Bbabo NET

Science & Technology News

The court confirmed the legality of the forced recovery of 7.2 billion rubles of a turnover fine from Google

On July 28, a Moscow court recognized as legal the forced collection of 7.2 billion rubles of a turnover fine by bailiffs from Google. A Google representative in court insisted that the bailiffs violated the company's rights and illegally collected a multi-billion dollar fine from its accounts.

“Having considered the arguments of the statement of claim, the court dismissed the Google representative’s claim against the Main Directorate of the Federal Bailiff Service of Russia to declare illegal the collection of a fine of more than 7.2 billion rubles from the company,” the representative of the court told the media.

At the end of December 2021, the court imposed a turnover fine on Google in the amount of 5% of revenue for 2020 (it turned out to be 7,221,916,235 rubles) for massive repeated violations of Russian law and failure to remove prohibited information on the orders of Roskomnadzor.

In February 2022, the court upheld this fine and dismissed Google's complaint about this decision.

In early May, Russian bailiffs began the process of enforcing a turnover fine of 7.2 billion rubles from Google, as well as 505 million rubles accrued as an enforcement fee, in accordance with the rules of the FSSP. Google's voluntary payment of the fine expired on March 19.

At the end of May, the FSSP collected a full turnover fine from Google and an enforcement fee, probably from the accounts of the Russian subsidiary of Google LLC.

On June 16, 2022, the Russian subsidiary of Google (Google LLC) filed for its own bankruptcy with the Moscow Arbitration Court. The reason for bankruptcy is sanctions and internal problems of the company in the country. Google explained that the seizure of the Google Russia bank account made it impossible for the Russian office to function, including retaining employees and paying workers in Russia, paying suppliers and contractors, and meeting other financial obligations.

On July 18, 2022, the Tagansky District Court of Moscow fined Google in case No. 05-1267/422/2022 for 21 billion 77 million 392 thousand 318 rubles 80 kopecks for repeated refusal to remove information prohibited in the Russian Federation. An administrative penalty was imposed under Part 5 of Article 13.41 of the Code of Administrative Offenses of the Russian Federation.

On July 22, the Moscow Arbitration Court postponed until September 12 the verification of the validity of the bankruptcy application of the Russian subsidiary of Google. Rosfinmonitoring was also involved in the case by a third party. According to a Google representative, at the moment, the amount of claims of the company's creditors is more than 19 billion rubles, while there are only 3.5 billion rubles in the accounts. Among the creditors are commercial organizations, the tax authority and employees of the company.

On July 26, 2022, the Federal Antimonopoly Service (FAS) of Russia fined the American company Google 2 billion rubles for violating antitrust laws due to the dominant position of YouTube.

Now it is unclear exactly how Google will pay the fine, since the American company, according to the sanctions of the US State Department, cannot transfer money to the state structures of the Russian Federation, and the Russian subsidiary of Google is in a state of bankruptcy and does not have enough money in its accounts.

The court confirmed the legality of the forced recovery of 7.2 billion rubles of a turnover fine from Google