“LUKOIL-Nizhegorodnefteorgsynthez” did not challenge the FAS Russia’s decision and determination

“LUKOIL-Nizhegorodnefteorgsynthez” Ltd. made this statement at the hearing at the First Arbitration Appeal Court.
The Court confirmed that the group of persons of “Lukoil” OJSC, including “LUKOIL-Nizhegorodnefteorgsynthez” Ltd., violated the antimonopoly law on the wholesale markets of motor petrol, diesel fuel and aviation kerosene. The First Arbitration Appeal Court reversed the judgment of Nizhniy Novgorod Regional Arbitration Court in the part of invalidating the FAS Russia’s determination about imposing administrative charges upon “LUKOIL-Nizhegorodnefteorgsynthez” Ltd. for violating the antimonopoly law. Taking into account mitigating circumstances - voluntary measures on developing exchange trade and increasing the volume of oil products traded through the exchange, the Court decreased the fine to 1% of the company’s income in 2008 on the wholesale markets of motor petrol, diesel fuel and aviation kerosene in the Russian Federation.
The FAS Russia’s determination on administrative liability of the subsidiary of “Lukoil” OJSC will come into effect when the ruling of the First Arbitration Appeal Court is prepared in full.
FAS Russia will control how “LUKOIL-Nizhegorodnefteorgsynthez” Ltd. executes the determination on the case and transfer the administrative fine – RUB 659,738,114. 96 – to the federal budget.
The decision and determination of the antimonopoly authority are also challenged by “LUKOIL-Perm’nefteorgsynthez” Ltd., “LUKOIL-UNP” Ltd. and “LUKOIL-Volgogradneftepererabotka” Ltd. Judicial proceedings on the claims filed by these companies have been suspended until the court ruling on the claim of upon “LUKOIL-Nizhegorodnefteorgsynthez” Ltd. comes into effect.
In the near future FAS Russia will file petitions to revive those cases. At the hearing in the 8th Arbitration Appeal Court “TNK-BP Holding” OJSC withdrew its claim in the part on invalidating the decision and determination of the Antimonopoly Service that the company had abused market dominance on the wholesale market of petrochemicals.
Upon a petition of “TNK-BP Holding” OJSC the Court also ruled to reduce the fine to 1% of the income gained by the company on the wholesale markets of motor petrol and aviation kerosene in the Russian Federation in 2009, or RUB 1,170,872,049.