Russia's largest mining company BitRiver founder transferred from house arrest to pre-trial detention on fraud charges

On July 30, according to Russian media bits.media, Igor Runets, founder of Russia's largest mining company BitRiver, has been transferred from house arrest to pre-trial detention by the Zamoskvoretsky Court in Moscow on suspicion of defrauding 100 million rubles. He will be held in custody for at least two months. The charges are based on Part 4 of Article 159 of the Criminal Code of the Russian Federation — "Fraud on a particularly large scale committed by an organized group." The investigation claims the case involves the supply of mining equipment, causing losses of nearly 100 million rubles to metallurgical and energy companies under the En+ Group. Investigators requested Runets' detention, citing the possibility of him influencing witnesses, and the court approved the request. Representatives of BitRiver and Runets' lawyer have not yet commented on the court's decision. The case's progress will depend on equipment appraisals and witness testimonies from En+. In February of this year, Russian law enforcement agencies suspected Runets of concealing assets to evade taxes. He was arrested and placed under house arrest on suspicion of tax evasion. BitRiver faces risks of bankruptcy and change of ownership. Its owner, Fox Group, has debts of approximately $9.2 million and insufficient assets to repay them, having filed for bankruptcy.