In February 2012, the procurement director, Mr. Sergei Shutov of Zio-Podolsk was arrested for buying low quality and cheap raw material, passing it off as more expensive grade and pocketing the difference. Another Russian court has convicted one Mr. Alexander Murach, Director of another notorious Russian company, Informtekh, for fraud and sentenced him to three years in prison for selling counterfeit measuring equipment for the Russian nuclear power plants' turbines.