MOSCOW, March 11 - RAPSI. The Moscow Commercial Court satisfied the claims of Oleg Deripaska's Glavmosstroy development company against the Moscow government on the termination of an investment contract on elite housing in central Moscow, the Russian Legal Information Agency (RAPSI/rapsinews.ru) reported from the court on Sunday.

The court ordered the Moscow government to pay 346.6 million rubles ($11.76 million) to Glavmosstroy.

The developer initially sought to recover 351.3 million rubles ($11.93 million), but the court reduced the amount of recovery.

Glavmosstroy told RAPSI that the August 2004 investment contract between Glavmosstroy and Inteco on the total reconstruction of seven blocks in central Moscow was the reason for the lawsuit.

According to the developer, the project failed as the Moscow authorities did not provide plots to build homes for the residents of houses subject to demolition..

"Nevertheless the company spent some 360 million rubles ($12.22 million) of its own funds to move part of the residents from rundown houses.

Founded in 1954, Glavmosstroy is the general contractor engaged in civil engineering and construction. It is a part of Glavstroy Holding of which Oleg Deripaska's Basic Element is the head company.