Kier shares fall as it complains about OFT fine

If knowledge is power, what is lack of knowledge? In the case of construction group Kier it is a hefty hole in its bank balance.

The company was one of 103 UK companies fined earlier this week by the Office of Fair Trading for illegal price rigging. In fact Kier's fine of £17.9m was the biggest of any of the companies. And after further consideration Kier seems to be complaining of unfair treatment.

Part of the problem is that Kier appears to have missed the chance to plead leniency because it did not know the investigation was going on. Unlike some of its rivals, who were apparently more on the ball and got the size of their fine reduced by admitting their guilt. In its statement today, Kier said:

Kier's fine was not reduced for leniency as the OFT closed the window for leniency prior to Kier becoming aware of its involvement in the OFT's investigation.

And here comes the complaint:

Kier is very disappointed at the level of the fine imposed by the OFT. It is the largest fine of any of those investigated, notwithstanding that Kier's infringements were at the lower level of the offences committed and that we co-operated openly with the OFT throughout the entire investigation. Kier secured none of the three contracts in respect of which it has been fined by the OFT.

Kier concluded by saying it is assessing its position. The market has made its own assessment, marking the shares down 18p to £11.64.