OREANDA-NEWS. February 26, 2008. The Federal Antimonopoly Service (FAS Russia) recognized that the Ministry of transport of the Russian Federation (MinTrans Russia) and the Ministry of Agriculture and Food of the Russian Federation (MinSelkhoz Russia) violated Article 16 of the Federal Law "On Protection of Competition" and MinTrans Russia violated Part 1 Article 15 of the Federal Law "On Protection of Competition" in terms of u justified prevention of economic agents offering services on hiring seafarers and assisting in their employment on the foreign-flag-vessels, reported the press-centre of FAS Russia.

The case was considered upon a petition of "Nordost Shipping" Ltd.

MinTrans Russia and MinSelkhoz Russia violated the law by issuing and enforcing № 81/328 joint order of 30.06.1998 "On Approving the Instruction on Using the Regulations on the Seafarer's Identity Document" (Order № 81/328).

The Order approved the Instruction on using the Regulations on the Seafarer's Identity Document, which established the certification procedures for the Marine Fleet Service of MinTrans Russia and the Fishery Department of MinSelkhoz Russia.

Earlier certification of services on hiring and employment of seafarers to fishing vessels was carried out by the Fishery Department of MinSelkhoz Russia. Currently the Federal Agency for Sea and River Transport (part of MinTrans Russia) is responsible for implementing the joint Order in terms of voluntary certification of services for hiring and employment assistance of seafarers to the fishing vessels.

According to the Instruction, compliance of economic activity of the organizations, involved in hiring and (or) employment of the citizens of the Russian Federation to the foreign-flag vessels, to the international conventions on hiring and employment of seafarers is determined by certification of the services of hiring and employment of seafarers to the foreign-flag vessels. Effectively, certification of services for hiring and employing seafarers to the foreign-flag vessels is mandatory, and is administered at a charge.

Therefore, organizations which do not possess the above certificate cannot submit documentation to register and issue seafarer's identity documents. At the same time, under the Geneva Convention of the International Labour Organization, hiring and employment organizations must operate only in accordance with the established licensing or certification system or other forms of regulation.

Under the law of the Russian Federation, to carry out services on assisting employment of the citizens of the Russian Federation outside the territory of the Russian Federation, a company needs a license granted by the Federal Migration Service in accordance with № 797 Resolution of the Government of the Russian Federation of 23.12.2006 "On Approving the Regulations of Licensing Economic Activities Related to Employment of the Citizens of the Russian Federation Outside the Russian Federation".

The additional requirement of obtaining a certificate of the Federal Agency for Sea and River Transport by the organizations offering hiring and employment services is illegal and constitute a groundless market entry barrier.

The antimonopoly authority had already presented its decision and determination on the issue in question. Their validity and justness was confirmed by the courts of all instances.

Having consider the case, on 28th January 2008 FAS Russia предписала Минтрансу России to exclude paragraphs 7, 8, and 9 from Clause 7.1 the Instruction on Using the Regulations on the Seafarer's Identity Document, approved by № 81/328 joint order of MinTrans Russia and MinSelkhoz Russia of 30.06.1998.