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The Supreme Court of the Russian Federation has ruled in favor of the State in a claim against JSC “IZTS”, LLC “Tekhinvest”, LLC “Investproekt”, and several individuals, ordering the recovery of shares in OJSC “Ivanovo Heavy Machine Tool Plant”, JSC “IZTS”, and JSC “Stanki i Instrument” into State ownership.

During the proceedings, the Court established that in December 1992, the Property Management Committee of the Ivanovo Region Administration resolved to convert the Ivanovo Heavy Machine Tool Plant—which holds strategic significance for the country's defense and security—into a joint-stock company and approved its privatization plan, after which the enterprise’s assets were transferred to its charter capital.

In the absence of the required decision from the Government of the Russian Federation, these actions concerning the disposal of State property were undertaken in excess of authority. As a result, the property was unlawfully removed from the possession of the Russian Federation.

The Judicial Chamber for Economic Disputes overturned the rulings of the appellate and cassation courts and upheld the decision of the court of first instance.