OREANDA-NEWS. March 14, 2013. The 9th Arbitration Appeal Court upheld the judgment of Moscow Arbitration Court regarding an individual entrepreneur Eske, “Sirius” Ltd. and “Blits” Ltd., thus, confirming the decision of the Federal Antimonopoly Service (FAS Russia).

On 6th April 2012, FAS found that an individual entrepreneur Eske, “Sirius” Ltd. and “Blits” Ltd. violated Clause 2 Part 1 Article 11 of No.135-FZ Federal Law “On Protection of Competition” of 26th July 2006 by concluding and taking part in an agreement that resulted in maintaining prices at auctions.

The agreement was implemented through eight open auctions for purchasing food products for the state needs. The participants concluded an agreement and implemented their conduct strategy at the auctions excluding participation of bona fide bidders. It enabled them maintaining the maximum possible level of prices at the auctions.

On 18th January 2013, the Investigations Unit of the Следственная часть of the Main Department of the Ministry of Interior for the Urals Federal District initiated a criminal case against the bid-riggers, upon the fact of concluding a cartel agreement for the purpose of maintaining prices at open electronic auctions (Clause “a”, “b” Part 2 Article 178 of the Criminal Code of the Russian Federation).

“The ruling of the Appeal Court once again confirmed that state procurement must take place in competitive conditions”, pointed out Deputy Head of FAS Anti-Cartel Department, Andrey Tenishev.