Saratov Airlines Sentenced to Eliminate Antimonopoly Violations
OREANDA-NEWS. September 29, 2008. The Federal Antimonopoly Service (FAS Russia) recognized that "Saratov Airlines" OJSC violated Part 1 Article 10 of the Federal Law "On Protection of Competition" and, based on this decision, issued a determination on eliminating the violation, reported the press-centre of FAS Russia.
Earlier FAS Russia initiated an antimonopoly case upon a petition of a Moscow company - "Centre-Avia" Air Carrier" OJSC. It stated that the airport in Saratov, which belongs to "Saratov Airlines" OJSC, refused to offer slots (take off and landing time) for the Saratov - Moscow - Saratov route which would be acceptable for "Centre-Avia" and convenient for its passengers. Having considered the case, FAS Russia recognized that the actions of "Saratov Airlines" OJSC could restrict competition on the market of passenger air transportation on the Saratov - Moscow - Saratov route and (or) infringe the interests of other economic entities.
Currently the passengers have no choice between competing air carriers because "Saratov Airlines" OJSC is the only company operating on this route. "Saratov Airlines" OJSC combines airport services and transportation services. By offering inconvenient slots, "Saratov Airlines" is preventing market entry of its competitor that has the necessary licenses and the aircraft fleet.
Part 1 Article 10 of the Federal Law "On Protection of Competition" prohibits actions (lack of actions) by an economic entity with dominant position, which result or can result in preventing, restricting or eliminating competition and (or) infringing the interests of other persons.
According to the FAS Russia's determination, "Saratov Airlines" OJSC are obligated to eliminate the antimonopoly violations and offer the necessary slots to "Centre-Avia" within the statutory period. Furthermore, "Saratov Airlines" will be held administratively liable under Article 14.31 of the Code of the Russian Federation on Administrative Violations.
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