OREANDA-NEWS. July 14, 2011. The Federal Antimonopoly Service (FAS Russia) found that the Federal State Reserves Agency (Rosreserve) violated Clauses 3 and 7 Part 1 Article 15 of the Federal Law “On Protection of Competition”, reported the press-centre of FAS Russia.

The antimonopoly case was initiated upon the findings of a scheduled inspection of Rosreserve. It was revealed that Rosreserve provided state aid to certain economic entities by authorizing them to borrow grain from state materials reserves in 2010 for six months without payment.

At the same time Rosreserve did not grant authorizations to other economic entities that filed requests to borrow grain from state material reserves in 2010.

The FAS Russia Commission revealed that Rosreserve did not have documents regulating the procedures and criteria for providing material values from the state material reserves on the grounds on a decision made by the head of Rosreserve.

The procedures for selecting economic entities as borrowers of material values and the procedures for temporary borrowing material values from the state material reserves based on a decision made by the head of Rosreserve must comply with the law of the Russian Federation, particularly, the Law “On Protection of Competition”.

Reference:

1. Under Clause 3 Part 1 Article 15 of the Federal Law “On Protection of Competition”, federal authorities are prohibited to pass acts or exercise actions that lead or can lead to prevention, restriction, eliminating competition, particularly, it is prohibited to set bans or introduce restrictions with regard to free movement of goods in the Russian Federation, other restriction of the rights of economic entities for buying, selling, otherwise acquiring, exchanging goods.

2. Clause 7 Part 1 Article 15 of the Federal Law “On Protection of Competition” prohibits federal authorities to pass acts or exercise actions that lead or can lead to prevention, restriction, eliminating competition, particularly, it is prohibited to grant state or municipal preferences in violating of procedures established by Chapter 5 of the Federal Law “On Protection of Competition”.