MOSCOW, October 29 (RAPSI) – The Second Cassation Court of General Jurisdiction will hear an appeal against sentence given to ex-deputy chief of the Federal Penitentiary Service (FSIN) Oleg Korshunov convicted of the 263-million-ruble (about $3.5 million at the current exchange rate) embezzlement on November 25, the court’s press service has told RAPSI.

In July 2019, Korshunov received the prison term and was fined 900,000 rubles (about $14,000). In addition, he was divested of his service grade and forbidden to hold public offices for 3 years.

The head of the state-run production company, the Industrial Production House of FSIN Russia Vitaly Morusov, an alleged accomplice of Korshunov, was sentenced to 5 years in a penal colony and fined 500,000 rubles;  he was also forbidden to hold managing positions in commercial organizations.

In April 2020, the Moscow City Court considered the defendant’s appeal against sentence and excluded from it a ban to take managing posts in federal bodies for 3 years and deprivation of his service grade. However, his 7-year jail term was upheld.

Investigators claimed that in 2015 Korshunov had conspired with CEO of Russian footwear company Datse Group, Smbat Arutyunyan, and the head of state-run production company FSIN Russia Vitaly Morusov. Allegedly, Korshunov ordered to use prisoner labor to manufacture footwear from cheap materials provided by Datse Group. Later, he allegedly facilitated signing of a state contract with FSIN Russia.

Korshunov and Morusov pleaded not guilty.

Korshunov was appointed to the post of FSIN deputy head in March 2014. He has been bestowed the rank of Full State Counsellor 2nd Class of the Russian Federation. In October 2017, President Vladimir Putin relieved him of the post.