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Bidding Halted

Date Posted: 2000-08-18

Ginowan City officials halted the bidding process on the city’s road construction process after they discovered that local companies participating in the bidding process had agreed to a deal among themselves to divide the projects at fixed prices. The practice called ‘dango,’ though illegal is widely practiced throughout the country and is often cited as one of the main reasons for the high cost of construction here. It is also said to be the main reason why foreign construction companies are practically shut out from the public construction projects, although by international agreements they are eligible bidders. 13 construction companies had submitted bids for Ginowan projects. City officials are now investigating of each one of the companies in order to determine who did and what and who should be excluded from the bidding process as a punishment for the collusion.

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