BGP Litigation senior associate Denis Savin speaks with Kommersant FM about the dispute between the Federal Tax Service and Konstantin Ponomarev over non-payment of the record sum of RUB 4.5 billion in taxes

"The case on the additional tax levied on Ponomarev is nearing its conclusion, says Denis Savin, senior associate at BGP Litigation.

"The courts of general jurisdiction have taken a formalistic approach of sorts. There is a custodial agreement in place that doesn't envisage the transfer of title to the money to that individual, so there is no taxable asset.  But the companies that transferred the funds into custody no longer exist. Ownership of the money has passed to Ponomarev", he says. "It has been reported that law enforcement authorities have frozen the accounts of the former auditor. If they are still frozen to date, then of course the arrears could be recovered. If not, it could turn out that there simply isn't enough money in the accounts to pay the debts"". 

According to Denis Savin, there is a significant chance that the tax authorities will find their position supported by the courts. 

The full article (in Russian) is available here: "Спорные деньги".