RIA Novosti quoted Russia's antimonopoly regulator said Gazprom Neft has been found to have violated antitrust law.

The Federal Antimonopoly Service said the crude producer had abused its dominant position on the gasoline, jet fuel and diesel markets in the first half of 2009.

The FAS in a statement said that "The commission of the Federal Antimonopoly Service has declared Gazprom Neft guilty of violating Point 1 of Article 10 of the law on the protection of competition by abusing its dominant position on the market."

According to the FAS, Gazprom Neft withdrew products from the market to increase prices creating discriminatory conditions for some petrochemical dealers.

The regulator warned that Gazprom Neft would have to pay a fine equivalent from 1% to 15% of its 2008 sales and said it would take the company's earlier violations into account.

The company said it would contest the regulator's decision. Ms Yelena Ilyukhina deputy CEO of Gazprom Neft said "The decision by the FAS showed once again a lack of transparent rules that could be clear to all market players."

Gazprom Neft, Russia's fifth largest crude producer posted a 5.8% decrease in oil output to 30.8 million tonnes last year.

(Sourced from RIA Novosti)