OREANDA-NEWS. December 01, 2011. The Commission of the Federal Antimonopoly Service (FAS Russia) concluded that “Atomredmetzoloto” OJSC (the group of persons of “Rosatom” State Corporation) violated the antimonopoly law in organising an electronic reverse auction, the subject of which was a contract for supplying spare parts for a dredge (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 from “Hydromechanization Works” OJSC about actions of “Atomredmetzoloto” OJSC, as a result of which the company could not take part in the reverse auction.

According to the reverse auction notice, one of the documents required for participation was a certificate that a bidder did not have any outstanding taxes and charges. No requirements were set for the form of a certificate.

Taking into account high probability that the tax office would not issue the certificate by the deadline for accepting the bids, “Hydromechanization Works” OJSC filed its bid specifying that it did not have outstanding tax payments and charges. Nevertheless, “Hydromechanization Works” OJSC was not allowed to take part in the reverse auction on the grounds of not presenting the required certificate.

The FAS Commission has established that other persons, who also did not submit certificates on the absence of outstanding tax payments and charges from a tax office, were allowed to bid.

“The reverse auction documentation did not include a clear definition of the form of a certificate on the absence of outstanding tax payments and charges, which ultimately created unequal conditions for participation of certain suppliers in the reverse auction”, explains the Head of FAS Department for Control over Industry and Defence Complex, Maxim Ovchinnikov.

Reference:

1. Reverse auction — an auction when price is being reduced (Dutch auction).

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