THE COURT CONFIRMED 85.4 MILLION RUB FINE IMPOSED ON A ROAD MARKET CARTEL PARTICIPANT

In July 2020, FAS Russia found that OOO Magistral, OOO Impulse, OOO Nizhegorodavtodor, OOO Nizhavtodorstroy and OOO Uraldorstroy violated the Law on Protection of Competition*. The competing parties colluded to determine the winner of a bidding process for the repair of highways for a total of 3.8 billion rubles. The bidding was held as part of the implementation of the national project “Safe and high-quality highways”.

FAS Russia has initiated 7 administrative cases against the cartel participants. Impulse appealed the fine imposed by the authority to the Moscow Arbitration Court. The Court dismissed Impulse’s action and obliged it to pay a fine in the amount of 85.4 million rubles.

Noteworthy, FAS Russia’s decision on the recognition of the aforementioned firms as violating the Law on Protection of Competition was also upheld by the courts of two instances.

For reference:

*Paragraph 2 of part 1 of Article 11 of the Law on Protection of Competition