On Apr. 2, POL UOK clarified penalties for anti-competitive practices.
POL UOK clarified rules for imposing penalties for competition-restricting practices.
Follows Apr. 2020, clarifications published regarding fines for executives; see #83457.
Objectives of Guidance
Document to give detailed guidance about how penalties for violations are calculated.
The Antimonopoly Act specifies maximum fines and the general rules for determining fines, but new document seeks to increase transparency explaining the methodology.
Factors Behind Penalty Decision
The nature of the violation will be taken into account: its gravity, effects, and scale.
Most severe sanctions for collusion between competitors to elimination competition.
Other important factors include market structure, barriers to entry, effects of violation on the market, and importance of product for vulnerable customers and the economy.
Fine amount will also depend on duration of violation, ensuring it is proportionate.
Initial fine may increase or decrease by up to 50%, for example, due to cooperation.
Aggravating and extraordinary circumstances may also be taken into consideration.
More severe penalties can be avoided due to cooperation via the leniency programme.
