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SiberiaPromGroup, LNG formerly Military Construction Company, VSK

Company

Financial results
2021 year
Revenue: 3.3 millions Ths. rub
Net Profit: 0.0064 millions Ths. rub

Performance indicators

According to Kontur, the revenue of Sibirpromgruppe in 2021 amounted to 3.3 billion rubles, while the profit was only 6.4 million.

History

2024: CEO arrest

General Director of the Military Construction Company (VSK) Andrei Belkov was detained in Moscow on suspicion of abuse of office in the fulfillment of a state defense order. This became known on July 25, 2024 from a message on the website of the Tver court of the capital. Read more here

2022

Judicial review into non-payment of wages

Investigators of the TFR began a pre-investigation check after a message on social networks that the developer of the building of one of the buildings of the Irkutsk Oncological Dispensary owed workers a salary of 5 million rubles. This became known on December 30, 2022.

On December 30, a publication appeared on the Babr Mash Telegram channel that Sibirpromgroup workers had received less for their work than they should have for three months. As a result, a debt of 5 million rubles has accumulated. Read more here.

Renaming to SibirPromGroup

From March 14, 2022, the full name of the organization was changed from Military Construction Company JSC to SibirPromGroup JSC.

2020: Reorganisation

Until April 2020, the company was in the form of a limited liability company and was called the Military Construction Company. VSK LLC was liquidated on April 23, 2020, the successor was JSC Military Construction Company.

VSK LLC acted as the main contractor on orders placed by the Main Directorate for the Arrangement of Troops (associated with the Ministry of Defense of the Russian Federation). In addition, VSK LLC worked at several facilities in the Angara region - it built the initial block of school No. 75 in Irkutsk and built a modular building of a boarding school in Alygger, Nizhneudinsky district.[1]

2019: Decree of the President of the Russian Federation on the establishment of the company

In October 2019, the largest reform of the military-construction industry is being completed in Russia. In accordance with the presidential decree, the Ministry of Defense will become the founder of the new Military Construction Company (VSK), which will become the lead contractor for the construction of all military facilities. The new organization will replace eight FSUEs and three JSCs remaining in the Ministry of Defense after the liquidation of Spetsstroy. It will include not only construction organizations, but also manufacturers of building materials.

For many years, FSUEs and AOs involved in military construction demonstrated negative financial indicators and saved billions of dollars in debt. For 15 years, out of 250 commercial companies, about a dozen legal entities remained, unable to fulfill the tasks of the Ministry of Defense in full. As a result, it was decided not only to reorganize the construction division of the military department, but to create the only contractor in the construction sector of the state defense order.

For maximum protection, VSK will receive the status of a public law company (PPK), which excludes the commercial component when fulfilling orders from the Ministry of Defense. The lack of direct succession will avoid the burden of old debts, and the status of the PPK will not allow to impose a penalty on its property, or declare bankrupt in the future. Such a decision should allow the state to concentrate the most effective military-construction assets necessary to fulfill all contracts and service special facilities of the military department.

Notes