25.03.2010
YACONTO LLC continues the series of articles “The bug from Tuapse” and “Absurd lies of the Tuapse bug”, where it presents information that dispels lies and slander against YACONTO companies and its management. What could be the reason for posting such an amount of slanderous and deceitful information on www.tuapse.ru through the article “Expansion of exteriors” of 28.10.2007? Nobody would bother to invent and distribute such libel without a tempting reward. Therefore, there are people who act behind the scenes for a reason, and those who do not care about what they are doing. In the article “The bug from Tuapse” mentions a situation with a CD with hundreds of documents and materials concerning different activities of YACONTO companies and their structures. The “bug” knowingly misrepresents the information found on the CD in favor of the “customers” of this provocation, without worrying too much about legal liability for slander. Verbiage and permissiveness with which he interprets documents and materials of YACONTO prove this. But the hour of reckoning will eventually come to the “Tuapse bug”, and he will have to pay for deliberate misinformation in the article “Expansion of exteriors”. Everyone will be rewarded according to one's merits.
In order to sell production, whether its own or manufactured jointly with other companies, Firm YACONTO SE (registered in Moscow on 09.01.1991) established a subsidiary called Trade House YACONTO SE (registered in Moscow on 27.02.1991). This company acquired shares of a number of stock exchanges that were created in USSR in early 1990-s, and then continued their activities in Russia. In particular, on an auction held on 29.08.1991, Trade House YACONTO SE acquired the right to conduct brokerage activities on the “Russian Commodity Exchange” for 3.4 million rubles, which is confirmed by the Certificate of RCE JSC (out. №1049 of 09.09.1991). For reference, according to the official exchange rate of the Bank of Russia, $1 was equal to 60 kopecks (0.6 ruble). The purchasing power of the 1 U.S. dollar in 1991 was significantly higher than in 2009.
In 1991, YACONTO companies acquired shares of several other companies, which YACONTO LLC, as the full successor of YACONTO companies, continues to own to the present date. In particular, some of those companies were: “Moscow Joint-Stock Innovation Bank”, “Moscow Commodity Exchange”, “Moscow Exchange of non-ferrous metals” JSC, “Leningrad Stock Exchange” JSC, “Printex” JSC, “St. Petersburg Stock Exchange” JSC, “Asian Exchange” JSC, “Irkutsk Exchange Union” JSC, “Surgut commodity Exchange” JSC, “Far Eastern Trading Corporation” JSC, International Association “East European Co-operation and trade” and several other companies. Some of the said legal entities “survived” and, after re-registration, continue their business activities. Therefore, it is obscene and disgusting to “dig into someone else's underwear”, as the “Tuapse bug” does, despite having no reliable information and cynically distorts the facts in his provocative article.
It may sound strange, but market relations starter forming already in 1980-s in the USSR. And that’s while retail shelves lacked basic food and household goods of daily demand, and the state was the sole owner of all natural resources and wealth of the country. However, we must not forget that the vast majority of citizens were not ready for market conditions. They counted on efficient actions of the state leadership which, having declared the course towards perestroika, executed merely half-actions which led to economic decline and social upheaval.
If not for the events of August 1991, the country’s economy could take a “China scenario”. And it was real. But unlike China, our country had a strong technological base and a huge scientific potential, and was certainly able to achieve outstanding results within 10 years, reaching international standards of socio-economic development by 2000. There was no need to cast aside planned economy – it should have been merged into a single construction with market relations, ensuring widespread support for the development of private entrepreneurship, liberating prices for goods and services, keeping raw materials and price control for natural monopolies in the hands of the state. Besides, until 1992 there was no such bureaucratic tyranny, exorbitant corruption and irresponsibility of the officials before the state and society as today.
Coming back to the analysis of misinformation rhetoric of the “Tuapse bug” in his article “Expansion of exteriors”. There is no need to duplicate the text about in the SALUT JSC section of www.yaconto.com which (especially the Russian version) contains enough information and links to true documents and materials regarding the shares of VZRTA OJSC acquired by YACONTO companies. Let’s however focus on the facts and documents that the “bug” is deliberately distorting and misinterpreting.
In 1992 – 1993 Firm YACONTO SE and its affiliates invested colossal (at the time) material resources and money to establish one of the first production sites for manufacturing of electric motors, goods of plastic and nonferrous metals in the country, on the premises of the “Volgodonsk plant for radio-electronic equipment” (SC VZRTA). The state never supported YACONTO companies financially or administratively. When privatization of SC VZRTA started in 1993, Firm YACONTO LLP, which has already invested heavily in the enterprise, sent a request for acquisition of more than 35% of to the Russian State Committee for Antimonopoly Policy and Support of new Economic Structures (SCAP). Having reviewed the presented materials, the Russian SCAP supported this acquisition and issued to YACONTO the respective permission (out. № YD/5801 of 22.12.1993). In January 1994 Firm YACONTO LLP participated in a voucher auction where purchased 40.7% shares of VZRTA OJSC for 5000 vouchers.
