OREANDA-NEWS. May 16, 2011. The 9th Arbitration Appeal Court pronounced validity of the decision and determination issued by the Office of the Federal Antimonopoly Service in Moscow (Moscow OFAS Russia) regarding “Moscow Integrated Energy Company” (“MOEK” OJSC), reported the press-centre of FAS Russia.

Earlier the Commission of Moscow OFAS Russia found that “MOEK” OJSC violated Part 1 Article 10 of the Federal Law “On Protection of Competition”. “MOEK” OJSC supplied hot water to a managing organisation - “Zhilcooperatsia” Moscow State Unitary Enterprise – for an apartment block managed by “Dzerzhinets-4” Housing and Construction Cooperative. “MOEK” OJSC rendered separate invoices for cold water and heat energy, which in total exceeded the cost of hot water calculated under the rates that must be applied in accord with a Decree of the Moscow Government. “Zhilcooperatsia” Moscow State Unitary Enterprise used the same pattern in settlements with “Dzerzhinets-4” Housing and Construction Cooperative. “MOEK” OJSC refused to change payment conditions in the contract for its services, as a result of which the residents of the house in question incurred arrears for hot water.

Moscow OFAS Russia issued a determination to “MOEK” OJSC and “Zhilcooperatsia” Moscow State Unitary Enterprise to stop antimonopoly violations.

The companies disagreed with the conclusions of the antimonopoly body and filed a lawsuit. The Court of First Instance allowed the claims of “MOEK” OJSC and “Zhilcooperatsia” Moscow State Unitary Enterprise. However, the 9th Arbitration Appeal Court confirmed that “MOEK” OJSC had committed an antimonopoly violation. Moscow OFAS Russia will also challenge the judgment of Moscow Arbitration regarding “Zhilcooperatsia” Moscow State Unitary Enterprise.

“MOEK” OJSC set pricing proceedings that contravene the existing law, so it infringed the interests of residents”, commented Deputy Head of Moscow OFAS Russia, Dmitry Tyotushkin.