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Homes of Mirax Group managers searched, evidenced of fraud found - police

The co-owners of future housing invested over 5.7 billion rubles into the project

MOSCOW, May 23 (Itar-Tass) - The homes of current and former top managers of the company Potok8 (previously known as the Mirax Group) and its affiliates were searched on Thursday, the Interior Ministry’s press-center has told Itar-Tass.

“The homes of former and current top managers of the developer holding company Potok8, OOO Avanta and Concordia Asset Management in the elite compounds inside and outside Moscow were searched. Police operatives confiscated items and documents that may indicate the theft of deceived clients’ cash and its transfer to the accounts of offshore entities,” the Interior Ministry said.

The ministry’s spokesman has said that specialists from the Interior Ministry’s forensic experts center were invited to retrieve the necessary electronic information.

The economic security and anti-corruption department of the Interior Ministry and the Investigative Committee of Russia’s Interior Ministry, backed up by OMON riot police, held searches within the framework of the criminal investigation into the theft of 5.7 billion rubles from the co-investors into the Kutuzovskaya Milya residential compound construction project.

“According to information at the police disposal, Mirax Group - the main investor into the development of two residential compounds in the Western administrative district of Moscow, attracted in the capacity of co-investors and contractors two affiliated entities - OOO Avanta and Concordia Asset Management, which, for their part, concluded preliminary real estate purchase contracts with individuals,” the Interior Ministry said.

The co-owners of future housing invested over 5.7 billion rubles into the project.

“However, the obligation to build the residential compound were abused and the cash withdrawn from the project,” the Interior Ministry said. According to police sources, 200 individuals were defrauded of their savings.

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