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Federal Antimonopoly Service of the Russian Federation

Russian Version

MOSCOW OFAS EXPOSED NON-COMPETITIVE CONDUCT AT 11 AUCTIONS

17-09-2019 | 16:54

The antimonopoly body opened a case against “DRSU” JSC, “GazEcoStroi” Ltd., “DRSU-KRYN” Ltd. and “ETALON” Ltd. upon elements of a cartel at 11 auctions.

The companies took part in auctions for urban improvement work for Sosnensky Settlement Authority and Urban Amenities Department of Simferopol Authority, the Republic of Crimea.

The total initial (maximum) prices of all 11 contracts was 651.6 million RUB; 7 contracts were concluded based on the auctions’ outcome with “DRSU” JSC for 462.6 million RUB; 4 contracts were concluded with “GazEcoStroi” Ltd. for 174.3 million RUB. Therefore, all contracts were concluded with the minimum possible reduction.

Non-competitive conduct of all participants resulted in insignificant price reduction: the companies filed several price bids each and stopped competing with each other.

Moscow OFAS has opened a case against the above companies upon elements of violating Clause 2 Part 1 Article 11 of the Federal Law “On Protection of Competition”.

Liability for anticompetitive agreements is specified in Part 2 Article 14.32 of the Code on Administrative Violations. The punishment is administrative fines for up to 50% of the initial contact value for legal entities and up to 50,000 RUB for top-executives.

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