The AMCU has fined the Russian tobacco monopoly of almost half a billion hryvnia

The AMCU has fined the Russian tobacco monopoly of almost half a billion hryvnia

© UNIAN

Company fined for abuse of a monopoly position in the market of distribution of cigarettes.

The Antimonopoly Committee of Ukraine fined the largest tobacco distributor on more than 430 million hryvnia.

About it reported in a press-service of the regulator.

“Today, December 16, 2016, held a meeting of the Antimonopoly Committee of Ukraine, which adopted the decision on the recognition of violations LLC “TEDIS Ukraine” law on protection of economic competition, for which substantial penalties”, – stated in the message.

As noted in the AMC, in particular, for the offence to establish such prices for wholesale and retail traders who can not possibly be set in the conditions of considerable competition on the distribution market of cigarettes, the Respondent imposed a fine in the amount of 429 million 306 thousand UAH 740.

Besides, the tobacco giant has imposed a 1 million 892 710 thousand UAH of a penalty for violations in the form of a partial refusal from the sale of goods in the absence of alternative sources of acquisition.

“In the period from 16.08.2016 for 16.12.2016 he held 6 meetings of the Committee on the results of the hearing, during which implemented the hearing legal representatives of a defendant, the largest manufacturers of tobacco products and of entities that carry out the purchase from the “TEDIS Ukraine” and further implementation of the cigarettes according to the existing licences for wholesale and/or retail trade in tobacco products”, – said the press service.

We will remind, earlier Antimonopoly Committee of Ukraine took up the case of abuse of dominant position by the largest distributor of cigarettes in Ukraine “Megapolis-Ukraine”, which is owned by billionaire Igor Kesaev.

The tobacco giant’s activists have blocked in six cities of Ukraine, claiming that “Megapolis-Ukraine” was founded by the Russian company “Megapolis” and “family” of Yanukovych. In 2014, “Metropolis” received from its activities a 1.2 billion net profit. The owner Kesaev, a well – known manufacturer of weapons for the Russian Armed Forces.

As discovered by reporters, the company “Philip Morris Ukraine”, “JT international Ukraine”, “Imperial tobacco Production Ukraine”, “TK”..T.- Pryluky”, which account for 99% of made in Ukraine tobacco products, became shareholders of “Metropolis” and thus the tobacco market there was “cartel”. Japan Tobacco Inc (JTI) and Philip Morris International Inc. (PMI) acquired a 20% stake in the company. The Board of Directors of “Megapolis-Ukraine” is the former managing Director of “Philip Morris international Ukraine” Leo Patrick MacLachlan and his right-hand man Sergey Slipchenko.

In may 2016 the company “Megapolis-Ukraine” was renamed into LLC “TEDIS UKRAINE”.

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