MOSCOW OFAS: SUPREME COURT PRONOUNCED LEGITIMACY OF A FINE IMPOSED ON “MOSOBLGAZ”
The Supreme Court of the Russian Federation confirmed legitimacy of an order of Moscow OFAS to hold “Mosoblgaz” administratively liable.
Earlier the competition authority fined the company that had breached the rules for connection to gas networks. OFAS established that for three years “Mosoblgaz” had been imposing disadvantageous contract conditions for connecting an applicant’s land plot to gas networks.
For instance, violating the law, the company requested the application to undertake measures for developing the gas-distribution network for other potential customers.
Deputy Head of Moscow OFAS, Nikita Poleschuk, pointed out: “In this case the monopolist requested an ordinary physical person to undertake measures for developing a gas-distribution infrastructure, unnecessary for this person and not provided for by a regional gasification programme”.
“Mosoblgaz” disagreed with the administrative fine and field a lawsuit. Judicial bodies, including the Supreme Court, however, supported the conclusions reached by the regulator.
“our positive judicial practice will help exclude such attempts by monopolists to put excessive measures on the applicants’ shoulders, which will have a positive effect upon the timeframe and the costs of technological connection”, summed up Head of Moscow OFAS, Armen Khyanyan.