Russian energy executive avoids prison in Nagornaya plant payment dispute

Yakov Girkin, the former director of Teploenergoremont Nizhny Novgorod, received a suspended sentence in 2025 for withholding payment from a design firm. The case centred on reconstruction work at the Nagornaya Combined Heat and Power Plant, where disputes over flawed designs and unpaid fees led to legal action. Girkin also testified in the trial of his former superior, Ilya Khalturin, the ex-chief of Teploenergo. The legal troubles began when Parsek, the firm hired to redesign the Nagornaya plant, delivered a flawed boiler layout. Girkin confirmed in court that the errors made installation impossible. Despite repeated requests, Parsek refused to fix the problems, leaving the project stalled.

Girkin was later prosecuted for failing to pay Parsek the full contracted amount. He argued that the withheld funds were justified due to the firm’s unresolved mistakes. During the same period, he testified against Ilya Khalturin, his former boss at Teploenergo, who faced separate charges.

Prosecutors claimed Khalturin had increased Girkin’s salary to cover legal expenses and influence his testimony. Girkin denied these allegations, insisting the pay rise was unrelated to the case. The court ultimately handed him a suspended sentence for the payment dispute. The ruling closes one chapter in a long-running dispute over the Nagornaya plant’s reconstruction. Girkin’s suspended sentence means he avoids immediate imprisonment, though the case highlights ongoing issues in contract enforcement and project oversight. The plant’s boiler remains non-functional due to the unresolved design flaws.