‘KRASNY OKTYABR’ METALLURGICAL PLANT RECOGNIZED BANKRUPT

‘KRASNY OKTYABR’ METALLURGICAL PLANT RECOGNIZED BANKRUPT

‘KRASNY OKTYABR’ METALLURGICAL PLANT RECOGNIZED BANKRUPT
On August 10, the arbitration court of the Volgograd region declared Krasny Oktyabr JSC insolvent.  The bankruptcy proceedings were entrusted to the bankruptcy manager Sergei Ryabov.  The creditors took the initiative to declare the company bankrupt back in July, having issued an invoice for the company's debts for almost 228 million rubles.

One of the creditors of the metallurgical plant is the Krasny Oktyabr plant, which was declared insolvent back in November 2018.  Several years ago, it came up with the initiative to declare the bankruptcy of the plant of the same name due to a debt of 183.5 million rubles.  Then the lawsuit was filed by the manager Sergei Kharchenko.
The regional authorities associate the deplorable state of affairs at the Volgograd metallurgical enterprise with the last owner of the company, billionaire Dmitry Gerasimenko.
According to a number of sources, the sports functionary and basketball player has been actively withdrawing the company's financial assets for several years, hiding in Cyprus.  In addition, he was accused of stealing funds in the amount of $ 65 million received under a loan agreement with VTB Bank.

 Despite the attempt to restore the activities of Krasny Oktyabr, in July, its interim management was forced to admit that the organization was not able to pay off all the debts.  The plant owes money for heat, water, gas, lease of the production site and tax payments.
Already in May 2021, Pavel Pimenov, the former bankruptcy manager of the plant, and several of his accomplices fell under criminal punishment.
They were sentenced to fines and imprisonment, accused of embezzling more than 8.5 billion rubles.  The convicts committed the crime in 2014-2015.

13.08.2021