Court Took Side of FAS on Case of Gorsvet Municipal Enterprise
OREANDA-NEWS. February 10, 2011. The Federal Arbitration Court of the Povolzie District supported the decision and determination issued by the Office of the Federal Antimonopoly Service in the Ulyanovsk region (Ulyanovsk OFAS Russia) that “Gorsvet” Ulyanovsk Municipal Unitary Enterprise violated Part 1 Article 10 of the Federal Law “On Protection of Competition”, reported the press-centre of FAS Russia.
Ulyanovsk OFAS Russia initiated the case upon a petition of “City” Ltd. Violating the above provisions of the law, “Gorsvet” unlawfully set the tariffs for power transmission and technological connection to electric networks of “City” Ltd.
“Gorsvet” filed a lawsuit challenging the decision and determination of the antimonopoly body.
However, the Federal Arbitration Court of the Povolzie District reversed the judgments of Ulyanovsk Regional Arbitration Court and the 11th Arbitration Appeal Court and forwarded the case for reconsideration.
The Courts of two instances and the Federal Arbitration Court of the Povolzie District confirmed validity of the decision and determination issued by Ulyanovsk OFAS Russia regarding the violator - “Gorsvet” Ulyanovsk Municipal Unitary Enterprise.
“Such actions of “Gorsvet” infringed the interests of “City” Ltd. The OFAS Commission issued a determination to “Gorsvet” to stop applying the tariffs for power transmission to “City” Ltd. As the Courts of three instances supported the conclusions of Ulyanovsk OFAS, “Gorsvet” will have to execute the determination and stop applying the power transmission rates that were not approved in accordance with the established procedures” since the moment the decision was issued”, explained the Head of the Goods Markets of Ulyanovsk OFAS Russia, Ms. Marina Stepanova.
Reference:
Part 1 Article 10 of the Federal Law “On Protection of Competition” prohibits actions (omissions) of an economic entity with dominant position that have resulted or can result in preventing, restricting or eliminating competition and (or) infringing the interests of other persons, particularly for following actions (omissions): fixing and maintaining monopolistically high or low prices.
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