This week the State Duma received a letter from employees of United Engines…

This week, the State Duma received a letter from employees of United Engine Corporation (UEC) JSC about the destructive activities of the largest participant in the machine tool market, STAN LLC, for Russian industry. At the request of parliamentarians, the activities of this group will be audited by the Accounts Chamber and the Prosecutor General’s Office of the Russian Federation.

Three years ago, auditors already checked the efficiency of spending funds from the Industrial Development Fund. The STAN Group, which occupies about 50% of the domestic machine tool manufacturing market, received 70% of government funds to support the company’s activities. But as people say, “it’s not a horse’s food.” The Accounts Chamber noted in its report many months of delays in the supply of equipment to customers, and the lag behind the schedule for commissioning new industrial sites reached 2.5 years. Despite the fact that imported equipment was often issued under the guise of “Made in Russia”.

Since the beginning of 2022, arbitration courts across the country have registered about three dozens of lawsuits against Stan. The claims of the counterparties are almost identical: in some cases, machine tool builders received multimillion-dollar advances, but the equipment was not delivered, in others, it turned out to be inoperable and was not put into operation, and thirdly, STAN received components and materials from partners, but did not pay for them . Currently, the group’s debts amount to several billion rubles.

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JSC United Engine Corporation (UEC) filed claims with the Arbitration Courts under several contracts with STAN LLC, for some of which delivery delays reached more than 1,700 days. By decision of the courts, STAN LLC must pay large penalties.

The Russian Forbes published an article about the co-owner of the STAN group, Sergei Nedoroslev, which clearly states that large government orders provide Mr. Nedoroslev with connections in government circles. In particular, the name of Denis Manturov was mentioned. Numerous complaints, the results of the previous audit of the Accounts Chamber, decisions of the Arbitration Courts magically all this time remained unattended by officials, and the STAN group continued to receive state support. This time, the inspections of the STAN group by the Prosecutor General’s Office and the Accounts Chamber are unlikely to be shelved.