As of April 1 2010 the Investigating Committee attached to the Ministry of Internal Affaires of the Russian Federation has discharged the criminal case №290823 against the management of JSC “Togliattiazot” by virtue of sec.2 p.1 art.24 of the Code of Criminal Procedure of the Russian Federation, i.e. for the lack of elements of crime in effect by Vladimir Makhlay and Alexander Makarov. The decree is read as follows: “1. The criminal case №290823 is to be discharged by virtue of sec.2 p.1 art.24 of the Code of Criminal Procedure of the Russian Federation, i.e. for the lack of elements of crime in effect by V. Makhlay and A. Makarov. 2. The criminal prosecution to V. Makhlay and A. Makarov is to be discharged by virtue of p.3 art.24, sec.2 p.1 art.27 of the Code of Criminal Procedure of the Russian Federation, i.e. with a view to the criminal case dismission. 3. The judicial restraint in the form of detention with respect to V. Makhlay and A. Makarov is to be quashed. 4. The right of V. Makhlay and A. Makarov to rehabilitation is to be acknowledged with having clarified the procedure for indemnification. 5. V. Makhlay and A. Makarov are to be notified of the decisions adopted having clarified the order of appeal. 6. A copy of the present decree is to be forwarded to Deputy Procurator General of the Russian Federation.” Thus the lasting criminal prosecution to Vladimir Makhlay, the Chairman of the management board of JSC “Togliattiazot”, and to Alexander Makarov, the General Manager of JSC “Togliattiazot”, was entirely discharged.

This criminal case was brought before the court on June 29 2005 based on alleged evasion of taxes (sec. “б” p.2 art.199 of the Criminal Code of the Russian Federation). Later in February 2006 the charges of larceny (p.4 art.159 of the Criminal Code of the Russian Federation) and laundering of funds and assets acquired due to commission of a crime (sec. “a” p.3 art.174-1 of the Criminal Code of the Russian Federation) were added to the case. A legal opinion of the Ministry of Internal Affaires of the Russian Federation on essential undercharge of Ammonia produced and exported by JSC “Togliattiazot” provided the ground for bringing the criminal case, whereas the suggestions of offences made during the 6.1 % of the JSC “Togliattiazot” shares privatization in 1996 caused the new charges.

As explained by the lawyer Sergey Zamoshkin: “The bringing of the criminal case was unjustified since the official report of the Ministry of Internal Affaires took as a charge basis on alleged violation of the tax legislation was denied by the numerous independent experts. On the contrary the experts verified that the Ammonia price for export was in well conformity with the market one and the taxes were paid in full.  Unfortunately it has taken long time and massive efforts for defense to prove the evident facts”.

The prosecution to the management of JSC “Togliattiazot” had been continuing for almost five years. It had obtained the broad public resonance through the work collective of the plant and the mass media who incriminated such prosecution as a part of the raider attack with intent to plant take-over. Struggling for plant the Togliattiazot workers held 37 protest actions in Moscow, Samara, Nizhniy Novgorod and Togliatti and forwarded about hundred of appeals to different authorities with demand to intervene into the situation and to ensure due process of law with respect to the plant management. Last year the Investigating Committee attached to the Ministry of Internal Affaires of the Russian Federation made Vladimir Makhlay and Alexander Makarov free from all other charges, including the charge of shares larceny, since after the lasting proceedings in arbitration courts, including the Superior Arbitration Court of Russia, the action for invalidation of purchase and sale of 6.1% of JSC “Togliattiazot” shares in 1996 brought by Federal Agency of Assets Management was disallowed.  At present the criminal prosecution to the management of JSC “Togliattiazot” is discharged and they are rehabilitated in full. According to Evgeny Korolev, the executive director of  JSC “Togliattiazot”: “Several thousands of workers of JSC “Togliattiazot” received with great pleasure the notice of prosecution discharge to Vladimir Nikolayevich Makhlay and Alexander Vladimirovich Makarov. All these long years of the organized hunting for our managers the Togliattiazot workers had been struggling for their reputation, for truth and justice, for honor and dignity of the plant.  We had faith in winning and that faith was invigorating to overcome difficulties and not to lose our hearts. Now we can concentrate on creative work, on pursuing the goals which are set by the president of corporation - Vladimir Nikolayevich Makhlay”.