The Economic court in Kyiv has delivered a judgment to collect 29.32 million rubles in penalty fees and 1.62 million rubles in forfeit penalties under the contract for executing development works on An-70 aircraft from Russian Defense Ministry in favor of Antonov State Enterprise.

The corresponding judgment was delivered on August 11, 2014 due to a lawsuit by Deputy Prosecutor of the central region of Ukraine monitoring compliance with laws in military sector on behalf of Industrial Policy Ministry and Antonov State Enterprise.

According to papers of the case, the defendant was absent and didn't explain the reason for the violations. However, the defendant can dispute the decision in the court of appeals.

The initial contract was concluded in May 1989 between a military base and enterprise of the Soviet Aviation Industry Ministry, which was legally succeed by the Russian Defense Ministry and Antonov State Enterprise.

According to papers of the case, from 2003 until 2012, 14 additional agreements were added to the contract. The additional agreement No. 9 dated November 2010 states that the price for one of the stages of work with the deadline on November 2012 is 162 million rubles, but Russian Defense Ministry failed to pay for this stage within the established deadline.

According to the contract, penalty fee amounted to 0.1% of the price for executed stage. And in case of a 15-day delay forfeit penalty worth 1% of the price is added.