Further Details of GLONASS Embezzlement Emerge

June 5, 2013
Photo by en.rian.ru

[The following article describes the latest developments in the investigation into the embezzlement of funds from the GLONASS satellite programme. Investigators have revealed that the management of a company affiliated by the programme are suspected of taking part in the theft, and the CEO of NPP Metromark Infosystems has been arrested—Ed.]

There have been new developments regarding the case of the alleged embezzlement of public funds allocated to research and development under the GLONASS program. Law enforcement officials have established that 15 million roubles [$460,000—Ed.] were embezzled, and the management of the NPP Metromark Infosystems, LLC could be responsible. The CEO has been arrested.

Last May, investigators from the Fourth Department of the Ministry of Interior opened a criminal case under Article 159, Part 4 of the Criminal Code (covering large scale fraud) regarding the embezzlement of funds allocated to the JSC Russian Space Systems under the GLONASS Federal Targeted Program (charged with the development and implementation of the global satellite navigation system for the purposes of social and economic development of the country and national security).

At the same time, Mrs. Vladimir Polishkarov and Evgeni Motorny, the former and the current directors of the Sinertech, LLC were detained and then arrested upon an order by the Zamoskvoretsky District Court for the City of Moscow. According to investigators, both individuals while in charge of the company signed contracts to perform research and development work with commercial entities which did not have their own facilities, nor the specialists required to perform such work. Meanwhile, the funds to complete this work were transferred. In this way, the law enforcement officials believe, at least 85 million roubles [$2.6 million—Ed.] were embezzled.

It was also alleged that the investigation documents mention other companies, whose managers could have acted according to a similar scheme. Law enforcement officials reported on another company, NPP Metromark Infosystems, LLC. According to the preliminary information obtained by investigators, its management signed contracts under which at least 15 million roubles [$460,000—Ed.] were written off. The CEO of NPP Metromark Infosystems, LLC has been arrested, according to the police.