IN MOSCOW REGION THE COLLUSION OF THE CAPITAL REPAIR FUND AND 21 MUNICIPALITIES WAS REVEALED

The Moscow Regional Office of the FAS Russia, on the initiative of the regional Prosecutor's Office, initiated a case and issued a decision against the Capital Repair Fund of Apartment Buildings in the Moscow Region, which violated the Law on Protection of Competition1[1]

The Antimonopoly Authority found out that the Capital Repair Fund and the administration of the 21 city’s districts of the Moscow region have reached an agreement on the conclusion of contracts for the overhaul of apartment buildings without the auction provided for by law.

The municipal administrations sent to the Fund the protocols of the commissions on emergency situations with the indication of the addresses of apartment buildings and the list of necessary works on their repair.

During the consideration of the case, it was established that the emergency regime was not introduced in many municipalities, and the basis for making appropriate decisions at the emergency commissions was the appeals of residents or management companies, or poorly carried out earlier major repairs.

The Capital Repair Fund, in turn, deliberately did not check the received documents for their compliance. In cases of insufficient volume of submitted works for major repairs, the organization supplemented the lists of works to recognize them as major repairs and concluded the relevant contracts without bidding.

As a result, those guilty of violating the antimonopoly law in terms of collution2[2] face a fine or disqualification for up to three years.

“This case is a good example of efficiency of work between the Prosecutor's office and the antimonopoly authorities, which prevented the illegal agreement, and competitive conditions of doing business in the market of works on capital repairs of apartment houses,” - Kirill Ivanisenko, Deputy Head of the Moscow Regional Office of the FAS Russia said.