Law enforcement authorities arrested the deputy governor of Russia’s southern Rostov region on charges of abuse of power, Russian media reported Monday.
Rostov region Deputy Governor Konstantin Rachalovsky is accused of directing state subsidies to companies he allegedly knew were financially distressed, leading to their bankruptcy and a loss of 155.2 million rubles ($1.7 million) from the regional budget, the RBC news outlet reported, citing the local FSB office.
He is at least the third Rostov region deputy governor to be arrested on abuse of power charges since November, when former United Aircraft Corporation CEO Yury Slyusar replaced Vasily Golubev as regional governor.
Slyusar announced Monday that he was appointing Alexei Gospodarev as first deputy governor but did not comment on Rachalovsky’s arrest.
Also on Monday, FSB agents arrested the region’s deputy minister for digital development on similar abuse of power charges related to an overpriced state contract for Russian-made office software, the state-run news agency TASS reported.
That report did not mention the official’s name. However, according to the Rostov region’s government website, the deputy minister for digital development is named Artem Khokhlov.
As part of Rachalovsky’s case, investigators searched the home of former deputy governor Viktor Goncharov, who also chairs the board of the investment promotion agency Regional Development Corporation, according to RBC. It was not immediately clear if Goncharov was arrested.
Rachalovsky was appointed deputy governor for agriculture in September 2023, serving under then-governor Golubev.
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