THE MONOPOLIST GENERAL AUTHORITY OF FOREIGN EMBASSIES’ SERVICE SET EXORBITANT SERVICE FEE

The Antimonopoly Committee of Ukraine fined the government establishment General authority of foreign embassies’ service in the person of the management of Inpredkadra a 470,855 hryvnas for the abuse of monopoly (dominant) position.

DP General authority of foreign embassies’ service was defined as a sole supplier of the services for maintenance and storage of workers’ service records of foreign embassies within the city limits of Kyiv in accordance with the joint decree of the Ministry of Labour of Ukraine, the Ministry of Justice of Ukraine and the Ministry of Welfare of Ukraine №58 from 29.06.1993 “About the confirmation of The policy and procedure for workers’ service records maintenance”.

In the period from 2012 till October of 2016 the company was setting the exorbitant service fee for making an entry and storage of workers’ service records of foreign embassies, what would be impossible in the conditions of existence of significant competition in the market.

On 26th January, 2016 the AMCU granted the DP General authority of foreign embassies’ service compulsory recommendations with which compelled the company to set the fee in native currency at economically feasible level of each component of comprehensive services for “the filling of liable for military service citizens of Ukraine at work in foreign embassies” and “the filling of non-obliged citizens of Ukraine at work in foreign embassies”, and also to provide the possibility of the payment by foreign embassies only for those components they obtained in fact.

The company failed to implement the recommendations, so in accordance to it on 17/08/2016 started the case proceeding and on 13/12/2016 made a decision about the violation of the legislation on protection of the economic competition by the DP General authority of foreign embassies’ service was.

As the AMCU reports, as of the date of the decision the violation was stopped. The monopolist is given two months to pay the fine.

 

 

 

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