EU Imposes Fine on Two Railway Companies for Antitrust Violations

The European Commission imposed a fine on two railway companies for antitrust violations totaling €48.7 million. Czech and Austrian companies České dráhy and Österreichische Bundesbahnen (ÖBB) acted to limit competitor RegioJet’s market access. The railway transport news portal Railway Supply reports this, citing europeansting.

The European Commission fined railway companies České dráhy and Österreichische Bundesbahnen €48.7 million. These companies colluded to prevent competitor RegioJet from purchasing second-hand rail cars, impacting competition in the market.

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The investigation revealed that České dráhy and Österreichische Bundesbahnen coordinated to restrict RegioJet’s access to rail cars from 2012 to 2016. RegioJet, a competitor entering the long-distance passenger rail market in 2011, relied on second-hand cars to compete. However, these coordinated actions blocked their access, breaching EU antitrust rules.

Sanctions and Impact of the Fine on Two Railway Companies

The European Commission found České dráhy and Österreichische Bundesbahnen strategized the timing of rail car sales to prevent RegioJet from purchasing. Both companies exchanged confidential information about other bidders, hindering fair competition and breaching EU market regulations.

Österreichische Bundesbahnen’s cooperation with the Commission resulted in a 45% fine reduction, bringing its penalty to €16.7 million, while České dráhy paid the full €31.9 million. The collected fines support the EU budget, reducing taxpayer costs and funding critical EU projects.

Compensation and Whistleblower Protections

Companies and individuals harmed by anti-competitive practices may seek damages in EU courts. EU laws ensure that Commission decisions provide evidence in national courts, simplifying compensation claims. Additionally, victims of anti-competitive practices can use the EU’s Directive on antitrust damage compensation.

To protect whistleblowers, the European Commission created a tool enabling anonymous reporting of anticompetitive practices. This system secures informants’ confidentiality through encrypted messaging. More details about this case are available on the Commission’s official website.

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