CONSTRUCTION OF A DAY-CARE CENTRE ENDED WITH A CRIMINAL CASE

Volga District Court in Saratov pronounced that the founder and General Director of “HydroSpecProm” Ltd. committed a crime under Part 1 Article 178 of the Criminal Code of the Russian Federation

To unlawfully win an electronic auction and receive a municipal contract for construction-and-assembly works at a day-care centre in Mikhailovka, the Volgograd region, top-executives of “HydroSpecProm” Ltd. and “SMP 377” Ltd. entered into a competition-restricting agreement, prohibited by the antimonopoly law of the Russian Federation.

In 2015, the above entities agreed to maintain auction prices in order to gain the maximum profit. The cartel was formed under the conditions that a company, which wins an auction, would transfer part of the works to another cartel member.

As a result, the income gained by the cartel reached 58 million RUB.

Staff of the Office of the Federal Antimonopoly Service in the Saratov region acted as experts and confirmed elements of a cartel in the actions of the above economic entities that are competitors.

Head of FAS Anti-Cartel Department, Andrey Tenishev, emphasized: “Each of such cases, opened and reached judicial proceedings, is unique in their own way.  At the moment, Courts pass very few verdicts on the cases opened under Article 178 of the Criminal Code of the Russian Federation, but FAS and its regional offices have a clear understanding that cartels are evil. It’s good when the law enforcement bodies and Courts support our opinion”.