Russia: Former Surgut officials detained for rigged auction fraud VIDEO

Investigators in Russia have opened a criminal case against a former deputy head of the city of Surgut and a senior municipal official accused of committing large-scale fraud, authorities say.

Russia’s Investigative Committee said ex-deputy mayor Vitaly Sharov and Alexey Dvornikov, director of the city administration’s property and land relations department, are suspected of fraud involving losses exceeding 120 million roubles (approximately $1.56 million), Caliber.Az reports per Russian media.

According to officials in the Khanty-Mansi autonomous region, the case relates to the alleged sale of municipal assets, including shares in the local Air Communications Agency.

Investigators claim that in 2023, the two officials organised what they describe as a sham auction for the agency’s shares. Authorities allege the suspects introduced a company controlled by an associate businessman as a participant, while creating conditions that prevented genuine competitors from taking part.

The investigation further claims the pair supplied inside information and assisted the company in winning the auction. The shares were allegedly sold at a significantly reduced price, causing financial damage to the city administration.

Sharov and Dvornikov were detained in June 2025 in connection with a separate case involving alleged abuse of office linked to the same asset sale. They remain in custody while the investigation continues.

Russian law enforcement agencies, including the Federal Security Service (FSB), were involved in the operation, investigators said.