OREANDA-NEWS. January 30, 2007. The Federal Antimonopoly Service (FAS Russia) recognized that "Rossiiskie Zheleznie Dorogi [Russian Railways]" OJSC ("RZhD" OJSC) in the person of its branch - Roszheldorsnab, breached Clause 3 Part 1 Article 17 of the Federal Law "On Protection of Competition", reported the press-centre of FAS Russia.

The case was initiated in the forth quarter of 2007 upon a petition of "Vtorchermet" CJSC (from St Petersburg) that participated in the prequalification of the organizations, buying iron-and-steel scrap and waste from the divisions of "RZhD" OJSC through Roszheldorsnab in the second half of 2007 and in 2008. The company was not included, however, in the short list.

Having studied the presented materials, FAS Russia established that "Vtorchermet" CJSC is the oldest specialized Russian company, as well as one of the largest scrap collectors in Russia. Furthermore, the Company meets the qualifying requirements for the scrap buyers through Roszheldorsnab, set in the Prequalification documentation. The Company presented all required documents in due time and in absolute compliance with the qualification criteria, and deposited a pledge, registered in accordance with the tender requirements as a 50-million Rubles promissory note for each of 4 short lists, the total amount - 200 million Rubles.

FAS Russia concluded that Roszheldorsnab unjustly failed to shortlist "Vtorchermet" CJSC, and recognized that it violated the antimonopoly legislation and requested to stop the violations.