Senior officials at the company Russian Space Systems, a contractor to the Glonass project, are suspected of the signing fake contracts with commercial firms.© RIA Novosti. Maxim Bogodvid
MOSCOW, July 10 (RIA Novosti)
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Russian police have opened a criminal investigation into the alleged misuse of 565 million rubles ($17 million) of state funds set aside for the country's satellite navigation system.
The Interior Ministry's anti-corruption department has "unearthed facts of the unreasonable spending of 565 million rubles, earmarked by the state for the development of the space system Glonass," the body said in a press release on Tuesday.
Senior officials at the company Russian Space Systems, a contractor to the Glonass project, are suspected of the signing fake contracts with commercial firms.
Russian Space Systems has dismissed the accusations.
Its offices are currently being searched by police.
The firm was at the center of a public spat earlier this year after accusing the head of the state space agency Roscosmos, Vladimir Popovkin, of "illegal audits" and setting up "uncontrolled structures." Roscosmos then hit back, saying the allegations were part of a "media campaign" against Popovkin.
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The main event of the third day of the 11th meeting of the Valdai International Discussion Club in Sochi was the closing session with President Vladimir Putin. The atmosphere was calm and open, despite the current political tensions and the Russia-West confrontation. The Russian president said that it corresponded to the spirit of the Valdai Club.