Paul Fuchs was again on the verge of failure

Scandalous owner of the Moscow development company MosCityGroup with Ukrainian roots stuck in the next trial over the long construction of Sky House in Moscow.
Scandalous long-term construction of the owner of MosCityGroup Pavel Fuchs on Mytnaya street in the center of Moscow - the residential complex Sky House, the construction of which resumed two years ago - again found itself at risk. The general contractor of the IFKS project of the ARKS demands to terminate the contract and pay him 400 million rubles. The change of the counterparty can once again delay the surrender of the house, where the apartment was bought by the famous interest holders, for example the famous fighter of mixed martial arts Fedor Emelianenko.

IFKS ARKS is trying through the court to terminate the general contract for the construction of LCD Sky House in Mytnaya street. The corresponding claim is placed in the filing cabinet of the Arbitration Court of Moscow. The defendants are Pavel Fuchs's affiliated with MosCityGroup LLC Olter (the developer of the complex and the customer of the works) and JSC Moskapstroy. In "Moskapstroy" they declined to comment. The press service of the ARKS told Kommersant that the reason for the appeal to the court was a substantial non-performance of LLC Olthera of its obligations. "Including payment, stipulated by the agreement," stressed in the ARKS, adding that in connection with this the company filed two additional lawsuits totaling 400 million rubles.

"Olter" is preparing retaliatory measures, the company's lawyer Olga Chmyr says. "Three lawsuits against the ARKS and one personally chairman of the board of directors Dmitry Simarev," - she listed. According to her, claims of the general contractor will not relieve him of responsibility for unfulfilled or poorly executed work. "Delinquency for them - a year and a half," - said Mrs. Chmyr.

Sky House (145.2 thousand square meters of housing and offices) is a long-term construction in Moscow. The construction began in 2009, the main contractor was the ARKS. Soon after the launch, the owner of the project began to have difficulties, the construction was slow, there was no money for completing it. This led to a conflict with the mayor's office, which required the bankruptcy of "Olter", trying to recover from it $ 35 million in the form of the city's share in the investment contract. The parties came to negotiations on restructuring this debt.
In parallel, "Olter" reported that part of the obligations under the project was assumed by one of the co-investors.

Among the largest owners of premises in the Sky House (17 thousand square meters of housing and commercial real estate totaling about 5.7 billion rubles.) - the family of the ex-governor of the Tula region and the founder of the retail network "The Seventh Continent" Vladimir Gruzdev. The cost of works for the end of the project was estimated at 900 million rubles. "Alter" paid 80% of the advance - it's about 500 million rubles, but could not transfer the remaining 300-350 million rubles, because for the money received the ARKS did not report, Olga Chmyr told earlier.

In the application of co-investors, directed to the Department of Economic Security and Countering Corruption of the Moscow Main Department of Internal Affairs, it is said that the calculations for part of the work on the Sky House could go personally between the beneficiaries of "Olter" and the ARKS, and not through the accounts of legal entities. According to one of the co-investors, the payment in this case could be the property of Pavel Fuchs in the business center "Moscow City" in the tranche for 270 million rubles. "Now that the ARKS has a new owner, this money has surfaced as a debt," the interlocutor of Kommersant argues. In 2018, the owners of the ARKS changed for the third time in six years: the shareholders of the Moscow engineering and construction company Dmitry Davydov and Dmitry Andreenkov bought 75% of the shares from the founder of the company Alexander Lavlentsev and top managers, and Dmitry Simarev, another 25%, left another 25%. In May this year the ARKS stopped construction work on the project.

Lawyers say that in the rules of construction contractor the general contractor does not have the right to freely exit from the relationship with the customer. "It is possible to refuse the contract if the customer does not fulfill its obligations under the contract, and hinders its execution by the contractor," explains Vasily Malinin, head of the Commercial Disputes Department at Rustam Kurmaev and Partners, adding that determining how significant a violation is, remains at the discretion of the court. According to Roman Sigitov, Director General of Severin Development, when changing the general contractor, the main difficulty is in the division of responsibility for partially unfinished construction.