OREANDA-NEWS. May 12, 2009. The Federal Antimonopoly Service (FAS Russia) initiated a case for the formal elements of violation of Part 3 Article 11 of the Federal Law "On Protection of Competition" (prohibiting coordination of economic activities between economic entities) against the Union of Insurers of St Petersburg and North-West, reported the press-centre of FAS Russia.

FAS Russia received a complaint from a medical institution in St Petersburg regarding the actions of the Union of Insurers of St Petersburg and North-West.

The Union of Insurers of St Petersburg and North-West violated the antimonopoly law by coordinating activities of economic entities - medical institutions in St Petersburg. Such coordination of activities of medical institutions by the Union of Insurers of St Petersburg and North-West can lead to fixing or maintaining prices (rates), discounts, markups (additions ot prices) and extra charges.

"The Union of Insurers of St Petersburg and North-West attempted to influence medical institutions operating on the market of additional medical insurance in St Petersburg calling upon them to fix prices for medical services under the threat of "…redirecting the flow of insured persons to other medical institutions…", explained Alexander Kinev, the Head of the FAS Russia Anticartel Department.

Reference:
Part 3 Article 11 of the Federal Law "On Protection of Competition" prohibits physical persons and commercial and non-commercial organisations to coordinate economic activities of market participants if such coordination leads or can lead to the consequences specified in Part 1 Article 11.