Firm Indicted for Safeway Bid-Rigging

PHOENIX — A commercial refrigeration company conspired to rig bids to install refrigeration units in area Safeway stores, according to an indictment filed at U.S. District Court here.

Alliance Mechanical, its co-owner Kendall Pope and other co-conspirators allegedly discussed among themselves the submission of bids and allocated them according to which company had maintenance agreements in place at particular Safeway stores.

The case is the second to arise from an investigation into the commercial refrigeration industry by the U.S. Department of Justice. In June, James Govostes, a manager of another commercial refrigeration company, pleaded guilty to similar charges. Govostes entered into a plea agreement and agreed to assist the government with its continuing investigation, the USDOJ said.