VEB Leasing is requesting endorsement of a revised body of lenders and a system for payments concerning the Engels Locomotive Plant.
VEB Leasing intends to organize a fresh assembly of creditors for the Engels Locomotive Plant. As a creditor in the bankruptcy, the firm has presented an appeal to the insolvency supervisor, Alexey Panin, to schedule a creditors' session.
The items for discussion encompass the cessation of the committee's authority, the selection of a substitute committee, and the sanctioning of the method for either selling or settling ELZ's entitlements in relation to the First Locomotive Company. The gathering is slated for December 2.
The blueprint for the disposal of the insolvent’s holdings or the offset for ELZ’s dues from the First Locomotive Company was initially planned for ratification at the creditors' committee conference on November 11. Nevertheless, it was declared void.
The confrontation between VEB Leasing and the PLC creditors’ council has stretched across numerous years. In December 2024, the entity obstructed the auction of accounts receivable and dues totaling 9.5 billion rubles from the First Locomotive Company, a connected insolvent. VEB Leasing also dismissed proposals to discharge ELZ creditors’ obligations by receiving €24.5 million in dues from First Locomotive Company against its global partner, the German enterprise Alstom Transportation (formerly Bombardier Transportation).
Presently, the enterprise will endeavor to dissolve the powers of the creditors’ board altogether and institute a new one, which will be prompted to validate the approach for the transfer of those same accounts receivable.
The Engels Locomotive Plant and the First Locomotive Company engaged in joint ventures within the Saratov Region. They outlined strategies to commence production of advanced dual-system locomotives capable of functioning on both direct and alternating current. The project was underwritten by the state corporation VEB.RF. However, irrespective of prosperous testing of the initial prototypes, the novel design did not garner the attention of Russian Railways and was not initiated into manufacturing. The venture was designed for export, predominantly to Ukrainian clientele, but the political climate thwarted these strategies, and both associates became insolvent.
The Engels Locomotive Plant constituted a portion of the commercial interests of magnate Stanislav Gamzalov, who already possessed railcar construction facilities in Engels and Balakovo. The Engels Locomotive Plant manufacturing location, along with its full suite of machinery, was auctioned in January 2023 for 2.8 billion rubles. The asset was maintained as collateral by VEB Leasing. It was procured by Inter Cargo Company, also, as it happens, connected to Gamzalov.
At present, the entrepreneur has instigated a fresh undertaking in proximity to the derelict locomotive facility, forming a corporation termed Industrial Technologies of the Volga Region. A tract of terrain contiguous to the ELZ has been designated for the novel production edifice. The director of the regional Ministry of Construction, Mikhail Butylkin, sanctioned revisions to the SEZ’s land utilization scheme via mandate on November 10 of the current year. The workshop’s building footprint will approximate 30,000 square meters.
The plant is projected to generate wheel units and braking apparatus, 1,200 and 500 pieces each month, correspondingly. The novel facility’s smelting competence is foreseen to attain 35,000 tons of molten metal yearly, resulting in up to 4,000 substantial railcar castings and as many as 12,000 medium-sized castings on an annual basis. The declared outlay in the initiative is 5 billion rubles. The refurbished plant has been appointed an occupant of the Almaz special economic sphere, bestowing upon it tax easements.
Concurrently, the insolvency proceedings against PLC have reached their concluding resolution. Per the pronouncement of the Arbitration Court of the Saratov Region issued on July 15, 2025, the bankruptcy operations against the enterprise were concluded. According to the registry, the firm’s creditors’ petitions totaled 9.9 billion rubles. During the insolvency procedures, third-priority claims aggregating 79.5 million were addressed. It was unattainable to impose responsibility upon the overseas project stakeholder, Alstom Transportation, for secondary obligation. The administrator submitted the debtor’s liquidation balance sheet to the revenue service.
BV Reference: JSC VEB-Leasing constitutes a comprehensive leasing organization presenting machinery, premises, and vehicles for monetary leasing arrangements. The enterprise was incorporated in 2003 and assimilated into the state-held corporation VEB.RF in 2008. The most current openly accessible fiscal outcomes for VEB-Leasing pertain to 2023, when its earnings totaled 1.6 billion rubles, although its net deficit was 14.8 billion.
