OREANDA-NEWS. April 15, 2013. The Arbitration Court of St Petersburg and the Leningrad Region upheld the decision and determination of the Office of the Federal Antimonopoly Service in the Leningrad Region (Leningrad OFAS Russia) regarding “Russian Railways” OJSC.

In December 2012, the Commission of the antimonopoly body established the fact of abusing dominance by the railway monopolist (in breach of Clause 8 Part 1 Article 10 of the Federal Law “On Protection of Competition”).

The Commission established that in May – August 2012 “Russian Railways” OJSC used different codes of the Classes of Transport Rates for three companies - producers of porous commercial ceramic stone and consignors by railway transport: fixing different costs of transportation services.

Referring to a letter of the Ministry of Transport of the Russian Federation, “Russian Railways” OJSC was forcing “Petrokeramika” CJSC to transport cargo under a code requiring a more expensive rate. At the same time, “Russian Railways” OJSC did not change the code of a Class of Transport Rate for “Pobeda LSR” OJSC.

OFAS also established that during three months in 2012 “Ryabovo Ceramic Products Plant” Ltd. transported porous commercial ceramic stone under a code requiring a more expensive rate. Using different codes of the Classes of Transport Rates by “Russian Railways” OJSC for “Petrokeramika” CJSC, “Ryabovo Ceramic Products Plant” Ltd. and “Pobeda LSR” OJSC resulted in creating discriminatory conditions.

The antimonopoly body issued a determination to the railway company to undertake measures for creating and establishing the procedures, providing for mandatory informing consignors about changes of the codes of the Classes of Transport Rates for cargo transportation.

However, “Russian Railways” OJSC disagreed with the decision and determination of Leningrad OFAS Russia and filed a lawsuit to the arbitration Court, which confirmed legitimacy of the actions of the antimonopoly body.

OFAS also fined the company over 340,000 Rubles.

“The Federal Law “On Protection of Competition” imposes a number of restrictions for companies that have the dominant position on the market. It also concerns holders of natural monopolies. In particular, it is prohibited to fix different prices and rates for the same services for different consumers. We carefully watch compliance with the Federal Law”, emphasized the Head of Leningrad OFAS Russia, Vadim Vladimirov.