MOSCOW, February 11 (AVN) -- Economy Minister Andrey Shapovaliyants suspended the production licenses of the Russian Avionics design bureau, specialising in modernisation of MIG-29 fighters, a source in the governmental administration told the Military News Agency.
According to the source the decision has been made after the ministry has studied the "information provided by the presidential chief control department." Shapovaliyants has decided to form a commission for further checks of the company's activities and suspend two of its licenses until the inspection is over.
Boris Bobkin, the bureau's director general has confirmed the information to the Agency. However he states that the presidential control department did not find any violations in the production activities of the company, which means that the decision of the minister does not have any legal grounds.
The bureau intends to seek justice in the court of law.
According to Bobkin, there is only one reason behind this matter - several foreign companies see Russian Avionics as a dangerous competitor.
The today's market of MIG-29 modernisation is three times bigger than that of the new aircraft, and is estimated at USD10bn the least. Our competitors want to remove us from this market, Bobkin went on.
This is not the first precedent already, the director stressed. Last time it involved the modernisation of MIG-21s when the competitors have managed to take over the orders for the total sum of USD1bn.