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29 January 2025

General Prosecutor's Office Sues Domodedovo Airport Beneficiaries

Legal action highlights privatization scrutiny and management issues at major Russian airport.

On January 29, 2025, the Russian General Prosecutor's Office initiated legal proceedings against companies belonging to the Domodedovo Airport group and its key beneficiary, Dmitry Kamenschik. This lawsuit, filed with the Arbitration Court of the Moscow Region, reflects continuing scrutiny over the privatization processes connected to the airport, which has faced legal challenges before.

According to court records, the lawsuit identifies approximately 30 companies involved in the management and operation of the airport. Notably, Valery Kogan, who heads the supervisory board of Domodedovo, is also named as a defendant. Details concerning the specific claims of the lawsuit have not been publicly disclosed, heightening speculation about potential violations related to the airport's longstanding privatization.

This recent legal action by the Prosecutor's Office follows vigilant investigations examining the privatization activities of the airport, which commenced decades ago during the tumult of the 1990s. The inspection's findings raised alarms about irregularities during the transfer of airport assets, prompting calls for accountability and transparency.

The history of legal challenges surrounding Domodedovo is not new. The airport's administration faced inquiries after the tragic terrorist attack in 2011, where 37 individuals lost their lives due to lapses identified during security checks. This incident accelerated discussions around the airport’s management practices, with calls for restructuring and increased government oversight.

Previously, there were hints of potential nationalization efforts to revamp the airport's management and address public safety concerns. The prospect of government acquisition was floated again after the terrorist attack, and the fallout from such discussions continues to shape the operational atmosphere around Domodedovo Airport.

Legal analysts suggest this latest lawsuit could be part of broader efforts by the Russian state to reclaim control over significant assets perceived to have been mismanaged or obtained improperly. The General Prosecutor's actions are aligned with recent trends, where multiple state assets, estimated over one trillion rubles, have transitioned back to either public ownership or undergone scrutiny under new government directives.

"The lawsuit was filed as part of the inspection process of the conduct of privatization events concerning Domodedovo Airport. The details of the document have not been disclosed yet," reported by Kommersant.

Experts point out the potential ramifications of this legal case not only for Domodedovo but also for the aviation sector at large. The airport is one of Russia's largest and serves as a hub for multiple domestic and foreign airlines, including S7 Airlines and Emirates. Shifts in control or management could have far-reaching effects on operational protocols, customer safety measures, and overall service standards.

The defendants, including Kamenschik, have yet to release detailed comments on the lawsuit. Notably, Kamenschik faced legal heat previously after the 2011 attack, where he was accused of negligence. Although the investigations concluded with no charges against him, the shadow of those events continues to loom large over his business practices.

This time again, the General Prosecutor’s actions raise questions about whether the airport will be held accountable for its past mismanagement or whether this will lead to more severe actions, potentially including asset forfeiture and control shifting directly to state management.

Overall, the development of this case will likely be followed closely not only by aviation stakeholders but also by regulatory bodies, who view such instances as significant tests of the integrity of Russian privatization law and governmental oversight.

With the increasing number of high-stakes cases revolving around privatization practices, the future of Domodedovo Airport might hinge on how effectively all parties navigate the legal maze set before them. The decision on whether the state will reclaim previously privatized assets could set precedence for similarly situated cases throughout Russia.