OREANDA-NEWS. April 27, 2010. The Cassation Court dismissed the claim of "MGTS" OJSC and confirmed validity of the decision and determination issued by the Federal Antimonopoly Service (FAS Russia), reported the press-centre of FAS Russia.

Earlier FAS Russia found that "MGTS" OJSC abused market dominance (in breach of Part 1 Article 10 of the Federal Law "On Protection of Competition") and issued a determination to eliminate the violations.

The case was initiated upon a complaint of "Sinterra" CJSC.

"Sinterra" CJSC and "MGTS" OJSC concluded a contract for connecting local telecommunication networks. According to the contract, the parties provide mutual services for traffic flow in АВС codes (traffic flow from the operators of fixed telephone communication).

On 10th June 2008, without giving an advance notice "MGTS" OJSC stopped the flow of traffic from mobile telecommunication providers, connected to "Sinterra" CJSC, through the company's local network. "Sinterra" CJSC proposed to "MGTS" OJSC to amend the contract in terms of a possibility to flow the traffic in DEF codes (the traffic flowing from mobile telecommunication operators).

Restricting traffic flow from the network of "Sinterra" CJSC using strictly determined numeration resources is unprofitable for "Sinterra" CJSC as it forces the company to buy more expensive services for call termination to a zone centre, prevents fulfillment of contract obligations undertaken by "Sinterra" CJSC towards other service providers connected to the communication network of "Sinterra" CJSC and does not allow "Sinterra" CJSC to efficiently use its own zonal network.

FAS Russia established that "MGTS" OJSC unreasonably refused to introduce changes to the existing contract with "Sinterra" CJSC on connection and interaction of telecommunication networks in terms of possibility for flowing traffic in DEF codes, because flow of such traffic does not contravene the current legislation. Also, "MGTS" OJSC attempted to impose a zonal connection contract and created discriminatory conditions in comparison with service providers that had a possibility to flow such traffic through their network.

"MGTS" OJSC filed a lawsuit to the Arbitration Court and then lodged an appeal. Both the Arbitration Court and the Appeal Court confirmed the rightness of the FAS Russia's position.

"Under the FAS Russia's determination, "MGTS" OJSC must stop the violations, in particular, it must not unlawfully refuse to introduce changed to the contract, impose services in which counteragents are not interested, and create discriminatory conditions for individual service providers", said Anatoly Golomolzin, Deputy Head of FAS Russia.