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Russia introduces strict new antitrust law

Russian President Dmitriy Medvedev has signed into law amendments that will bring increased penalties for price collusion and unfair competition. The new amendments will allow the authorities to bring unscrupulous businessmen and bureaucrats to justice. Government officials will be subject to disqualification and sufficiently large fines if they will restrict the movement of goods across the country. Section 178 contains a very harsh sanction - up to six years imprisonment for committing a crime in the area of restriction of competition. This is unprecedented measure for Russia but it is unlikely to work because of corruption among bureaucrats at all levels of government.