OREANDA-NEWS. July 19, 2011. The 16th Arbitration Appeal Court pronounced legitimacy of the determination of the Office of the Federal Antimonopoly Service in the Republic of Kabardino-Balkaria (Kabardino-Balkaria OFAS) on imposing a fine – over eight million Rubles – upon “Gazprom Mezhregiongaz Pyatigorsk” Ltd., reported the press-centre of FAS Russia.

In November 2010, Nalchik City Prosecutor’s Office forwarded the petition of Maisky Municipal District Authority to Kabardino-Balkaria OFAS. The petition contained a complaint that a branch of “Kavkazregiongaz” Ltd. (present “Gazprom Mezhregiongaz Pyatigorsk” Ltd.) issued the Order “On Transition to a New System for Accepting Payments for Gas from the Population”. According to the petitioner, the Order breaches the rights of general public.

In course of investigating the petition of Maisky Municipal District Authority, Kabardino-Balkaria OFAS received four more petitions about actions of “Gazprom Mezhregiongaz Pyatigorsk” Ltd. The subscribers asked to take measures and abolish the Order and prohibit using the programme that violates the rights of gas consumers. According to the petitioners, a new programme for printing notifications and receipts eliminates monthly control, because gas consumers were deprived of a possibility to compare current and previous gas meter readings and determine gas consumption. Effectively representatives of “Gazprom Mezhregiongaz Pyatigorsk” Ltd. enter any misguided meter readings.

Later the company reported about abolishing Clauses 1 and 2 the Order “On Transition to a New System for Accepting Payments for Gas from the Population”.

However, the Commission of Kabardino-Balkaria OFAS found that “Gazprom Mezhregiongaz Pyatigorsk” Ltd. violated Part 1 Article 10 of the Federal Law “On Protection of Competition”. The company abused its dominant position and infringing the subscribers’ interests.

The antimonopoly body issued a determination to hold “Gazprom Mezhregiongaz Pyatigorsk” Ltd. administratively liable under Article 14.31 of the Code of the Russian Federation on Administrative Violations – and imposed a fine over eight million Rubles.

The company filed a lawsuit challenging the decision of Kabardino-Balkaria OFAS. Arbitration Court of the Republic of Kabardino-Balkaria allowed the petition. However, the 16th Arbitration Appeal Court pronounced legitimacy of the conclusions of the antimonopoly body.

“The state provided opportunities to holders of natural monopolies and they should be held fully responsible for violations of the antimonopoly law”, said the Head of Kabardino-Balkaria OFAS, Mr. Kazbek Pshinshev.