FAS Warns Agroservice Region to Observe Antimonopoly Law
OREANDA-NEWS. February 11, 2014. The Commission of the Federal Antimonopoly Service (FAS Russia) terminated a case against “Agroservice Region” Ltd. due to absence of antimonopoly violations in the company’s actions.
The case against “Agroservice Region” Ltd. was initiated upon signs of violating Part 1 Article 10 of No.135-FZ Federal Law “On Protection of Competition” by fixing monopolistically high prices for grain delivery, fixing different prices (tariffs) without any economic / technological justification, and creating discriminatory conditions. The case was initiated upon a petition of the head of a peasant (farm) holding, Aramais Bozoyan.
Having analyzed the costs of “Agroservice Region” Ltd., that has the dominant position on the market of storage and delivery of the grain purchased from the Intervention Fund, the FAS Commission concluded that delivery rates were not monopolistically high and did not exceed the costs and profit necessary to provide the services.
The FAS Commission also did not expose facts of fixing different tariffs for grain delivery by “Agroservice Region” Ltd. and terminated the case.
Investigating the case materials, the Commission revealed that fixing the costs of the service, which includes, along with the costs of mechanical loading, the costs of other services for grain delivery, in the contract for grain delivery in railway grain cars can have signs of violating Clause 3 Part 1 Article 10 Federal Law “On Protection of Competition” – imposing disadvantageous contact conditions or conditions irrelevant to the contract subject.
Based on the above, the Commission issued a warning to “Agroservice Region” Ltd. to stop such actions by adjusting the contract in line with the antimonopoly law, and the rates – accordingly to the scope of the rendered services.
“Since the warning was executed, the Commission decided not to initiate a case upon signs of violating Clause 3 Part 1 Article 10 Federal Law “On Protection of Competition”. FAS will continue exercising control over actions of “Agroservice Region” Ltd. on the market”, stated the Head of FAS Department for Control over Chemical Industry and Agro-Industrial Complex, Anna Mirochinenko.
Cases upon the petition of Aramais Bozoyan were also initiated against “Sibirsky Kolos” Ltd. and “Russko-Polyansky Elevator” OJSC. At the moment FAS is considering only the case against “Sibirsky Kolos” Ltd. since FAS has not revealed any violations in the actions of “Russko-Polyansky Elevator” OJSC.
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