Justice raids De Lijn and TEC subcontractors under cartel suspicion

House searches are taking place at several companies that carry out bus trips for the Flemish public transport companies De Lijn and its Walloon counterpart, TEC. This is reported by the Belgian Competition Authority (BMA). There would be suspicions of price fixing and falsification of public tenders. Which coach companies are involved is not yet known.

“Based on the information in the Ministry of Public Prosecution’s possession, it is suspected that the companies in question may have been involved in agreements or concerted practices regarding pricing, market sharing, coordination in tenders and other contracts, as well as non-solicitation practices (read: not recruiting key personnel from each other),” the Ministry of Public Prosecution said in a press release. Such practices violate Economic Law and the Treaty on the functioning of the European Union.

Well-known players

The searches are taking place at several sites across Belgium. The companies involved are said to be well-known players in the sector, active in public transport for TEC and De Lijn, pupil transport, travel, and excursions.

The BMA primarily seized electronic data and archives to search for evidence of suspected infringements, stressing that a search is “a preliminary step in an investigation into restrictive competition practices and does not prejudge the outcome of the investigation.” The investigation could take several months.

The Federation of Belgian Bus and Coach Operators (FBAA), De Lijn, and TEC noted the news but could not provide further information. The FBAA has about 300 members, accounting for nearly 90% of the market. De Lijn’s largest leaseholders are the Hansea, Keolis, Multiobus, and Waaslandia groups. Keolis, among others, also works for TEC.