OREANDA-NEWS. January 25, 2010. The Moscow Arbitration Court held a new case hearing and confirmed legitimacy of the decision and determination of the Federal Antimonopoly Service (FAS Russia) regarding "KD Avia" OJSC, reported the press-centre of FAS Russia.

Earlier FAS Russia found that "KD Avia" OJSC violated Part 1 Article 10 of the Federal Law "On Protection of Competition" (abusing dominant market position) and issued a determination to eliminate the violations.

The case was initiated upon a petition of "Siberia Airlines" OJSC which intended to provide passenger air transportation on the Moscow-Kaliningrad-Moscow route. The FAS Russia's Commission discovered that "KD Avia" OJSC evaded a contract with "Siberia Airlines" for providing the ground services for the company's passenger and ground handling of aircrafts, cargo, mail, luggage, in-flight catering, and cleaning aircrafts in the airport in Kaliningrad ("Khrabrovo" airport) without any technological or economic justification. It infringes the interests of "Siberia Airlines" OJSC.

"KD Avia" OJSC disagreed with the decision and determinations issued by the antimonopoly authority and filed a law suit.

The Arbitration and the Appeal Court allowed the claim of "KD Avia" OJSC but the Cassation Court forwarded to case for reconsideration.

"The judgment passed by the Court at the new case hearing once gain emphasized legitimacy of the actions of the antimonopoly authority towards constraining monopolistic behaviour of large airlines that combine transportation operations with airport services", said Konstantin Senichkin, the Head of the Transport and Communication Department.