FAS opened a case for violating the Law “On Protection of Competition” on the market of ceremonial services in Volgograd

Agreements concluded by a regional body and a commercial organization could have restricted the rights and legitimate interests of other market participants

FAS was asked by the Office of the Plenipotentiary Envoy of the President of the Russian Federation in the Southern Federal District to verify whether the activities of the persons involved in ceremonial services in the Volgograd region conform to the Law “On Protection of Competition”.

Having analyzed the available documents and materials, FAS opened a case against the Committee for Road Facilities, Public Services & Amenities and Protection of the Environment of the Volgograd Authority and “Pamyat” Ceremonial Enterprise” CJSC. The actions by the parties to the case that concluded agreements to the contracts for managing city cemeteries, particularly, for ceremonial services without tender procedures may have signs of breaching Article 16 the Law “On Protection of Competition”. Such actions could have restricted the rights and legitimate interests of other market participants.

FAS also issued a warning to the authority to stop actions (omissions) that have elements of violating Part 1 Article 15 the Law “On Protection of Competition”.

Head of FAS Department for Control over Social Sphere and Trade, Timophey Nizhegorodtsev, pointed out: “FAS regularly received statements on fixing high prices for ceremonial services and on restricting competition on the market of  funeral services by local self-government bodies. The fact of the Office of the Plenipotentiary Envoy approaching shows special nation-wide importance of enforcement on the market of funeral services in Povolzhie. We shall undertake all measures to expose and suppress violations of the antimonopoly law in this field”.