The manager of the Italian national rail network liable for infringing the principle of corporate separation by entering into a new market
By a recent decision ( SP127 Rete Ferroviaria Italian/Bluferries ) the Italian Competition Authority (ICA) finds that when the manager of the national rail network it entered into a new transport market without complying with the principle of corporate separation infringed Article 8 of the Act 287/1990. Article 8 of the Act 287/1990 refers to undertakings entrusted with the operation of services of general economic interest or operating in the market as a monopolist. It lays down the principle that these undertakings have to incorporate separate companies in order to trade on markets other than those on which they are entrusted with services of general economic interest or are awarded exclusive rights (Article 8.2-bis). Article 8.2 ter imposes on these undertakings the obligation of prior notification of the incorporation of the companies to the Italian Competition Authority. If they fail to comply with this obligation, the Authority shall impose a fine of up to 100 million lire