OREANDA-NEWS. November 13, 2010. The Federal Antimonopoly Service (FAS Russia) found that the Ministry of the Russian Federation on Internal Affairs and “Business-Consultant” Ltd. violated Article 16 of the Federal Law “On Protection of Competition” (prohibiting competition-restricting agreements between the authorities and economic entities), reported the press-centre of FAS Russia.

The case was initiated upon the findings of an unscheduled inspection of “Business-Consultant” Ltd. to verify compliance with the antimonopoly law.

FAS Russia has concluded that actions of the Ministry of Internal Affairs and “Business-Consultant” Ltd. have the signs of an agreement between a federal executive body and an economic entity, which restricted access to the market distributing PC used in qualifying exams of private security guards.

Investigating the case, FAS Russia established that the Ministry of Internal Affairs “selected” only one program – an automated inquiry-and-communications system (“AIPS Tir”), the titleholder for which is “Business-Consultant” Ltd.

Materials collected in course of the investigation and explanations given by the Ministry confirmed that the Ministry of Internal Affairs did not organize public procedures to select such programs and did not endeavor to find information about alternative programs and their developers.

The Central Commission of the Ministry of Internal Affairs recommended that Regional Departments of Internal Affairs should:

- use software products developed by “Business-Consultant” Ltd., when organizing qualifying exams;

- recommend that private security companies use in their work automated inquiry-and-communications systems developed by “Business-Consultant” Ltd.;

- suggest that private educational institutions should use the above software products developed by “Business-Consultant” Ltd.

“The FAS Russia’s Commission also established that as a result of the agreement “Business-Consultant” Ltd. was able to sell the PC program (“AIPS Tir”) to private educational institutions for several dozen million Rubles”, stated the Head of the FAS Russia’s Cartel Department Alexander Kinyov. “It can be classified as gaining income on an especially large scale and can be a sign of a violation under Article 178 of the Criminal Code of the Russian Federation”.

FAS Russia also considered a case against the Ministry of Internal Affairs and “V.A.O.U” CJSC and found violations of Article 16 of the Federal Law “On Protection of Competition” (prohibiting competition-restricting agreements between the authorities and economic entities). FAS Russia established that the agreement between the Ministry of Internal Affairs and “V.A.O.U” CJSC secured monopoly of “V.A.O.U” CJSC on the market for sale of the forms necessary to grade the qualifying exam of private security guards.

FAS Russia discovered that only one economic entity - “V.A.O.U” CJSC - was given a possibility to make the forms for Certificates on awarding the qualification of a private security guard in the Russian Federation. Certificates were produced at the expense of private educational institutions that organized the qualifying examinations.

FAS Russia will issue a determination to the Ministry of Internal Affairs, “Business-Consultant” Ltd. and “V.A.O.U” CJSC to stop antimonopoly violations and will consider imposing administrative charges.