Saturday, February 24, 2018

Stankomash embezzlement investigation dismissed

The decision by investigative authorities to suspend investigations the alleged $2.86 million embezzlement at Stankomash has been dismissed because of a lack of suspects.

The Department of the General Prosecutor's Office in the Ural Federal District reported in January that a criminal case was initiated against the former Stankomash heads on charges of alleged financial fraud, reports.

The prosecutor's office alleged that a plot by former top managers at Stankomash that utilized a fraudulent supply contract resulted in an approximately $2.8 million loss for a South Ural enterprise.

Prior to the Department of the General Prosecutor's Office's report, a complaint was received by Chelyabinsk Region law enforcement authorities stemming from their alleged failure to investigate the multi-million damage to the state-run enterprise, reports.

Stankomash has been in operation since 1935, producing mine clearing devices, target complexes, air missiles and shells for anti-aircraft systems and air forces. Additionally, it manufactures oil development and gas producing equipment. Stankomash employs more than 2,000 people.