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Court sanctions arrest of Defense Ministry official within Oboronservis case

A two-month custody was selected as the measure of restraint for Nikolai Ryabykh

MOSCOW, January 16 (Itar-Tass) — Moscow's Khamovniki court has sanctioned the arrest of head of the Defense Ministry's economic department Nikolai Ryabykh within the Oboronservis case.

"The Court met the investigator's petition to select a two-month custody as the measure of restraint for Ryabykh," the court's press service told Itar-Tass.

Earlier, the main military investigation department /GVSU/ of the Investigative Committee /SK/ opened nine criminal cases over fraud involving at least 14 real estate facilities that belonged to the Oboronservis company subordinate to the Defense Ministry.

They were pooled in one case and are being investigated under the articles on fraud and exceeding and abusing authority.

Defense Ministry officials selected the most liquid and prestigious assets belonging to the Ministry, including Moscow-based property. As a rule, tremendous budget funds were injected into the property before it was sold at understated prices to commercial bodies affiliated with Oboronservis, the SK reported earlier.

Also, many facilities were purchased with the money stolen from Oboronservis.

The damage within the case is estimated at over four billion roubles.

Former head of the "Expert" legal support center Yekaterina Smetanova and her husband, former director general of a Moscow Military District warehouse Maxim Zakutailo are in custody on charges of fraud.

Former director of the Defense Ministry’s property department Yevgenia Vasilyeva is under house arrest. Former Defense Minister Anatoly Serdyukov has been questioned as a witness.

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