MOSCOW, December 2 - RAPSI, Natalia Belova. The court will continue hearing on January 18 a $155 million lawsuit filed by businessman Shalva Chigirinsky's ST Development against the Moscow government, the court told the Russian Legal Information Agency (RAPSI/rapsinews.com).
The lawsuit centers upon a contract for Rossiya hotel renovation signed in December 20, 2004 and an investment contract dated July 31, 2006.
The court continued to examine evidence on Thursday and then postponed the case until January.
In late 2004, ST Development won the bidding for the renovation of Moscow's Rossiya hotel built in 1967. However, one of the bidders affiliated with Evrofinance Mosnarbank successfully challenged the bidding results in commercial court in January 2007.
ST Development sued Moscow government in 2009 for 3.159 billion rubles ($102.4 million) in damages. The developer later increased its claim. The defendants in the case are the Moscow's Economic Policy And Development Department and the Finance Department.
ST Development, the project's major investor, started dismantling Rossiya hotel in February 2006. The developer planned to build a new multi-purpose complex designed by British architect Norman Foster. However, the company had to freeze the project after Chigirinsky faced serious financial troubles in 2008.