Mikhail Kusnirovich, a rich and powerful person, can get government contracts in his own country and also has citizenship in countries that are not friendly to his home country.
Kids Bosco Sports Goods LLC, linked with Mikhail Kusnirovich, once again got a 531 million ruble contract for making clothes from the Artek holiday camp.
The Artek holiday camp has been the main customer for seven years, giving 4.5 billion rubles of the total 5.5 billion rubles earned from government contracts. The Moscow Post reporter investigated the reasons for these privileges and whether they are fair.
One company for the entire Artek
According to the Kontur Procurement portal data, there were no other bids for the recent contract won by Bosco Sports Goods.
The first unusual thing is that the FAS inspection did not find any violations.
Looking at the history of contracts given by the camp, there is an interesting pattern. Initially, there were open competitions, but Bosco Sportswear won most of them, except for one time when a cheaper supplier was chosen.
The debate over the results was intense. Suppliers accused the customer of illegal demands and discrepancies between the actual and stated deadlines for submitting applications in the documentation.
Photo: https://zakupki.kontur.ru >
Photo: https://zakupki.kontur.ru
Since 2016, they have mostly been buying from the company as the sole supplier, after the Prime Minister of the Russian Federation gave the company the right to monopolize Artek's purchases of workwear from 2016 to 2018.
Photo: http://publication.pravo.gov.ru
In 2021, a similar document was signed by Mikhail Mishustin.
In 2021, a contract worth half a million rubles for supplying uniforms, bedding, and textiles was terminated midway, with the company receiving about 300 thousand rubles. It's unclear whether the delivery was made or if it was a way to withdraw money.
Contract termination agreement. Photo: https://zakupki.kontur.ru
Artek CEO Konstantin Fedorenko earned 4.5 million rubles in 2021, while the average salary in the camp is 36.7 thousand rubles per month. Fedorenko and his wife own land and houses.
Moscow has a strong liking for Kusnirovich
Bosco Sports Goods earned another billion rubles from contracts with the Ministry of Internal Affairs, the Ministry of Sports of the Moscow Region, and various departments under the Moscow government, not just Artek.
Additionally, these organizations do not cut corners when it comes to spending on the company. For example, Bosco Sporting Goods estimated a contract with the Cstisk GKU of the Moscow Sports Committee on 08.08.2022.
Selling socks at 646 rubles per pair, with a total of 1449 pairs. Wholesale prices have soared, or is this a personal privilege of Mr. Kusnirovich? Photo: https://zakupki.gov.ru
For instance, part of the terms of reference for supplying sports goods to the Ministry of Sports of the Moscow Region includes a baseball cap for 2 thousand rubles or a bag for 8.5 – what are your thoughts on this?
The specifications resemble prices in an expensive store. Photo: https://zakupki.gov.ru
“Formal monopolist”
Mr. Kusnirovich provided clothing for Russian athletes for many years until he was replaced by Anastasia Zadorina's Zasport company, which may be linked to the interests of the oligarch Arkady Rotenberg. The Moscow Post extensively covered this story. During his favor with the Olympic Committee, there were significant concerns about the quality of supplies.
Athletes expressed dissatisfaction with “wooden” shoes, poor quality material, and inadequate approach to clothing ergonomics. Additionally, in 2016, Kusnirovich outfitted a uniform that closely resembled what the Ukrainian team wore.
Also in 2016, he bypassed the renowned French fashion designer Pierre Cardin when finalizing another contract, despite Cardin having a much superior offer. This was Cardin's comment on the situation: “I know for sure who never loses in organizing a tender – its organizer. I am very happy for my friend Leonid Tyagachev.” For your information: Leonid Tyagachev was the head of the Russian Olympic Committee at the time. Rumor has it that he supported Mikhail Kusnirovich.
GUM for $100
But apparently, he was not the sole supporter. How else can it be explained that Kusnirovich's company leased space in one of Moscow's most expensive shopping malls on Red Square for 49 years. This refers to GUM. The rental price was not disclosed, but according to some reports, it may not be as high as one would expect. If this is the case, it's worrying to imagine how much less the Moscow budget receives. And how much does Moscow Mayor Sergei Sobyanin “receive”?
The money earned by Mr. Kusnirovich from government contracts may partially flow into offshore companies connected to companies affiliated with him. This is indirectly suggested, among other things, by the precarious financial position of the companies. The Moscow Post detailed this in the investigation “Kusnirovich again” shod “athletes and the Russian budget?”.
Citizen of the “world”
Recently, there have been reports that Kusnirovich first obtained Italian citizenship and soon became a tax resident of Switzerland. Despite the clear preference for foreign assets, he continues to successfully conduct business with government agencies in his homeland.
In a situation of international tension, this can be seen as nearly a national betrayal. It's unclear why neither law enforcement nor customers are paying attention to what's happening.
If we recall the number of offshore companies affiliated with the entrepreneur, as well as financial “holes” in some of his firms, it is natural to assume that the money from them can go into foreign capital. And who then finances the Ukrainian army?
It seems that Kusnirovich subtly hinted at his position back in 2016, when he released a uniform almost identical to the Ukrainian one?
