou Jianta Yinyuan Concrete Co., Ltd., Hangzhou Qiancheng Concrete Co., Ltd., Hangzhou Zhuoxin Building Materials Co., Ltd., Hangzhou Qianlong Industrial Co., Ltd., Hangzhou Longxing Huangjiahe Concrete Co., Ltd., Hangzhou Jinqiao Concrete Co., Ltd., Hangzhou Youshi Concrete Co., Ltd., Hangzhou Chenze Concrete Co., Ltd., Hangzhou Hongjun Commodity Concrete Co., Ltd., Hangzhou Zhengfang Commodity Concrete Mixing Plant and other 21 enterprises have reached and implemented monopoly agreements for commodity concrete production enterprises. A fine of 5% of sales in 2017 was imposed, totaling 174 million yuan. After the
event:
21 commercial concrete production enterprises are competitive operators in the commercial concrete sales market in Xiaoshan District, Hangzhou City. Twenty-one commercial concrete production enterprises, such as the parties concerned, have reached and implemented monopoly agreements to fix commodity prices, divide the sales market and limit the quantity of commodity production and sales. In the middle of
2016, the competition of commercial concrete industry in Xiaoshan District of Hangzhou was very fierce. In order to change the above situation, Han Mou-mou, the actual controller of Zhenteng in Hangzhou, proposed to Xiaoshan Jianhong, the legal representative of Xiaoshan Jianhong with a large market share of commercial concrete in Xiaoshan District of Hangzhou, Cai Mou-mou, the vice president of the Concrete Branch of Hangzhou Architectural Association, and Zhang Mou-mou, the actual controller of Pengcheng and Huajie in Hangzhou, to establish Xiaoshan Concrete Association. Taking advantage of the special requirements of commercial concrete for supply time and transportation radius, the commercial concrete production enterprises in the whole region are United to avoid competition, coordinate price increase and distribute the market. From September to October
2016, Han Mou-mou, Cai Mou-mou, Kong Mou-mou and Zhang Mou-mou, the actual controllers of Hangzhou Qunqi, convened the leaders of commercial concrete enterprises in Xiaoshan District of Hangzhou to discuss in the form of meetings in the offices of Xiaoshan Jianhong, Gucheng, Hangzhou Gaoyun and other companies. An oral agreement was reached on the establishment of an industry association, a unified increase in the sales price of concrete and a unified distribution of market share by the association. Cai Mou-mou and Zhang Mou-mou mainly prepared materials to establish the association; Under the proposal of Han Mou-mou and Cai Mou-mou, the selling price of commercial concrete was adjusted uniformly, and a preparatory group of associations was set up with Zhang Mou-mou, Hangzhou Jinteng General Manager Guo Mou-mou, Xiaoshan Jianhong Sales Manager Wang Mou-mou, Hangzhou Gaoxiang Vice General Manager Sun Mou-mou, Hangzhou Chaohong Legal Representative Chen Mou-mou and Hangzhou Pengcheng Vice General Manager Wang Mou-mou as members. The production capacity of the commercial concrete production enterprises in Xiaoshan District of Hangzhou City in the first two years was checked, and a preliminary allocation plan was formulated. In November
2016, after the preparation of the association and the groping of production capacity were basically completed, under the proposal of Cai Mou-mou and Han Mou-mou, the leaders of 21 commercial concrete production enterprises, such as the parties concerned, held a meeting in Dachen Island, Taizhou City. Through the strong promotion of Han Mou-mou, Cai Mou-mou, Zhang Mou-mou and other members of the preparatory group and individual negotiations with the enterprise leaders, the quotas of each enterprise were determined, and the quotas were uniformly announced and signed by the enterprise leaders. After the meeting, under the proposal and leadership of Han Mou-mou, Cai Mou-mou and Kong Mou-mou, 21 commercial concrete production enterprises, such as the parties, raised the selling price of commercial concrete for many times.
