Court Confirmed FAS Decision on KRK Financial Group
OREANDA-NEWS. October 26, 2011. The Federal Arbitration Court of the Moscow Region dismissed the claim of “KRK” Commercial Bank” OJSC and “KRK-Strakhovanie” Ltd. to invalidate the decision of Moscow Arbitration Court of 10th May 2011 and the ruling of the 9th Arbitration Appeal Court of 3rd October 2011 and to pass new judicial acts invalidating the decision and determination of the Federal Antimonopoly Service. FAS issued its decisions and determinations upon investigating a case about price collusion between members of KRK financial group and insurance companies on the market of vehicle insurance, reported the press-centre of FAS Russia.
On 2nd August 2010, FAS Commission found that “KRK” CJSC, “KRK” Commercial Bank” OJSC, “KRK-Strakhovanie” Ltd. and “AlphaStrakhovanie” OJSC, “MSK” Insurance Group” OJSC, “Rosgosstrakh” Ltd., “Admiral” Insurance Group” Ltd., “Renaissance Insurance Group” Ltd., Russkaya” Insurance Company” OJSC violated Clauses 1 and 5 Part 1 Article 11 of the Federal Law “On Protection of Competition”.
The group of persons comprising a credit organization - KRK” Commercial Bank” OJSC, an insurance organization – “KRK-Strakhovanie” Ltd. and a company, that was selling cars on installments and simultaneously providing services as an insurance agent – “KRK” CJSC in relations with insurance companies, concluded agreements with insurance companies.
The agreements resulted in fixing and maintaining the rates for insuring vehicles, subject of pledge to “KRK” CJSC and “KRK” Commercial Bank” OJSC, as well as imposing disadvantageous insurance contract conditions upon the clients of “KRK” CJSC and the borrowers of “KRK” Commercial Bank” OJSC by fixing the size of insurance premium for the second and subsequent years of vehicle insurance at 9.99%.
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