Saint Petersburg: Another contractor sued for billions over Zenit Arena

source: Fontanka.ru / Kommersant.ru

Saint Petersburg: Another contractor sued for billions over Zenit Arena The notorious new stadium in Saint Petersburg will once more be the subject of legal dispute as the Construction Committee demands RUB 4.89 billion from its second contractor. The company, Metrostroi, sees the lawsuit as invalid.

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On June 20 the Arbitration Court of Saint Petersburg will host a preliminary hearing regarding fresh lawsuit filed in connection to the new stadium on Krestovskiy Ostrov. This time the Petersburg authorities stand against the stadium's second contractor, Metrostroi. The Construction Committee demands a whopping RUB 4.89 billion (€ 64 million) in damages for late delivery of the project.

Zenit Arena

Metrostroi was hired as the stadium's second general contractor in 2016, after the contract with Transstroi was terminated over numerous issues, from delays to financial irregularities and structural/design changes.

The public authorities demand funds from the contractor's guarantor, OFK Bank. However, for most of the delivered work guarantees have already ended. Even worse for the case, OFK Bank lost its license in April, following accusations for risky business practices and failure to comply with anti-money-laundering regulations.

The new battle with Metrostroi follows several lawsuits against the former contractor, Transstroi, which are still making their way through the courts.

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