MOSCOW, March 21 - RAPSI. The Moscow Commercial Court has ordered the Beriev Aircraft Company to pay the Defense Ministry $2.5 million for delivering aircraft repair works behind schedule.
The ministry entered into a contract to repair four aircraft, but the company failed to complete the work on time.
The company admitted to the delay, but said the ministry was also late in bringing the aircraft for repair.
The court satisfied the plaintiff's claims only partially. The ministry sought as much as 173 million rubles ($5.9 million) in penalties and interest payable under the government contract.
The company asked the court to hear the case behind closed doors, citing the confidentiality required by the contract. The court has, nevertheless, decided to hold public proceedings.
The Beriev Aircraft Company, formerly known as the Georgy Beriev Taganrog Aviation Science and Technology Complex, was established in 1934. It develops aircraft and prototypes, performs test and certification flights, adopts new aircraft for mass production and manufactures aircraft for a variety of purposes. Now, it is working on new-generation amphibian crafts.