Eden Brown sets aside fine funds
10 September 2012
Eden Brown has set aside £218,000 over the last two years after admitting a breach of regulations to the Office of Fair Trading (OFT).
The professional recruitment agency made the voluntary adm
The professional recruitment agency made the voluntary adm
Eden Brown has set aside £218,000 over the last two years after admitting a breach of regulations to the Office of Fair Trading (OFT).
The professional recruitment agency made the voluntary admission to the OFT, which is currently investigating price fixing in the construction industry, and made the provisions in their budget (£109,000 in 2006 and 2007) following legal advice.
The OFT has the right to fine any business found to be a member of a cartel up to 10% of its worldwide turnover — in Eden Brown's case, if it was found guilty this could be up to £15m.
In its accounts, Eden Brown declared: "We made a voluntary disclosure to the Office of Fair Trading following a breach of regulations by a former director.
The provision included in these accounts has been made following advice taken by the company's legal representation."
Eden Brown, which is being investigated along with AndersElite and Hays, declined to comment further.
Meanwhile, the OFT said it could not comment on a continuing investigation and gave no indication of when a result could be expected.
• Eden Brown reported a 45% increased in pre-tax profit to £1.6m for the year ended March 2007, compared to £1.1m in 2006. Its gross profit was up 16% to £15.9m in the year, compared to £13.7m in 2006. Turnover rose 30% to £153.6m in 2007, compared to £118m in 2006.
Staff 'should know about bid rigging'
Construction companies must train staff about the issues raised by the Office of Fair Trading's investigation into bid rigging in the sector, a leading lawyer told a meeting of industry leaders.
Adrian Magnus, partner — EU & Competition at Berwin Leighton Paisner, said: "Make staff believe it matters, have a compliance manual, and tell them when and who to seek help from."
Martyn Makinson, a director of construction recruiter Bromak, told Recruiter that it had not yet seen any demand for such skills from their customers.
The professional recruitment agency made the voluntary admission to the OFT, which is currently investigating price fixing in the construction industry, and made the provisions in their budget (£109,000 in 2006 and 2007) following legal advice.
The OFT has the right to fine any business found to be a member of a cartel up to 10% of its worldwide turnover — in Eden Brown's case, if it was found guilty this could be up to £15m.
In its accounts, Eden Brown declared: "We made a voluntary disclosure to the Office of Fair Trading following a breach of regulations by a former director.
The provision included in these accounts has been made following advice taken by the company's legal representation."
Eden Brown, which is being investigated along with AndersElite and Hays, declined to comment further.
Meanwhile, the OFT said it could not comment on a continuing investigation and gave no indication of when a result could be expected.
• Eden Brown reported a 45% increased in pre-tax profit to £1.6m for the year ended March 2007, compared to £1.1m in 2006. Its gross profit was up 16% to £15.9m in the year, compared to £13.7m in 2006. Turnover rose 30% to £153.6m in 2007, compared to £118m in 2006.
Staff 'should know about bid rigging'
Construction companies must train staff about the issues raised by the Office of Fair Trading's investigation into bid rigging in the sector, a leading lawyer told a meeting of industry leaders.
Adrian Magnus, partner — EU & Competition at Berwin Leighton Paisner, said: "Make staff believe it matters, have a compliance manual, and tell them when and who to seek help from."
Martyn Makinson, a director of construction recruiter Bromak, told Recruiter that it had not yet seen any demand for such skills from their customers.
