OREANDA-NEWS. January 11, 2009. The Office of the Federal Antimonopoly Service in the Murmansk region (OFAS Russia) found that the "Upravlenie Kapital'nogo Stroitel'stva Severnogo Flota [Capital Construction Management of the North Navy]" State Enterprise violated the state procurement legislation in organizing the auction for the amount over 10 billion Rubles. In accordance with the issued determination, the State Enterprise must annul the results of the bidding, reported the press-centre of FAS Russia.

Earlier the Murmansk OFAS Russia organized an unscheduled inspection of the State Enterprise upon the materials forwarded from the military Prosecutor's Office of the North Navy. The inspection revealed that the State Enterprise violated the Federal Law "On State and Municipal Procurement of Goods, Works and Services" in the auction for the works on design, construction and reconstruction of facilities in various cities and villages of the Murmansk region. The total value of the auctioned lots exceeded 10 billion Rubles. No type of works was financed from the federal budget.

Furthermore, the technical specification prepared by the Ordering Party specified only the number of facilities and space requirements for building or reconstruction (for instance, one of the lots was for building dormitories for married servicemen, 5307 people, total square 92925.57 sq.m.). The auction documentation did not include any other quantitative, technical, qualitative or consumer characteristics of the facilities.

Also the Murmansk OFAS Russia established that the State Enterprise violated the procedures for bidders selection in the auction: some bids were unlawfully rejected.

Having investigated the case, the Murmansk OFAS Russia issued a determination to the State Enterprise on annulling the bidding.

Further information can be found on the site of the Murmansk OFAS Russia - http://murmansk.fas.gov.ru; section "State Procurement Control. Administrative Practice".