Judicial authorities of the Republic of Crimea recognized correctness of AT Consulting

Automation of the Crimean MFC

In November-December, 2015 the AT Consulting company (one of the main legal persons of the AT Consulting group) implemented an information system for MFC of the Republic of Crimea. The cost of the contract was 26 million rubles.

AT Consulting won the tender in fight against Systematics, IT, BFT and other companies, having reduced initial cost by 28%.

The Crimean MFC paid 26 million rubles for implementation of an information system

From November, 2015 to April 1, 2016 by means of the IT system implemented by AT Consulting 19,100 statements were adopted and processed, spoke in the company.

Bribe

After project completion the customer had claims to the performed works. The information system was not put into commercial operation, not integrated with other systems necessary for ensuring activity of MFC.

According to Investigative Committee, the employee of AT Consulting tried to settle these claims a bribe, but the head of MFC refused to take it, having said in police.

The prosecutor's office of the Crimea reported about it in April, 2016:

The representative of AT Consulting LLC offered the acting as the director of State Budgetary Institution RK "Mnogofunktsionalny center predostavleniya gosudarstvennykh i munitsipalnykh uslug" a bribe in the amount of 1 million rubles for failure from claim and claim work on a withdrawal of money for improper execution of agreement obligations of rendering service in upgrade and implementation of automated information system. These actions are qualified on signs of the crime provided by the Paragraph of Part 4 of Article 291 of the Criminal Code of the Russian Federation (bribery in a large size)

The prosecutor of the Crimea Natalya Poklonskaya in April, 2016 initiated proceedings about administrative offense against AT Consulting for the benefit of which the bribe, according to Part 1 of Article 19.28 of the Code of the Russian Federation on Administrative Offences was transferred (illegal remuneration on behalf of the legal entity).

AT Consulting did not admit the guilt. The lawyer of the contractor said in court that transfer of money to the representative of MFC was made not on behalf of the company and not in its interests.

The employee of AT Consulting claimed that he transferred money, without informing AT Consulting LLC as was afraid that the violations revealed under the agreement will affect his pit^[1].

Project effects

Term and penalties

On September 30, 2016 the employee of AT Consulting was sentenced to 3.5 years conditionally and a penalty of 1 million rubles for bribery in a large size (by Part 4 of Article 291 of the Criminal Code of the Russian Federation).

On March 31, 2017 the prosecutor's office of the Republic of Crimea reported that AT Consulting LLC paid a penalty of 2 million rubles^[2].

The managing director of AT Consulting Levan Vasadze reported to TAdviser that the employee condemned for a bribe is dismissed from the company and is not affiliated with it in any way.

As far as we know, at evidence he specified that he acted in the interests, - Vasadze added

AT Consulting, according to the company executive, considers administrative prosecution unreasonable and as of April, 2017 is engaged in the appeal of this solution.

Return of total cost of the contract

In parallel with trial on the case of a bribe in arbitration court of the Crimea the claim of republican MFC to AT Consulting LLC for recognition of the agreement on implementation of an information system was considered not by valid.

At signing of the contract in November, 2015 AT Consulting submitted the protocol of disagreements which excluded from the subject of the contract a condition on transfer to the customer of licensing rights on the software.

Besides, the technical specifications therefore quality, technical and functional characteristics of services considerably decreased were changed.

The court specified that based on tender the contract had to be signed on the conditions specified in the bid submitted by the participant of tender with which the contract, and in the tender documentation is signed.

44-FZ does not allow to make changes to the contract signed based on an open competition including by signing of the protocol of disagreements, said in court's decision.

Thus, the transaction between AT Consulting and MFC was nullified, and the judge decided that each of the parties is obliged to return another everything received according to the transaction.

Should return to MFC the software, and AT Consulting - 26 million rubles received under the contract with MFC and also 1 million rubles as interest for using someone else's money.

Prohibition on participation in state tenders

Restriction for work with state customers will become one more unpleasant effect of the Crimean trials for AT Consulting.

The amendments made to 44-FZ at the end of 2016 oblige customers to establish the requirement to contractors that they within two years until application for participation in purchase were not brought to the administrative responsibility for commission of administrative offense, the stipulated in Clause 19.28 Administrative Code.

Under this article in April, 2016 Natalya Poklonskaya initiated proceedings against AT Consulting.

Thus, if AT Consulting is not able to dispute the decision of the Crimean court on corruption offense, the company will be forced to refuse participation in tenders on 44-FZ within two years.

While the decision on administrative prosecution is appealed, other companies of AT Group will participate in tenders for a public sector, Levan Vasadze reported TAdviser

The AT Consulting company made responsible is one of two main legal persons of group, she is engaged mainly in development and deployment of information systems.

Since 2011 the company won 96 tenders in the state departments almost for 3 billion rubles.

The second legal person of group – AT Service company - also actively participates in state procurements, but specializes in deliveries of someone else's software, computing and network equipment.

Even if the decision on prosecution will not be appealed, for AT Consulting in a public sector not everything is lost, the interlocutor of TAdviser well familiar reads out from 44-FZ. The company will not be able to participate in tenders as the head contractor, but will be able on subcontracting though in this case it is necessary to offer a margin.

Other person, to replace AT Consulting, will need licenses and qualification on works which can not be, the interlocutor of TAdviser adds.

Judicial authorities of the Republic of Crimea recognized correctness of AT Consulting

The writ of appeal AT Consulting in the Supreme Court of the Republic of Crimea on the judge's ruling of the Central district court of the city of Simferopol on recognition of AT Consulting company guilty of commission of the administrative offense provided by Part 1 of Article 19.28. The Code of the Russian Federation on Administrative Offences, and attraction to administrative fine it is satisfied.

The specified resolution is repealed in May, 2017 due to the lack in actions of AT Consulting of structure of administrative offense, reported in the company on May 23, 2017.

The petition for appeal AT Consulting on the decision of Arbitration court of the Republic of Crimea on recognition invalid the agreement signed between AT Consulting and state budgetary institution of the Republic of Crimea "Multifunction center of providing the public and municipal services" (MFC) on application of effects of recognition of the transaction invalid, collecting from AT Consulting more than 26 million rubles (cost of works on the agreement) and interest for using someone else's money is also satisfied. The specified solution is cancelled.

Thus, judicial authorities of the region dismissed from AT Consulting charges of unfair actions at accomplishment of contractual commitments before MFC.

The system implemented by AT Consulting continues to function successfully, providing the automated support of processes of service of inhabitants of the region in MFC, added to the companies.

Notes