OREANDA-NEWS. May 26, 2011. The Federal Antimonopoly Service (FAS Russia) initiated a case against “Atomredmetzoloto” OJSC (a group of companies of “Rosatom” State-Run Corporation) upon the signs of violating Part 1 Article 17 of the Federal Law “On Protection of Competition”, reported the press-centre of FAS Russia.

The case was initiated upon a petition of “Hydro-Mechanization Works” OJSC about actions of “Atomredmetzoloto” OJSC in course of an electronic Dutch auction, the subject of which was a contract for supplying spare parts for a dredge hopper. The Dutch auction was organized by “Atomredmetzoloto” OJSC.

According to the notice about the Dutch auction, one of the documents required to bid for the reverse auction was a certificate confirming that a bidder did not have arrears on accrued taxes and fees. No requirements for the form of such certificate were specified.

Filing the bid for the Dutch auction, “Hydro-Mechanization Works” OJSC specified in writing that the company did not have arrears on accrued taxes and fees.

However, on 18th January 2011 “Hydro-Mechanization Works” OJSC was not allowed to take part in the reverse auction because the company had failed to present a certificate confirming absence of arrears on accrued taxes and fees issued by tax authorities of the Russian Federation, and an entry was made in the Protocol drawn by the Dutch Auction Commission.

One of the circumstances indicating possible antimonopoly violations by “Atomredmetzoloto” OJSC also was failure to observe the reverse auction date.

Reference:

1. Dutch auction means reverse auction;

2 Part 1 Article 17 of the Federal Law “On Protection of Competition” prohibits actions in course of competitive bidding that lead or can lead to preventing, restricting or eliminating competition, particular by creating preferential conditions for a bidder or several bidders taking part in competitive bidding.