Wellington, October 23, 2025 — New Zealand’s Commerce Commission (CC) has concluded the country’s first criminal prosecution for cartel conduct, with the High Court in Auckland sentencing a second company involved in bid-rigging public roading contracts.
Second Company Sentenced
The unnamed construction firm, which has been granted interim name suppression, was fined NZD 30,000 (approximately $ 17,194) after Justice Sally Fitzgerald found it unable to pay the full NZD 595,000 ($341,027) penalty deemed appropriate. The court noted the company is no longer trading and is in poor financial condition.
Its co-conspirator, MaxBuild Ltd, and its owner Munesh Kumar, were sentenced in 2024: Kumar received six months’ community detention and 200 hours of community work, while MaxBuild paid NZD 500,000 ($286,577).
Justice Fitzgerald described the bid-rigging as “inherently deceptive” and “hidden from the customer.” Although MaxBuild initiated and benefited from the conduct, she said the second firm’s “active steps” enabled the scheme.
The CC Chair John Small said the historic ruling underscores that the regulator “will go after cartels and see that they are punished.”
“Cartel detection and enforcement are priorities for the Commission, especially when taxpayer-funded projects are targeted,” Small said. “If a competitor asks you to put in a fake bid, say no — it’s illegal, can result in jail time, and costs taxpayers.”
The case stemmed from a 2022 investigation into bid-rigging on contracts tendered by the New Zealand Transport Agency and Auckland Transport. The probe began when an employee of the second firm accidentally sent a spreadsheet containing competitor pricing information to project managers. Search warrants and forensic analysis later confirmed collusion on multiple public tenders.
