OREANDA-NEWS. March 10, 2010. The Supreme Arbitration Court of the Russian Federation (SAC RF) published the Ruling of SAC RF Presidium on the case "the Sochi City Authority vs the Krasnodar OFAS Russia" of 19th January 2010 on its official Internet site. The Ruling discharges judicial acts of the Arbitration Courts of three instances; the claim of the Sochi City Authority is dismissed, reported the press-centre of FAS Russia.

The Act of the Head of the Sochi City Authority of 20th March 2002 assigned to the "City Land and Property Relations Centre "Municipal Unitary Enterprise for some functions and powers in the field of land relations, that federal laws determine as functions and powers of the govenrmtn agencies and local self-government bodies.

The Krasnodar OFAS Russia considered a case against the Sochi City Authority for violating Part 3 Article 15 of the Federal Law "On Protection of Competition" and issued a determination.

An economic entity - a municipal unitary enterprise cannot introduce an electronic map of land condition in Sochi, and prepare and issue certificates with land-cadastral information.

The Sochi City Authority appealed the decision and determination issued by the Krasnodar OFAS Russia, and the Arbitration Courts of three instances concluded that the decision and determination were contrary to the law.

The Supreme Arbitration Court considered the claim of the Krasnodar OFAS Russia on re-opening the case in exercise of supervisory powers and concluded that the rights for performing functions and exercising power of local self-government bodies, and the bodies of state control and supervision had been transferred to an economic entity in violation of the law.

Therefore the act of a local authority in the part assigning the right and functions of the above bodies to an economic entity contravenes the antimonopoly law.

"The Ruling of the Presidium of the Supreme Arbitration Court of the Russian Federation confirms that assigning functions of a government agency to an economic entity constitutes the grounds for issuing a determination on changing or withdrawing such an act", said Sergey Pouzyrevsky, the Head of the FAS Russia's Legal Department.