FAS Recognized KD Avia Setting Monopolistically Rent in Khrabrovo
OREANDA-NEWS. December 08, 2008 The Kaliningrad Office of the Federal Antimonopoly Service (OFAS Russia) recognized that "KD avia" OJSC violated Article 10 of the Federal Law "On Protection of Competition" by setting monopolistically high rent for offices in Khrabrovo airport, reported the press-centre of FAS Russia.
Earlier the antimonopoly authority received a complaint from "Aeroflot - Russian Airlines" OJSC that "KD avia" OJSC had increased rental rates in the airport building. Although the condition of the building did not improve in 2008, the rent increased by 2.4 times from 1st January 2008.
"KD avia" OJSC owns the airport building and is the only organization that leases office premises in Khrabrovo airport.
The Kaliningrad OFAS Russia studies the legal framework and customary business practices in determining rent for office premises in other airports in the Russian Federation and found that the actions of "KD avia" OJSC on determining civil rental contract contravened customary business practices and were in abused of the company's rights. Also it was established that the rental rate was three times more that the necessary expenses and profit for leasing the premises.
Having investigated the case, the Kaliningrad OFAS Russia recognized that "KD avia" OJSC violated Article 10 of the Federal Law "On Protection of Competition", which prohibits fixing monopolistically high prices.
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