YAKUTIA OFAS EXPOSED TWO CARTELS FOR 950 M RUB IN TOTAL

Yakutia OFAS suppressed operations of two cartels on the markets for baby food and medicines delivery

“Detsky Ryad”, “Enfa Trade” and “Albatros” entered into an anticompetitive agreement, participating in 26 procurements for supplying baby food products to public entities in the Sakha (Yakutia), the Ulyanovsk and Astrakhan.

Out of 26 auctions, “Detsky Ryad” Ltd. concluded 17 in total for 410.5 million RUB, “Enfa Trade” Ltd won in 4 auctions concluding contracts for 157.5 million RUB in total, while “Albatros” Ltd. - in 5 auctions with the contracts sum around 90 million RUB. The total initial contract price was 658 million RUB.

OFAS also exposed a medical cartel formed by “Pharmbaza” Ltd., “Med-Market” Ltd., “Region Stolitsa” Ltd. and three individual entrepreneurs participating in more than 140 auctions for supplying medicinal drugs and medical products in total around 300 million RUB.

Head of FAS Anti-Cartel Department Andrey Tenishev commented: “High social danger of similar anticompetitive agreements on this field is that customers are socially important facilities are that customers are socially important institutions. The Federal Antimonopoly Service shall apply antimonopoly remedies and the persons guilty of concluding cartels, will suffer severe punishment”.

Liability for anticompetitive agreements is specified in Part 2 Article 14.32 of the Code on Administrative Violations and incurs an administrative fine up to 50% of the initial goods value for legal entities and up to 50,000 for top executives.