Igor Runets must spend at least two months in pre-trial detention while the investigation continues. The businessman has been charged under Part 4 of Article 159 of the Russian Criminal Code – "fraud on an especially large scale committed by an organized group." According to the investigation, the case concerns the supply of mining equipment, which allegedly caused damage to the group of metallurgical and energy companies En+ of nearly 1 billion rubles.
Law enforcement requested Runets' transfer to pre-trial detention, citing the scale of the harm and concerns that the businessman could exert pressure on witnesses. The court agreed with the investigation's arguments and granted the petition. Representatives of BitRiver and the businessman's lawyers have not yet commented on the court's decision. The development of the case will depend on the results of equipment examinations and testimony from witnesses on behalf of En+.
In February, Russian law enforcement suspected Igor Runets of concealing assets that were supposed to be used to settle tax debts. For the alleged tax evasion, the businessman was detained and placed under house arrest.
The largest Russian mining company, BitRiver, is facing the threat of bankruptcy and a change of ownership. The debts of the "Fox" group, BitRiver's owner, are estimated at $9.2 million. "Fox" reportedly lacks sufficient funds and property to repay the debt, which became the basis for filing a bankruptcy application.
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