OREANDA-NEWS. June 30, 2009. The 8th Arbitration Appeal Court upheld the fine upon "TGK-10" OJSC imposed by the Office of the Federal Antimonopoly Service in the Tyumen region (OFAS Russia). The company must pay nearly 12,800,000 Rubles for violating the antimonopoly legislation, reported the press-centre of FAS Russia.

In November 2007, the Office of the Federal Antimonopoly Service in the Tyumen region found that "TGK-10" OJSC violated Clause 10 Part 1 Article 10 of the Federal Law "On Protection of Competition". Having dominant position on the market, the company breached the Rules for Providing Utility Services to the Population, approved by the Government of the Russian Federation, when charging the owners of residential property for heating services.

The company calculated the charges using the techniques for determining the amount of heat energy and heat carrier in the water systems for utility heat supply. According to the Rules, charges for a consumed utility service must be calculated on the basis of the overall housing area, the consumption standard and the rate. "TGK-10" OJSC rendered bills to its customers where the payment for heating was overrated. According to the information, presented by the company, such bills were sent to 871 customers.

Having processed the administrative case, the Tyumen OFAS Russia imposed a fine upon the company under Article 14.31 of the Code of the Russian Federation on Administrative Violations. Under Article 14.31, abusing dominant position by a legal person in punishable by a fine in the amount form one hundredth to fifteen hundredth of the violator's proceeds gained by selling the services on the market where the violations was committed.

Не согласившись с назначенным штрафом, "TGK-10" OJSC disagreed with the fine and filed a lawsuit. The company argued that the Tyumen OFAS Russia had violated legal procedures imposing the fine. The 8th Arbitration Appeal Court, however, did not accept the company's argumentation.