Appeal upheld a fine upon “Russian Railways”

11-09-2017 | 10:20

“Russian Railways” OJSC must pay 1.7 million RUB for abusing dominance and failure to execute an injunction issued by Moscow OFAS

The 9th Arbitration Appeal Court upheld the judgment of holding “Russian Railways” OJSC administratively liable.

In 2015 Moscow OFAS established that “Russian Railways” OJSC unreasonably charged a fee for the temporary warehousing services and for drawing up and delivering documents to the customs bodies.

Moscow OFAS found that the monopolist abused dominance and issues an injunction to eliminate the violation of the antimonopoly law and its consequences and fine the company 1,428,408 RUB.

“Russian Railways” OJSC disagreed with the decision and injunction of the antimonopoly body and filed a lawsuit. Courts of three instances confirmed legitimacy of the actions undertaken by Moscow OFAS.

The Supreme Court of the Russian Federation also agreed with the conclusions reached by the lower Courts and dismissed the company’s claim to transfer the case for considering by the Judicial Collegium on economic disputes.

Since “Russian Railways” OJSC has not executed the injunction of Moscow OFAS, it was held administratively liable and fined 300,000 RUB for failure to execute the injunction given by the regulator.

The company also attempted to appeal the fine but Courts of two Instances dismissed the claim.

As a result, the monopolist must pay over 1.7 million RUB for violating the antimonopoly law and failure to execute the injunction of Moscow OFAS.