Kiev Appeals Court Rules Against Russia's Gazprom in Monopoly Abuse Fine Case

The Kiev Commercial Court of Appeal ruled on Wednesday against an appeal by Russian energy giant Gazprom disputing the forced recovery of a multibillion-dollar fine imposed over monopoly abuse charges.

KIEV (Sputnik) — Ukraine’s Antimonopoly Committee (AMC) imposed a $6.8-billion fine on Gazprom in January 2015 for allegedly violating antitrust rules. Gazprom challenged the fine in the Kiev Commercial Court. The case was struck out and subsequently an appeal was lodged in a higher court. The AMC then lodged a case for forced recovery of the fine. A Ukrainian court upheld this earlier this month.

"The court rules against Gazprom's appeal, the Kiev Economic Court decision remains in force," the judge said.

An appeal against the ruling may be lodged at the Supreme Economic Court of Ukraine, she added.

Ukrainian anti-trust authorities claim that the national oil and gas company Naftogaz had suffered an estimated $6 billion in damages as a result of Gazprom's abuse of its monopoly over gas transiting through the country. Gazprom called the move a pressure-applying tactic, stressing that it did not conduct any business in Ukraine, as it transferred its gas to Naftogaz at the Ukrainian-Russian border.

Moscow has repeatedly voiced concerns over Ukraine's reliability as a key transit route. Russian Energy Minister Alexander Novak has stated that Russia will most likely stop gas supplies through Ukraine once the existing contract expires in 2019.

Gazprom, which fears that Ukraine may tap its gas from transit pipes in case its appeals fail, has been working on projects to construct offshore gas pipelines bypassing Ukraine.