For reference: YACONTO companies generally purchased vouchers in commercial banks of Moscow at bargain prices. In 1994 Firm YACONTO LLP bought more VZRTA OJSC stock from individuals and legal entities, thus accumulating more than 51%. The Reference from the Register of shareholders of VZRTA OJSC (out. №100/5 of 12.01.1995). In accordance with a law adopted in Russia, all big companies were to transfer the keeping of the registers of shareholders to entities, endowed with appropriate powers. As directed by the Board of Directors of VZRTA OJSC, maintenance of the register of shareholders has been transferred to the Volgodonsk Branch of Sberbank of Russia №7931. At the same time, Firm YACONTO LLP transferred its VZRTA OJSC stock (without the right to mortgage or sell) for trust management to its affiliate Concern YACONTO JSC. This decision is confirmed by the Excerpt from the Register of shareholders of VZRTA OJSC, prepared by the Securities and operations Division on 10.11.1996. Other affiliated structures of YACONTO also held shares in VZRTA OJSC (renamed into Salut JSC). The stock of Salut JSC they owned was later transferred to YACONTO LLC, which consecutively became an owner of 66124 shares of Salut JSC, which corresponded to 67.3% share. This is confirmed by the Excerpt from the Register of security owners of 07.12.2000, account №31891 in the new register manager “Rostovsky registrator” LLC.
Speaking of the production activities of Salut JSC – under the program of economic expansion, developed by YACONTO companies, Salut JSC, preserving the defense profile, should have been participating in the production of modern cost-saving induction motors on noiseless long-life bearings, developed by one of the defense construction departments, compressors based on advanced Western technology and electronic control units for household refrigerators and freezers (EBUH), as well as other products. The planned annual production volume of civilian goods amounted to more than 120 million U.S. dollars; 2 thousand jobs were planned. And that’s on top of contracts for defense and space industry, as well as joint manufacturing of modern high-quality consumer goods with one of the leading companies of South-Eastern Asia, in wide assortment and in quantities required by the consumer markets of the country. The implementation of the program of economic development of Salut JSC would have contributed to restoration of cooperation between defense/industrial enterprises and high-end science – the link that was deliberately destroyed by the opponents of Russia’s development.
This is one of the reasons why already in 1993 YACONTO companies started to conduct a very serious examination of the possibility to build a new major modern dry cargo and container seaport complex in a free economic zone, together with a new modern city on the Black Sea coast of Krasnodar Territory. This port was intended to provide uninterrupted transshipment to Volgodonsk city of sea-bound containers with spare parts and accessories for VZRTA OJSC coming from South-Eastern Asia. River-sea class vessels were to ship cargo to Volgodonsk through Azov sea and then Don river. This ensured the implementation of mutually beneficial long-term production programs jointly with foreign partners. Later, the name and range of goods for transshipment through the new Black Sea Trade Port have been corrected and supplemented by taking into account the future development of Atommash OJSC and the delivery of its products for export. Partial information is available on this website.
The “Tuapse bug”, having no information about the acquisition of Atommash stock by the YACONTO company and about dividends for the second half of 1993, nevertheless started screaming about that like a cheated peasant on a market. The reality was totally different. The reasons why Firm YACONTO LLP acquired Atommash OJSC shares were partially explained in the Letter of YACONTO LLC to the Russian President Vladimir Putin (out. №80116-1 of 16.01.2008), which was deliberately concealed from him. However, let us clarify a thing or two.
Firm YACONTO LLP legally purchased 168633 voting shares of Atommash OJSC on a Russia-wide voucher auction for vouchers which, in turn, the Company purchased in commercial banks of Moscow at bargain prices, just like in the VZRTA OJSC case. The notification from Atommash (out. №051-16 of 26.07.1994) implied an accrual of dividends for the second half of 1993 to YACONTO company. However, there were no dividends paid whatsoever, which is confirmed by the balance sheets of both companies.
Specific officials confidentially insisted that the management of YACONTO company does not get involved in the management, production and economic activity of Atommash OJSC throughout 1994. And that’s despite the alarming signals about the state of business on Atommash that we started receiving from summer of 1994. Possessing trustworthy information about the reason for the conflict between the President of Atommash Valentin Egorov and the General Director of Atommash Alexey Golovin, the management of YACONTO LLC was doing its best to reconcile the sides. In particular, invited by YACONTO, Egorov participated in a visit to the United Arab Emirates to meet the country’s business elite. The visit’s goal was to demonstrate to Mr. Egorov the real prospects opened by the economic partnership between Atommash and the business elite of the countries friendly to UAE, and primarily, of the Middle East.
Under the current legislation of the time, it was obligatory for a single legal entity to have an official permission of the Russian State Committee for Antimonopoly Policy (SCAP) to purchase more than 20% shares of Atommash OJSC. Hence, after Concern YACONTO JSC (registered in Moscow on 24.06.1996) received the positive resolution of SCAP regarding the purchase of 51% share in Atommash OJSC (out. №VB/1476 of 08.04.1997), Atommash stock previously acquired by individuals and legal entities friendly to Firm YACONTO LLP were re-registered to the Concern. According to the Excerpt from the Register of shareholders of Atommash taken on 24.04.1997, Concern YACONTO JSC owned 330213 shares of Atommash, which corresponded to 28.5% share in the company.
Broad prospects opened by the nuclear industry giant Atommash OJSC were never implemented because of the actions of corrupt officials who served the interests of the Organized crime group (OCG) of officials. The OCG members pursued other interests when they deliberately destroyed domestic industry, agriculture and science, undermining Russia’s defense and economic security. Sections Organization and Atommash of this website contain information supported by factual documents and materials that do not require comments from people who do not know the topic. Having said the above, we come to a conclusion that misinformation contained in the “Expansion of exteriors” article is a clear provocation, the purpose of which is to discredit YACONTO LLC and its leadership.