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Aktau tablet plant plays off Chinese devices as Kazakhstan-made

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Kazakhstan's tablets-producing plant based in Aktau city in the country's west has been buying Chinese devices and passing them off as its own, Lada writes citing the Department for Countering Economic and Corruption Crimes (financial police) of Mangistau Oblast.

The financial police has finished investigating a criminal case against a former head of Caspiy joint venture and the current head of JX Company and Caspiy Electronics who are charged with appropriation of a 75-percent stake in Caspiy Electronics worth 600 million tenge ($4 million).

The police found out that the project was initially created as a scheme to fraud on the Kazakhstan government under the guise of creating the first plant producing tablet PCs in Kazakhstan. The plan was to produce around 67 thousand tablets, 40 thousand TV-sets and 43 thousand displays per year. The project was included into the State Program of Accelerated Industrial-Innovative Development. The plant was officially launched in December 2011 during a ceremony timed to the 20th anniversary of Kazakhstan’s independence.

The investigation revealed that the equipment allegedly purchased for 600 million tenge ($4 million) in fact cost 20 million tenge ($133 thousand). The equipment and its technical characteristics were not intended or suitable for production of tablets. “The investigators proved that no tablet PCs were produced with the use of this equipment. The fraudsters purchased around 1 thousand tablets in China for the total of 958 thousand tenge ($6 thousand). Those tables were demonstratively "assembled" when various commission arrived to make checks on the production process,” head of Mangistau Oblast financial police Berik Abilov said.

During the existence of the plant one thousand TV sets of Chinese brand Kontech were assembled at the plant. However, no profits from their sales have been registered.

The plant is located in Morport Aktau special economic zone and is exempt from customs duties and corporate tax.

The case has been transferred to court.


October 4 2013, 15:28

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