On Wednesday Russia’s competition watchdog said leading telecoms company MTS violated anti-monopoly legislation in raising the price of some mobile tariff plans well above inflation.
Prices for most goods and services rose sharply soon after Russia sent thousands of troops into Ukraine in February, sparking hefty Western sanctions.
Read More: Russia Opens Antitrust Probe Into Military Providers
The Federal Antimonopoly Service (FAS) said MTS would have to lower prices to economically justified levels and pay a fine, the size of which would be determined after an investigation.
“The adjustment of tariffs took into account the growth in costs of servicing telecoms infrastructure, which exceeds the growth of telecoms service revenues,” MTS said in a statement.
“The company will study the FAS’ arguments after receiving the official text of the decision.”
The FAS said MTS had raised the price of mobile services for more than 28 million subscribers by an average of 9.5%, basing this on a rise in its costs.
Read More: Russian Watchdog OKs Yandex-VK Internet Deal
Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.
