Inteco
Encyclopedia
Inteco is a Russia
n construction company, 99% of which is owned by Yelena Baturina
, Russia's richest woman and wife of former Moscow
city mayor, Yuriy Luzhkov
.
, Moscow's largest stadium, in 1995. This produced allegations of corruption since Baturina's husband, Yuriy Luzhkov
, became Moscow city mayor (1992–2010). Also in 1995 Inteco was awarded the contract to produce plates for Russkoe Bistro, a fastfood chain set up by Luzhkov and owned by Moscow city authorities. Later Inteco moved into the construction trade, despite Baturina stating that this would be a conflict of interests: "as the mayor’s wife I have to be very careful not to hurt my company’s reputation". Inteco became very successful and at one time produced 20% of all new buildings in the capital. Inteco have stated however that: "All tenders won by Inteko were awarded according to federal and municipal laws."
works (which accounted for a third of company revenues) and DSK-3, a producer of prefabricated buildings, for $1.1 billion. Evrotsement bought the concrete business for 3-5 times the going market price. PIK Group bought DSK-3. The reason for the sale was thought to be the impending end to Luzhkov's term in office.
On October 13, 2005, Inteco lawyer Dmitry Steinberg was shot at the entrance to his house. Baturina attended his funeral.
Russia
Russia or , officially known as both Russia and the Russian Federation , is a country in northern Eurasia. It is a federal semi-presidential republic, comprising 83 federal subjects...
n construction company, 99% of which is owned by Yelena Baturina
Yelena Baturina
Yelena Nikolayevna Baturina is a Russian oligarch, Russia's richest woman and the only Russian woman worth more than a billion dollars. She is the joint 993rd richest person in the world currently, after tumbling from a much higher wealth...
, Russia's richest woman and wife of former Moscow
Moscow
Moscow is the capital, the most populous city, and the most populous federal subject of Russia. The city is a major political, economic, cultural, scientific, religious, financial, educational, and transportation centre of Russia and the continent...
city mayor, Yuriy Luzhkov
Yuriy Luzhkov
Yury Mikhaylovich Luzhkov is a Russian politician who was the Mayor of Moscow from 1992 to 2010. He was also vice-chairman and one of the founders of the ruling United Russia party....
.
Early years
Inteco was founded by Baturina along with her brother Viktor Baturin, in 1991. Originally it was a plastics company. It was awarded the contract to produce seats for Luzhniki StadiumLuzhniki Stadium
The Grand Sports Arena of the Luzhniki Olympic Complex in Moscow, or briefly Luzhniki Stadium , is the biggest sports stadium in Russia. Its total seating capacity is 78,360 seats, all covered. The stadium is a part of the Luzhniki Olympic Complex, previously called the Central Lenin Stadium...
, Moscow's largest stadium, in 1995. This produced allegations of corruption since Baturina's husband, Yuriy Luzhkov
Yuriy Luzhkov
Yury Mikhaylovich Luzhkov is a Russian politician who was the Mayor of Moscow from 1992 to 2010. He was also vice-chairman and one of the founders of the ruling United Russia party....
, became Moscow city mayor (1992–2010). Also in 1995 Inteco was awarded the contract to produce plates for Russkoe Bistro, a fastfood chain set up by Luzhkov and owned by Moscow city authorities. Later Inteco moved into the construction trade, despite Baturina stating that this would be a conflict of interests: "as the mayor’s wife I have to be very careful not to hurt my company’s reputation". Inteco became very successful and at one time produced 20% of all new buildings in the capital. Inteco have stated however that: "All tenders won by Inteko were awarded according to federal and municipal laws."
Development
In 2005 Inteco sold its concreteConcrete
Concrete is a composite construction material, composed of cement and other cementitious materials such as fly ash and slag cement, aggregate , water and chemical admixtures.The word concrete comes from the Latin word...
works (which accounted for a third of company revenues) and DSK-3, a producer of prefabricated buildings, for $1.1 billion. Evrotsement bought the concrete business for 3-5 times the going market price. PIK Group bought DSK-3. The reason for the sale was thought to be the impending end to Luzhkov's term in office.
Baturin's legal action
In 2007 Viktor Baturin sued Inteco for $120 million due to alleged wrongful dismissal. He was fired in 2005 and his 1% share of the company bought by Inteco for $21 million. Baturin insists however that his share was in fact 25% - until it mysteriously disappeared in 2002 or 2003.Subject of violence
On October 9, 2005 executive director of Inteko-agro Alexander Annenkov was attacked by three assailants armed with axes. He survived.On October 13, 2005, Inteco lawyer Dmitry Steinberg was shot at the entrance to his house. Baturina attended his funeral.