Auchan violations of trade law confirmed
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MOSCOW, February 9 - RAPSI. The Moscow District Federal Commercial Court dismissed appeals filed by Auchan and Atac to reverse the antimonopoly service's decision that the retail chain stores violated the trade law in relation to bread-baking plants.
Auchan and Atac requested the court to invalidate the decision and the order of the Federal Antimonopoly Service, which found in November 2010, that the companies were creating discriminatory conditions when concluding the treaties with bread-baking plants.
The service analyzed the contractual practice of the bread-baking plants, which increased prices in July and August 2010. It further said that the terms of contracts between plants and chain stores do not comply with the trade law. The watchdog also ordered Auchan and Atac to rectify these contractual arrangements in accordance with the law.
The Auchan international retail group was established in 1961 by Gerard Mulliez. It runs over 1,200 outlets in 13 countries. Auchan has operated in Russia since 2002, where it has 25 Auchan megastores, 13 Auchan City megastores, two Auchan Garden stores and two Raduga (Rainbow) stores as of June 2010.
ATAC comprises the Atac and Simply Market supermarket chains and is an Auchan subsidiary.