Cartel collusion in the public procurement system: essence, signs and detection mechanisms

DOI: 10.33917/mic-6.125.2025.88-96

The problems of cartel agreements in the public procurement system are analyzed. The causes of cartel collusion and their impact on the economic security of the state are investigated. The system of factors determining the cartel agreement is presented, the author’s definition of the concept of cartel agreement is given.

References:

1. Official website of the Unified Information System in the Sphere of Procurement. URL: https://zakupki.gov.ru/epz/main/public/home.html

2. Official website of the Federal Antimonopoly Service. URL: https://fas.gov.ru/news/33767

3. Puzyrevsky S.A. Competition Law of Russia: Textbook. Moscow: Prospect, 2021. 640 p.

4. Kinev A.Yu. Cartels and Other Anticompetitive Agreements. Moscow; Berlin: Infotropic Media, 2011. 352 p.

5. Raizberg B.A. Modern Socioeconomic Dictionary. SPb: INFRA-M, 2009. 209 p.

6. Marshall R.C., & Marx L.M. The economics of collision: Cartels and bidding rings, Mit Press, 2012. URL: https://www.researchgate.net/publication/227458370

7. Treaty of Amsterdam amending the Treaty on European Union, the Treaties establishing the European Communities and certain related acts, 10 November 1997, pp. 1–144. URL: https://eur-lex.europa.eu/eli/treaty/ams/sign

Standardization approaches for «production audits» (verification of manufacturer, contractor, and performer data reliability in procurement bids) and development prospects for a shared results exchange platform in the Russian Federation

DOI: 10.33917/mic-4.123.2025.47-61

This article examines socially consequential issue of false information provision by participants in public procurement processes. The problem originates from two primary sources: first, deficiencies in public procurement legislation – particularly the absence of a formal definition of «false information», standardized procedures for its detection and documentation, and statutory penalties for its submission. Second, it emerges from deeply ingrained negative behavioral patterns among procurement participants. These detrimental practices not only compromise the integrity and outcomes of procurement procedures but also adversely affect the national economy/

The authors and key stakeholders regard «production audits» (data authenticity verification) as a crucial mechanism for safeguarding the interests of conscientious participants and society overall. These audits represent an effective instrument for mitigating information risks (factual misrepresentation) through validation of production resource data and operational capacity claims.

By year-end 2024, industry representatives from nuclear, space, telecommunications, aerospace, and automotive sectors had developed the «Cross-Sector Standard for Verifying Manufacturer, Contractor, and Service Provider Data Reliability». This framework institutes: uniform assessment methodologies for production capacities; structured dispute resolution processes; and standardized reporting templates. Additionally, it creates the necessary foundation for implementing a future secure («shared-access») platform to exchange «production audits» results, thereby improving transparency and operational efficiency across procurement systems.

References: 

1. Definition of the Supreme Court of the Russian Federation dated 15.01.2018 No. 304-KG17-20134 in case No. A67-4506/2016. URL: https://legalacts.ru/sud/opredelenie-verkhovnogo-suda-rf-ot-15012018-n-304-kg17-20134-po-delu-n-a67-45062016/

2. Gapanovich V.A., Shubinsky I.B., Pronevich O.B., Shved V.E. Risk management system of large companies. Risk assessment practice at Russian Railways and development directions. Problems of risk analysis. 2018;15(2):6–21.

3. Federal Law «On the Procurement of Goods, Works, and Services by Certain Types of Legal Entities» dated July 18, 2011 No. 223-FZ (as amended on August 8, 2024). URL: https://zakupki.gov.ru/epz/main/public/document/

4. FAS: the use of exchange indicators in public procurement will allow saving budget funds. Federal Antimonopoly Service. October 10, 2024. URL: https://fas.gov.ru/news/33508

5. Resolution of the Government of the Russian Federation dated September 23, 2024 No. 1285 «On Amendments to Certain Acts of the Government of the Russian Federation». URL: http://publication.pravo.gov.ru/document/0001202409230016?index=16

6. Register of false information submitted by procurement participants. Federal Antimonopoly Service. URL: https://fas.gov.ru/pages/reestr_kompanij/

7. Register of false information submitted by procurement participants. Federal Antimonopoly Service. URL: https://fas.gov.ru/pages/reestr_kompanij_nedostoverno