Appeal Court Tosses PPK VSK’s Subcontractor Suit

The Court of Appeal rejected the claim of PPK "VSK" against the subcontractor

The Court of Appeal rejected the claim of PPK “VSK” against the subcontractor

The Ninth Arbitration Appellate Court denied the appeal made by PPK «Military Construction Company» (PPK «VSK», Moscow). The plaintiff failed to recoup a penalty from LLC «Zapsibgazprom-Gazification» (Tyumen). The sum of claims amounted to 73 million rubles.

The reasoned decision is not yet accessible, according to the database of arbitration cases.

The disagreement concerns a project situated in the Moscow region. The investment volume reaches 2.68 billion rubles. The Ministry of Defense engaged PPK «VSK» in the execution of the project. The latter concluded a subcontract agreement with a firm from Tyumen.

«Zapsibgazprom-Gazification» initially had to perform design and surveying services. The deadline – up to the close of December 2022 – the organization did not meet. However, in the initial court proceedings, the respondent managed to establish that the difficulties arose due to the culpability of PPK «VSK». It’s worth noting that the subcontractor also had an obligation to finish the facility’s construction by August 2024.

It should be clarified that the conflicting sides are still involved in numerous legal battles involving billions of rubles. Against the backdrop of these proceedings, PPK «VSK» became implicated in a corruption scandal in the Middle Urals.

According to «Kontur.Focus,« «Zapsibgazprom-Gasification» represents a division of PJSC «Zapsibgazprom» (Tyumen), possibly linked to former Deputy Minister of Defense Timur Ivanov. The main proprietor of the parent company is GC «Metropol» (Moscow), reported «Pravda UrFO». The publication mentioned the challenging financial standing of the entity,  a dispute with personnel.

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