Ukraine's Antimonopoly Committee has fined Tedis Ukraine (earlier Megapolis-Ukraine), a large tobacco distributor in Ukraine, some UAH 431.2 million.

The press service of the committee reported that a fine of UAH 429.307 million was accrued for violation of legislation when the company set the prices at the level that could not have been set if competition on the cigarette distribution market existed. UAH 1.893 million was accrued for violation of legislation when the company partially refused selling goods and there were no other alternative sources to buy the goods.

Since August 2016, the committee heard over 30 applications and petitions from Tedis Ukraine LLC.

As reported, in April 2015 the Antimonopoly Committee recommended Megapolis-Ukraine LLC to stick to competition rules in supplies of cigarettes to retail outlets, in particular, when setting the markup. The committee also recommended four key Ukrainian cigarette manufacturers – Philip Morris Ukraine, JT International Ukraine, Imperial Tobacco Production Ukraine and Tobacco Company B.A.T.-Pryluky to refrain from actions of inactivity aimed at restricting access of other tobacco companies to the market.

In August 2016 the committee finished a probe into the situation on the wholesale tobacco market. The committee said that the number of cigarette distributors should be increased.

Antimonopoly Committee Head Yuriy Terentiev said that Tedis Ukraine links four largest tobacco producers with 40-50 wholesale entities and 80,000 retailers.

Tedis Ukraine created in 2011 as Megapolis-Ukraine was renamed Tedis Ukraine LLC in May 2016.