OREANDA-NEWS. July 21, 2009. The Office of the Federal Antimonopoly Service (FAS Russia) in the Komi Republic (the Komi OFAS Russia) initiated eight cases against local self-government bodies for violating Article 15 of the Federal Law "On Protection of Competition" in the market of ceremonial services, reported the press-centre of FAS Russia.

The cases were initiated against the Councils of Ukta, Inta, Sosnogorsk, Buktyla, and Mikun', as well as the Councils of rural settlements: "Shelyaur", Izhemsky District, and "Vezhaika" and "Gam", Ust-Vym' District, of the Komi Republic. The Komi OFAS Russia initiated the proceedings upon inspecting all municipalities in the Republic for compliance with the antimonopoly legislation in the market of ceremonial services. The antimonopoly body was following the FAS Russia's instructions on improving the situation in this market in Russia.

In course of the inspection, the Komi OFAS Russia discovered that in 2008 those local self-government bodies adopted the acts according to which ceremonial services were transferred to certain economic entities. According to the law on burials, public cemeteries are under the exclusive supervision of local self-government bodies and cannot be transferred to any economic entities. Such transferring of authority is contrary to the antimonopoly legislation as it can lead to restricting competition on the relevant market.

The cases will be heard in August and the beginning of September.

Reference:
Under Article 15 of the Federal Law "On Protection of Competition", the federal executive bodies, authorities of the constituent territories of the Russian Federation, local self-government bodies, other agencies or organisations performing the functions of the above bodies, as well as state non-budgetary funds and the Central Bank of the Russian Federation cannot adopt acts and (or) exercise actions (lack of actions) that lead or can lead to preventing, restricting or eliminating competition.