Moscow, Sep 18 (RIA Novosti) Russia has opened criminal cases against the top management of a company accused of providing low-quality equipment for MiG-29 fighter jets sold to Algeria, a media report said Friday.
Russia's business daily Kommersant said that Algeria has refused to accept the aircraft due to its 'inferior quality'.
Musail Ismailov, chief of the Aviaremsnab Company and his deputy Alexander Kutumov were convicted after investigators concluded that the company used forged certificates and tags on old equipment and sold it as new to the MiG Company.
Under the $14.3 million contract, Aviaremsnab was to supply MiG with new spare parts and equipment. The company received $1.7 million in advance payments for components made in 2005-2006, but received products manufactured between 1982 and 1996, with forged certificates.
Some of the parts were to be shipped to the Polish air force, and others were to be used in the 24 MiG fighters that Algeria later refused to accept due to their inferior quality.
The fraud, however, had been uncovered before the components were installed.
Russian arms export monopoly Rosoboronexport signed a $1.3 billion contract to deliver 28 one-seat MiG-29SMT fighters and six two-seat MiG-29UB combat trainers to Algeria in March 2006 as part of an $8 billion military cooperation agreement.