The Supreme Court of Russia has granted the appeal of the Prosecutor General's Office and returned the shares of the "Ivanovo Heavy Machine Tool Plant" (IZTS), as well as related assets — JSC "Stanki i Instrument" and JSC "IZTS" — to state ownership.
The Judicial Collegium overturned the decisions of the appeal and cassation instances, upholding the verdict of the court of first instance, which recognized the seizure of the enterprise in favor of the state as lawful.
The court ruled that the assets of IZTS were illegally withdrawn from state ownership. The privatization plan for the enterprise in 1992 was approved without a government decision, although the plant was of strategic importance for the defense and security of the country.
The Prosecutor General's Office noted that production facilities were preserved thanks to the intervention of Rostec. Now the enterprise is once again under the control of the state corporation.
The Ivanovo Heavy Machine Tool Plant is one of the oldest enterprises in the industry, specializing in the production of machine tools for processing large-sized parts. Its equipment is used in the defense, aviation, and energy industries.
