OREANDA-NEWS. July 01, 2013. The Arbitration Court of St Petersburg and the Leningrad Region pronounced legitimacy of a determination issued by the Office of the Federal Antimonopoly Service in the Leningrad region (Leningrad OFAS Russia) regarding “Byuro Ritualnykh Uslug [Ceremonial Services Bureau]” Ltd.

Leningrad OFAS Russia established that “Zhilischno-Kommunalnoe Khozyaistvo [Municipal Utilities]” Municipal Unitary Enterprise concluded a contract with “Ceremonial Services Bureau” Ltd. for the works for maintaining burial sites. Under the contract conditions, “Ceremonial Services Bureau” Ltd. was the only economic entity that could be present in cemeteries, exercise burials, render ceremonial services to the population and determine burial sites for physical persons.

As a result of the case investigation, Leningrad OFAS Russia found a violation of the Federal Law “On Protection of Competition” (Article 11).

The antimonopoly body imposed administrative fines - 100,000 Rubles per violator under Article 14.32 of the Code of the Russian Federation on Administrative Violations. “Municipal Utilities” Municipal Unitary Enterprise paid the fine in full. “Ceremonial Services Bureau” Ltd. disagreed with a decision of Leningrad OFAS Russia and filed a lawsuit. The Arbitration Court, however, dismissed the claim.

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Article of the Federal Law “On Protection of Competition” prohibits agreements between economic entities or concerted actions of economic entities on the market.