Oliver McAteer
Nov 14, 2018

Bid-process meddling investigation closed for Omnicom, MDC, Publicis, IPG

The shops were being probed after independent production companies accused advertising agencies of improper practices.

Bid-process meddling investigation closed for Omnicom, MDC, Publicis, IPG

A US Justice Department investigation into suspected manipulation of the bidding process for production work has concluded for several holding companies.

Omnicom Group, MDC Partners and Publicis Group all confirmed the probes have closed without any action being taken against them in separate Securities and Exchange Commission (SEC) filings published today. IPG confirmed via email. 

WPP, which had three of its subsidiaries subpoenaed by the US Department of Justice Antitrust Division, was not immediately available for comment. 

In 2016, The Wall Street Journal reported ad agencies may have been funneling work to their in-house production units by pressuring independent production companies to bow out of contract bids.

A number of production companies claimed they had received requests from ad agencies to inflate their bids for commercial work, making them seem less attractive to clients. In comparison, the uninflated bids from agency production companies or shops within the same holding company appeared more reasonable.

Source:
Campaign US

Related Articles

Just Published

1 day ago

Behind Spotify's new Southeast Asia campaign

EXCLUSIVE: Campaign talks to Jan-Paul Jeffrey, Spotify’s head of marketing, on the streamer's latest regional campaign for Indonesia, Thailand and Philippines.

1 day ago

Tech MVP 2022: Sunil Naryani, Dentsu

MOST VALUABLE PROFESSIONAL: Chief product officer Sunil Naryani has been instrumental in elevating the product offerings from Dentsu and driving radical collaborations across market product leaders.

1 day ago

Why purposeful creativity is more important than ...

Why do we still rush to come up with a once-in-a-lifetime brilliant stroke of genius that had zero impact on anyone’s life or business, and then proudly stand on a stage receiving accolades for our achievements? MediaMonks' APAC ECD ponders this question and more.

1 day ago

Here's Google's plan to to help advertisers manage ...

David Temkin, senior director of product management, ads privacy and user trust at Google, who is leading the charge on preserving ad targeting and measurement while tracking restrictions loom, discusses these shifts.