ARBITRATION UPHELD FAS DECISION ON CARTEL OF FUEL COMPANIES IN KRASNODAR TERRITORY
NTK LLC and Kubanoil LLC concluded an anti-competitive agreement to share bids for the supply of petroleum products at 160 auctions with a total initial price of more than 1 billion rubles
Earlier, the FAS Russia initiated a case on violation of antimonopoly legislation(1) against fuel companies. By participating in tenders, including those for the needs of educational and social institutions of the Krasnodar Territory, as well as the Administration of the city of Sochi and the territorial executive authorities of the region, they ensured the conclusion of contracts at the highest possible price.
The FAS Russia recognized NTK LLC and Kubanoil LLC as violating antimonopoly legislation. They were fined in accordance with the Administrative Code of the Russian Federation(2).
The companies appealed to the court to invalidate the decision of the FAS Russia. The Arbitration Court of Moscow denied the claims of NTK LLC and Kubanoil LLC.
Reference:
(1) On the grounds of violation of Paragraph 3 of Part 1 of Article 11 of the Federal Law of July 26, 2006, No. 135-FZ “On Protection of Competition”
(2) In accordance with Part 1 of Article 14.32 of the Administrative Code of the Russian Federation, NTK LLC was fined 98,405,720 rubles, Kubanoil LLC was fined 12,262,720 rubles.