OREANDA-NEWS. December 10, 2013. In 2013 the Federal Antimonopoly Service (FAS Russia) carried out an unscheduled inspection of “Argus-Spektr” CJSC to verify compliance with the antimonopoly law.

The results of the inspection showed that the company concluded prohibited “vertical” agreements with its dealers (Part 2 Article 101of the Federal Law “On Protection of Competition”). The inspection also revealed signs of concluding anticompetitive agreements with regional branches of the Ministry of Emergencies aimed to eliminate companies that are not dealers of “Argus-Spektr” CJSC from the market of special fire-fighting equipment (a violation of Article 16 of the Federal Law “On Protection of Competition”).

“Argus-Spektr” CJSC is a private vendor of “Strelets-Monitoring” software- hardware kit that transfer fire signals through a special communications channel to the fire-protecting panel of controlled facilities. In the course of the inspection FAS received numerous petitions from economic entities that in some Russian provinces “Argus-Spektr” CJSC, through its dealer network, monopolized services for connecting protected facilities to control panels of fire departments, and get a special communications channel, provided to the Ministry of Emergencies by the Ministry of Defence, in order to transfer fire signals.

Petitions specify that as a result of dealers of “Argus-Spektr” CJSC installing “Strelets-Monitoring” software-hardware kit under the contracts for charity support to fire-fighting units of the Ministry of Emergencies, socially important facilities (day care centres, schools, hospitals, educational institutions, etc.) serviced by organizations that are not accredited by “Argus-Spektr” CJSC or are not its dealers shall be switched off from faire-protections panels.

It can create obstacles for companies servicing earlier installed fire-fighting equipment and, as a consequence, demands from national fire authorities with regard to nonworking fire-fighting systems, including fines upon the heads of protected facilities or prohibiting activities of an inspected person.

Various problems can experience companies wishing to purchase fire-fighting equipment of “Argus-Spektr” CJSC for installments and further maintenance on protected facilities, particularly:

The equipment manufactured by “Argus-Spektr” CJSC can be sold only through the company’s dealers at excessive prices

Information can be disseminated through the dealer network or a branch of the Ministry of Emergencies that only organizations accredited by “Argus-Spektr” CJSC can install and provide maintenance of “Strelets-Monitoring” software-hardware kit and a specialized equipment adopted to it on the basis of agreements between them and the Main Departments of the Ministry of Emergencies in the provinces of the Russian Federation for use of a radio-channel specially allocated by the Ministry of Interior for the Ministry of Emergencies

Thus actions of “Argus-Spektr” CJSC, its dealers and branches of the Ministry of Emergencies can create obstacles for economic entities for providing services for fire-fighting system maintenance and installing specialized fire-fighting equipment on protected facilities.