In December 2016, 21 commercial concrete production enterprises, such as the parties, took Jincheng Road as the boundary, registered and established two sales companies, Hangzhou Yilei Industrial Investment Co., Ltd. (Hereinafter referred to as Hangzhou Yilei) and Hangzhou Yuxin Industrial Investment Co., Ltd. (Hereinafter referred to as Hangzhou Yuxin). Enterprises north of Jincheng Road joined Hangzhou Yuxin. The contributions of
Hangzhou Yilei are: Hangzhou Zhenteng 800,000, Hangzhou Qianlong 250,000, Hangzhou Jianfeng 600,000, Hangzhou Longxing 650,000, Hangzhou Zhuoxin 450,000, Zhejiang Gucheng (Hangzhou Tongze) 450,000, Hangzhou Qiancheng 750,000, Hangzhou Jinqiao 200,000, Hangzhou Jianta 700,000, Hangzhou Pengcheng 700,000, Hangzhou Huajie 400,000. Hangzhou Youshi: 400,000; Hangzhou Yuxin: Hangzhou Jianhong (Hangzhou Zhenhong): 1,300,000, Hangzhou Gaoyun: 1,000,000, Hangzhou Qunqi: 800,000, Hangzhou Jinteng: 950,000, Hangzhou Chaohong: 450,000, Hangzhou Zhengfang (Hangzhou Liao): 650,000, Hangzhou Chenze: 350,000, and Hangzhou Hongjun: 250,000. The above 21 commercial concrete production enterprises pay the amount of investment according to the quota, distribute the production volume, and engage in business activities in the designated area with Jincheng Road as the boundary. After the establishment of the above
two sales companies, Cai Mou-mou was in charge, and Zhang Mou-mou served as the general manager of the two sales companies, responsible for the daily affairs of the platform, and unified distribution of commercial concrete supply for construction projects in Xiaoshan District, Hangzhou. Members of the preparatory group of the former association turned into staff members, formulated rules and regulations for the sale of commercial concrete, which were discussed and approved by the shareholders'meeting of two sales companies after being examined by Cai Mou-mou and Zhang Mou-mou, with the main contents of "quota formulation to sales", "high delivery and low compensation", and the business of more than 2000 parties must be reported to the sales company. The southern company is mainly composed of Hangzhou Zhenteng Hanmou and Hangzhou Pengcheng Zhangmou, while the northern company is mainly composed of Xiaoshan Jianhong Caimou and Hangzhou Qunqi Kongmou. On September 9,
2018, the Hangzhou Municipal Public Security Bureau took unified action to investigate the behavior of a certain commercial concrete enterprise in Xiaoshan District of Hangzhou, headed by Han Mou-mou, Cai Mou-mou and Kong Mou-mou, and successively made criminal judgments by the court according to law. The monopoly agreement of the commercial concrete industry in Xiaoshan District of Hangzhou was broken and the market competition was gradually restored. On September 28, 2020, the People's Court of Yuhang District of Hangzhou made a judgment on Hangzhou Yilei and Hangzhou Yuxin according to law, confiscating the funds frozen and seized in the bank account and the company's related property, and turning them over to the state treasury.
Illegal facts and evidence:
the first group of evidence: the Judicial Proposal of the People's Court of Yuhang District, Hangzhou (Yu Fa Jian [2020] No.10), proving the source of the case;
The second group of evidence: the business licenses of 21 commercial concrete enterprises such as Hangzhou Zhenteng, proving the subject qualification of the parties and the horizontal competition relationship between them;
The third group of evidence: the business licenses and articles of association of Hangzhou Yilei Industrial Investment Co., Ltd. and Hangzhou Yuxin Industrial Investment Co., Ltd., proving that the two enterprises were invested and established by 21 commercial concrete enterprises in this case;
The fourth group of evidence: the record of on-site inspection of Hangzhou Zhenteng and other commercial concrete enterprises, the record of inquiry of the legal representative or the client, etc., proving that 21 commercial concrete enterprises including the parties reached and implemented a monopoly agreement to fix commodity prices, limit the quantity of commodity production and sales, and divide the sales market;
The fifth group of evidence: the confirmation form of commercial concrete production volume signed by the parties and other commercial concrete enterprises at the meeting held in Dachen Island, proving that the parties have reached a monopoly agreement to limit the production and sales volume of commodities;
The sixth group of evidence: Hangzhou Yuhang District People's Court (2019) Zhe 0110 Xing Chu No.876, (2019) Zhe 0110 Xing Chu No.875 Criminal Judgment, Hangzhou Linan District People's Court (2019) Zhe 0185 Criminal Judgment No.304 and Hangzhou Intermediate People's Court (2020) Zhe 01 Criminal Judgment No.646 and (2020) Zhe 01 Criminal Judgment No.720 prove that 21 commercial concrete enterprises such as the parties have reached and implemented monopoly agreements and related crimes;
The seventh group of evidence: the photocopy of the evidence materials of the criminal investigation file provided by the People's Court of Yuhang District, Hangzhou City, proving the fact that the public security system of Hangzhou City investigated and inquired the person in charge of the relevant commercial concrete production enterprise during the criminal investigation;
The eighth group of evidence: part of the evidence of high traffic and low compensation seized on the spot, proving that the relevant commercial concrete production enterprises have reached and implemented monopoly agreements;
The ninth group of evidence: the party's financial audit report issued by the accounting firm, proving the party's sales in 2017 and the inability to calculate the illegal income.
浙公网安备33010802003254号