OREANDA-NEWS. January 20, 2010. The Arbitration Court of the Dagestan Republic dismissed the claim of "Interregional Distribution Network Company of the North Caucasus" OJSC (MRSK SK OJSC) and confirmed validity of the decision and determination issued by the Office of the Federal Antimonopoly Service in Dagestan (OFAS Russia), reported the press-centre of FAS Russia.

Earlier OFAS Russia found that "MRSK SK" OJSC abused market dominance (in breach of Article 10 of the Federal Law "On Protection of Competition") and issued a determination to eliminate the violations.

The case was initiated upon a complaint of the residents of Sulak village. The antimonopoly body discovered that the company restricted and cut off power supply in Makhchkala without consumers' consent, including Nos.2 and 3 feeders at the sub-station in Sulak village. Such actions of "MRSK SK" OJSC violated Clause 80 of the Rules of Providing Public Utility Services to Citizens, approved by the Government of the Russian Federation, Article 38 of the Federal Law "On Electric Power Industry", Article 546 of the Civil Code of the Russian Federation, Article 7 of the Federal Law "On Natural Monopolies" and Article 10 of the Federal Law "On Protection of Competition".

"MRSK SK" OJSC attempted to challenge the decision and determination of the Dagestan OFAS Russia in the Arbitration Court of the Dagestan Republic; however, their validity was confirmed by the Court.

On 13th January 2010, the Arbitration Court confirmed the rightness of the OFAS position regarding "MRSK SK" OJSC with regard to the claim of the Prosecutor's Office of the Dagestan republic.

The company was restricting and cutting off power supply in Makhchkala without consumers' consent, in violation of Clause 80 of the Rules of Providing Public Utility Services to Citizens, approved by the Government of the Russian Federation, Article 38 of the Federal Law "On Electric Power Industry", Article 546 of the Civil Code of the Russian Federation, Article 7 of the Federal Law "On Natural Monopolies" and Article 10 of the Federal Law "On Protection of Competition".

"The decisions of the Arbitration Court give further evidence of developing competitive environment and antimonopoly policy in the Dagestan Republic. Issuing its decision and determination, the Dagestan OFAS Russia was protecting the interests of citizens and preventing violations of the antimonopoly law of the Russian Federation", says Kurban Kurbaev, the Head of the Dagestan OFAS Russia.