Court Revised OFAS Decision on Collusion on Market of Deicing Agents
OREANDA-NEWS. August 17, 2011. The 9th Arbitration Appeal Court revoked the judgment of Moscow Arbitration Court and found that “Reagenty” Research-and Production Company” CJSC, “Novomoskovsky Khlor” Ltd., “Edinaya Torgovaya Kompania” OJSC, “Skoropuskovsky Orgsynthez” CJSC and“Skoropuskovsky Orgsynthez” Ltd. were engaged in collusion, reported the press-centre of KASE.
Following a petition of Moscow Department for Competition Policy, Moscow OFAS Russia analyzed documentation of an open auction for government contracts for supplies of deicing agents in winter season 2009-2010 for the customers from Moscow and Moscow District.
Investigating the case materials, experts of the antimonopoly body revealed that for certain lots the initial (maximum) contract price had been reduced only by 0.5%, while there had been no signs of rivalry between the auction bidders а - “Reagenty” Research-and Production Company” CJSC, “Novomoskovsky Khlor” Ltd., “Edinaya Torgovaya Kompania” OJSC, “Skoropuskovsky Orgsynthez” CJSC and“Skoropuskovsky Orgsynthez” Ltd. – which is not typical for competitive bidding.
Moscow OFAS Russia found that the companies violated Clause 2 Part 1 Article 11 of the Federal Law “On Protection of Competition”.
The companies disagreed with the decision of the antimonopoly body and filed a lawsuit.
On 24th May 2011, Moscow Arbitration Court revoked the decision of Moscow OFAS Russia and allowed the claim.
However, the antimonopoly body lodged an appeal and on 11th August 2011 года, the 9th Arbitration Appeal Court heard the parties to the case and supported Moscow OFAS Russia.
“I am pleased that the Appeal Court gave a detailed consideration to the issue of collusion between the participating companies. Moscow OFAS presented exhaustive evidence that the economic entities were guilty”, commented the Head of Moscow OFAS Russia. Mr. Vladimir Yefimov. “I am convinced that the Court ruling will enable us to promptly and efficiently finalize the case by imposing fines and transferring the files to the law enforcement bodies”.
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