Sarapul transport firms exposed for illegal fare-hiking cartel scheme
Three public transport companies in Sarapul, Udmurtia, have been found guilty of forming a cartel to raise fares illegally. An investigation by the Udmurtia Office of the Federal Antimonopoly Service (UFAS) revealed that the firms coordinated price hikes in 2023 and 2024. The operators now face fines and orders to stop their anti-competitive behaviour.
The cartel involved Municipal Unitary Enterprise Sarapul Passenger Motor Transport Enterprise No. 1, Sarapul Trolleybus Enterprise, and Sarapul Electric Transport. These three providers simultaneously increased fares from 35 to 40 rubles in October 2024, followed by another rise to 45 rubles in January 2025. The UFAS determined that such coordinated moves could not occur by chance, confirming deliberate collusion.
Regulators have ordered the companies to halt their unlawful practices immediately. Officials involved may receive fines between 40,000 and 50,000 rubles or disqualification from their roles for one to three years. The legal entities themselves could be fined between 0.15% and 0.3% of their revenue from the affected market, with a minimum penalty of 100,000 rubles.
The UFAS ruling highlights the impact of the cartel on local commuters, who faced unjustified fare increases. The decision aims to restore fair competition in Sarapul's public transport sector.
The transport operators must now comply with the UFAS ruling and pay the imposed fines. The penalties serve as a warning against future price-fixing schemes in the region. Commuters in Sarapul can expect closer monitoring of fare adjustments moving forward.
