Kumtor spends $1.9 million on Heritage of Great Nomads Holding
Heritage of Great Nomads National Holding CJSC was financed at the expense of Kumtor Gold Company. Report of the Accounts Chamber on the results of the audit of the company’s work during the period of external management says.
It is noted that during the period of temporary external management, the company spent $1,908.8 million on the Holding.
Most of the expenses were the salaries paid to foreign ($1,148.3 million) and local ($407,600) workers.
The Holding is implementing 32 projects at the expense of Kumtor Gold Company CJSC, including: modernization of Avrora sanatorium, bottled water project, reconstruction of Karakol airport, modernization of Kapriz ski hotel and construction of a modern five-star hotel, a marble production plant, a hippodrome in Karakol and others.
«The decision to finance the projects at the expense of Kumtor Gold Company was made by the interim external manager Tengiz Bolturuk. The projects remained unrealized, thus the expenses had a negative impact on the financial activities of the CJSC and the sole shareholder — Kyrgyzaltyn OJSC. By law, an interim external manager is obliged to act exclusively in the interests of the company and effectively manage the company’s assets,» the Accounts Chamber noted.
The Cabinet of Ministers and Kyrgyzaltyn JSC are recommended to consider the economic feasibility of continuing the implementation of projects initiated by Heritage of Great Nomads National Holding CJSC. The Accounts Chamber advised Kumtor Gold Company CJSC to stop financing the Holding, draw up reconciliation acts and, based on the results, present the expenses incurred on projects in 2021-2022 for reimbursement to the Heritage of Great Nomads.
Tengiz Bolturuk and Ryspek Toktogulov were dismissed from all the positions they held. It was reported that the Prosecutor General’s Office began a detailed check. It resulted in three criminal cases with preliminary damage to the state of 1 billion soms. As a result, the former external manager of Kumtor was detained and placed in the remand center of the State Committee for National Security until March 10, 2023. Tengiz Bolturuk himself does not admit his guilt. He stated that all the accusations were false. His lawyer says that the accused is ready to cooperate with the investigation.
