Municipal Assembly of Deputies of Miass, Chelyabinsk Region, has been drawing up their response to the application placed by the employees of Basalt CJSC concerning the competence of the mayor to interfere in the business activity of a private enterprise, appear for another private enterprise, and accept remuneration for it.

At the beginning of June, the General Director of Basalt CJSC Gennady Brekhov warned the shareholders about the possible takeover of the company by Fenox, their German-Belarussian rival. The other local producers of car parts supported his apprehensions.

According to Mr Brekhov, Fenox went so far as to exert pressure on the shareholders. Moreover, Mr Brekhov believes that the mayor V. Ardabievskiy has been helping their rival to do so. Miass entrepreneurs appealed to the town council and the deputy assemble asking for protection.

Some Basalt employees then sent letters to the assembly and the circuit attorney demanding to declare whether the law allows the mayor to interfere in the business activity of a private enterprise and appear for a business for money.

During the discussion, the deputies observed that these questions could be classed as rhetorical ones, and that it was the prerogative of the law-enforcement agencies rather than theirs to investigate the case. Yet the legitimacy committee of the assembly will have to write a response to the letter, to be agreed on during the next sitting.

According to the spokesperson for the local legislative body, the mayor Mr Ardabievskiy declared to the assembly that the application of Mr Brekhov concerning the alleged fraud with the corporate shares was considered by the public prosecution authorities and dismissed, so no criminal action should follow.