‘This builder took out a rather large bank loan. So large, in fact, that I’d rather not even mention the sum itself. And now, without putting up anything at all, Akadem-Grad declares itself insolvent. I believe this case has to be investigated by the public prosecution authorities,’ Governor of Sverdlovsk Region Eduard Rossel said at the traditional monthly press conference in Yekaterinburg.

Akadem-Grad Developing Company placed its insolvency application with Sverdlovsk Region Arbitration Court. The company was involved in Green Valley multi-faceted area development project, which included putting up a 2,000-hectare-quarter of low-rise apartment buildings in the south-east of Berezovskiy. The quarter was expected to make a home for 80,000 people, with over 4 million square meters of worth of housing.