OREANDA-NEWS. June 01, 2011. The Federal Arbitration Court of the Moscow District (Court of Cassation Instance) upheld the judgment of Moscow Arbitration Court and the ruling of the 9th Arbitration Appeal Court that the Federal Customs Service (FTS Russia) unlawfully failed to execute the determination of the Federal Antimonopoly Service (FAS Russia) on an antimonopoly case, reported the press-centre of FAS Russia.

Having investigated the case, on 2nd April 2009 the FAS Russia’s Commission found that FTS Russia violated Clauses 2 and 5 Part 1 Article 15 of the Federal Law “On Protection of Competition”.

FTS Russia issued orders that restricted credit organizations (banks issuing customs cards) in ,their choice of economic entities, with which contracts for issuing credit cards can be concluded, as well as preventing activities of “Tamozhennaya Karta” Ltd. as the coordinator of issuance of credit cards.

To prevent antimonopoly violations the FAS Russia’s Commission issued a determination to FTS Russia to abolish and amend the acts that violated the antimonopoly law and to exercise actions aimed at supporting competition.

In particular, Clause 1.2 of the determination obligated FTS Russia to make changes to No. 757 Order of the State Customs Committee of Russia “On Improving the System of Customs Payments” of 10th August 2001, which would create competitive conditions for coordinator’s activities.

Under Clause 2.2 of the determination, FTS Russia was required to submit to FAS Russia for approval a draft order containing changes specified in Clause 1.2 of the determination.

On 24th March 2010, the Cassation Court confirmed legitimacy of the decision and determination of the FAS Russia’s Commission. However, after the court ruling came into force FTS Russia failed to execute Clauses 1.2 and 2.2 of the determination issued by the FAS Russia’s Commission.

Therefore, FAS Russia filed a claim to Moscow Arbitration Court requesting to pronounce unlawful omissions of FTS Russia that failed to execute Clauses 1.2 and 2.2 of the determination of the FAS Russia’s Commission.

On 6th October 2010, Moscow Arbitration Court allowed the claim of FAS Russia.

FTS Russia challenged the judgment of the Court of First Instance to the 9th Arbitration Appeal Court. However, at the hearing on 8th February 2011 the claim was not allowed.

On 13th April 2011, FTS Russia executed Clauses 1.2 and 2.2 of the determination of the FAS Russia’s Commission.

Changes to No. 757 Order of the State Customs Committee of Russia “On Improving the System of Customs Payments” of 10th August 2001 specified in the FAS Russia’s determination were registered by the Ministry of Justice on 4th May 2011 and will come into effect on 13th June 2011.

Nevertheless, upon executing the determination FTS Russia challenged the judgment of Moscow Arbitration Court and the ruling of the 9th Arbitration Appeal Court to the Federal Arbitration Court of the Moscow District.

On 26th May 2011, Federal Arbitration Court of the Moscow District dismissed the claim of FTS Russia.