OREANDA-NEWS. October 07, 2010. The Commission of the Office of the Federal Antimonopoly Service in the Altai region (OFAS Russia) considered a case opened upon the signs of unlawful concerted actions between ten wholesale suppliers of buckwheat (Article 11 of the Federal Law “On Protection of Competition”). OFAS found that five companies violated the antimonopoly law, reported the press-centre of FAS Russia.    

The case was initiated on 13th September 2010. Altai OFAS Russia studied price behavior on the market of buckwheat purchase and sale. Monitoring proved that some companies considerably increased buckwheat prices. Inspections opened upon the signs of antimonopoly violations resulted in OFAS Russia initiating cases against “Goodwill” Ltd., “Klir” Ltd., “Star Commen” Ltd., “Laritsa” Ltd. “KutaiAgro” Ltd., “Naladchik” Biysk Grain Works” CJSC, “Tselina” CJSC, “Altaiskaya Kroupa” CJSC, “Buckwheat” Ltd. and “Altaisky Fermer” Trading House” Ltd.

At the meeting of the FAS Russia’s Commission, representatives of wholesale companies did not admit the fact of antimonopoly violations, referring to the market behavior and increase of prices by trade networks.

According to Altai Regional OFAS Russia, all companies brought into the proceedings as respondents buy raw materials from different producers, have different cost structure and geographic boundaries of sales, so the companies cannot have the same product prices.

Investigating the case, the OFAS Russia Commission found that five companies - “Goodwill” Ltd., “Klir” Ltd., “Star Commen” Ltd., “Naladchik” Biysk Grain Works” CJSC and “Altaiskaya Kroupa” CJSC were engaged in unlawful concerted actions coordinating pricing policy.

The fact of collusion among Laritsa” Ltd. “KutaiAgro” Ltd., “Tselina” CJSC, “Buckwheat” Ltd. and “Altaisky Fermer” Trading House” Ltd. cannot be confirmed.

OFAS Russia is going to initiate administrative proceedings regarding the antimonopoly violators, and determine the size of fines for each company. Such violations are punishable by administrative fines under Article 14.31 of the Code on Administrative Violations – from 1 to 15% of the violator’s income from sale of goods on the market where the violation was committed.