Prosecutor General's Office visits Gosfilmofond to "to get acquainted" after change of leader
The prosecutor's office staff came to the organization with a planned check on January, 11. According to the Head of the State Film Fund, they did not seize any documents.
January 11 saw the Prosecutor General's Office conducting a scheduled inspection of the National Film Foundation of the Russian Federation (Gosfilmofond), the organization Head, Vyacheslav Telnov, told RBC. According to Telnov, the employees of the prosecutor's office came to the fund "to get acquainted" and did not carry out seizure of documents. The Head of Gosfilmofond called the visit of the representatives of the state department "an absolutely normal story".
Telnov, who helmed Gosfilmofond on January 10, said that two employees with the Prosecutor General's Office would work in the organization. He added that he was not aware of how they would work.
According to the publication, the Ministry of Culture is also conducting an inspection in Gosfilmofond. Earlier, an attempt of the Ministry's employees to check the economic activities of the organization drew fire from its acting CEO, Sergey Melnichuk. Melnichuk said that the representatives of the Ministry of Culture tried to study accounting documents for the past five years and demanded to open the offices closed on the day off. The acting CEO refused to comply with the requirements of the Ministry's staff, referring to the fact that Gosfilmofond was subordinate to the government, rather than to the Minister of Culture.
In late December 2017, 32 well-known Russian film producers and filmmakers, including Nikita Mikhalkov and Fyodor Bondarchuk, sent a letter to Russian Prime Minister Dmitry Medvedev, in which they asked to dismiss Nikolay Borodachev, the former Head of Gosfilmofond, and appoint Telnov to replace him. The reason for the appeal was a row between Borodachev and the filmmakers, who accused him of "categorical rejection of modern technologies", "financing expensive projects not related to the fulfillment of the main tasks of Gosfilmofond" and reluctance to build a constructive dialogue with the industry. Borodachev was removed from the post by Medvedev on January, 10.
Yesteryear, Gosfilmofond's revenues exceeded 1.4 billion rubles ($24.7 m). According to the organization's reports, its expenses amounted to about 719 million rubles ($12.6 m), and the net operating result was 696 million rubles ($12.2 m). In 2017 Gosfilmofond planned to receive about 835 million rubles ($14.7 m) in revenues, 622 million ($10.9 m) from the federal budget, and 213 million ($3.7 m) from rendering paid services. The expenditures planned for the year were estimated at 843 million rubles ($14.8 m).