On April 12, 2002, the Russian MOD (Naval Directorate of the Chief of Shipbuilding, Weapons, and Weapons Maintenance) signed a contract (#713/03/28/KN/0321-02) with Salyut Scientific Production Enterprise under which Salyut was to complete experimental design work “Rybets”. On September 25, 2010, the sides signed a Supplementary Agreement (#704/28/3/REV/D018/0115-10) which further defined certain stages and sub-stages of the state contract, to include:
Stage 9 – confirmation of the working design documentation in order to set up serial production of the 5N-30N; cost of this stage: RUB 1,672,654; work commencement: November 6, 2010; work conclusion: November 25, 2010
Stage 16 – confirmation of the working design documentation in order to set up serial production of the UN-30112; cost of this stage: RUB 1,670,858; work commencement: November 6, 2010; work conclusion: November 25, 2010
Stage 17 – confirmation of the working design documentation in order to set up serial production of the 511-3011; cost of this stage: RUB 1,170,858; work commencement: November 6, 2010; work conclusion: November 25, 2010
Prototypes of the 5P-30N (Fregat-N) and 5P-30N2 (Fregat-N2) radars, as well as the 5P-30P radar data processing system, were originally scheduled to be tested on Udaloy I-class destroyer “Vitse-Admiral Kulakov” in March-April 2010; however, due to an unanticipated issue with the ship’s hull that required dock repairs, the testing was delayed until November 25, 2010. Initial testing was completed on October 15, 2010, and the prototypes were handed over to the MOD for state testing on the same date. However, according to RF Navy Commander-in-Chief Decision #721/ОНК/5538 - “Preparing Project 1155 Large ASW Ship “Vitse-Admiral Kulakov” to Join the Permanent Ready Forces and Transfer to Its Homeport” (dated September 22, 2010), the destroyer was accepted before state testing and acceptance of the 5P-30N, 5P-30N2, and 5P-30P could be completed.
Both sides signed a joint decision on January 31, 2011, that reiterated that initial testing of the prototype equipment had been completed, but due to the destroyer’s transfer from the Baltic Fleet to the Northern Fleet, state testing could not be completed earlier than 2011. According to the decision, state testing would be finished during the second quarter of 2011, and all actions related to preparing the prototypes for serial production would be completed in October 2011. Based on Northern Fleet leadership input, a decision was made by the state acceptance committee to conduct state testing of the prototype equipment by September 30, 2011.
The end date was further pushed back until December 1, 2011, due to the requirement for the destroyer to undergo a 41-day shipyard repair period between October 1 and November 10. The at-sea test date was set for November 16. After several more delays, the destroyer finally got underway for testing – but without any industry personnel on board, thus preventing the completion of state testing. Salyut complained to the Northern Fleet commander, who in turn ordered the ship back to sea on December 6 to perform the state testing. Several fleet aircraft (IL-20 Coot A, IL-38 May, and KA-27 Helix) provided support for that day’s testing. Based on the first day's results, everyone agreed the prototype equipment was ready for a live missile launch against a P-120RM target missile the next day. However, on December 7, the ship’s 3R-95/Kinzhal (SA-N-9/Gauntlet) surface-to-air missile suffered a malfunction that the crew could not fix. Since, without the SA-N-9, the ship would be unable to protect itself in the event the P-120RM target missile veered off course, a decision was made to suspend state testing and return to port. The ship returned to port on December 8, and fleet personnel began removing the ship’s weapons on December 9 in advance of placing the destroyer in a dry dock. The Northern Fleet agreed that the next time the ship would be available to perform state testing of the prototype equipment would be February 2012.
On November 27, 2013, the MOD filed a suit against Salyut for failure to full its contractual obligations by the stated deadline. In its suit, the MOD sought RUB 1,561,589 in fines for non-fulfillment of the contract.
On February 20, 2014, the Arbitration Court of Moscow issued a ruling in the case (#A40-169577/2013) in favor of Salyut, stating that Salyut could not be blamed for the MOD’s inability to provide the proper equipment (i.e., operable destroyer with operable SA-N-9) within the stated time frame.
Not satisfied with the verdict, the MOD filed an appeal with the 9th Arbitration Appellate Court on April 29, 2014. The court upheld the lower court’s decision on June 11.
On August 14, the MOD filed a final appeal with the Arbitration Court of the Moscow District, which similarly dismissed the case in line with the two previous decisions.
Stage 9 – confirmation of the working design documentation in order to set up serial production of the 5N-30N; cost of this stage: RUB 1,672,654; work commencement: November 6, 2010; work conclusion: November 25, 2010
Stage 16 – confirmation of the working design documentation in order to set up serial production of the UN-30112; cost of this stage: RUB 1,670,858; work commencement: November 6, 2010; work conclusion: November 25, 2010
Stage 17 – confirmation of the working design documentation in order to set up serial production of the 511-3011; cost of this stage: RUB 1,170,858; work commencement: November 6, 2010; work conclusion: November 25, 2010
Prototypes of the 5P-30N (Fregat-N) and 5P-30N2 (Fregat-N2) radars, as well as the 5P-30P radar data processing system, were originally scheduled to be tested on Udaloy I-class destroyer “Vitse-Admiral Kulakov” in March-April 2010; however, due to an unanticipated issue with the ship’s hull that required dock repairs, the testing was delayed until November 25, 2010. Initial testing was completed on October 15, 2010, and the prototypes were handed over to the MOD for state testing on the same date. However, according to RF Navy Commander-in-Chief Decision #721/ОНК/5538 - “Preparing Project 1155 Large ASW Ship “Vitse-Admiral Kulakov” to Join the Permanent Ready Forces and Transfer to Its Homeport” (dated September 22, 2010), the destroyer was accepted before state testing and acceptance of the 5P-30N, 5P-30N2, and 5P-30P could be completed.
Both sides signed a joint decision on January 31, 2011, that reiterated that initial testing of the prototype equipment had been completed, but due to the destroyer’s transfer from the Baltic Fleet to the Northern Fleet, state testing could not be completed earlier than 2011. According to the decision, state testing would be finished during the second quarter of 2011, and all actions related to preparing the prototypes for serial production would be completed in October 2011. Based on Northern Fleet leadership input, a decision was made by the state acceptance committee to conduct state testing of the prototype equipment by September 30, 2011.
The end date was further pushed back until December 1, 2011, due to the requirement for the destroyer to undergo a 41-day shipyard repair period between October 1 and November 10. The at-sea test date was set for November 16. After several more delays, the destroyer finally got underway for testing – but without any industry personnel on board, thus preventing the completion of state testing. Salyut complained to the Northern Fleet commander, who in turn ordered the ship back to sea on December 6 to perform the state testing. Several fleet aircraft (IL-20 Coot A, IL-38 May, and KA-27 Helix) provided support for that day’s testing. Based on the first day's results, everyone agreed the prototype equipment was ready for a live missile launch against a P-120RM target missile the next day. However, on December 7, the ship’s 3R-95/Kinzhal (SA-N-9/Gauntlet) surface-to-air missile suffered a malfunction that the crew could not fix. Since, without the SA-N-9, the ship would be unable to protect itself in the event the P-120RM target missile veered off course, a decision was made to suspend state testing and return to port. The ship returned to port on December 8, and fleet personnel began removing the ship’s weapons on December 9 in advance of placing the destroyer in a dry dock. The Northern Fleet agreed that the next time the ship would be available to perform state testing of the prototype equipment would be February 2012.
On November 27, 2013, the MOD filed a suit against Salyut for failure to full its contractual obligations by the stated deadline. In its suit, the MOD sought RUB 1,561,589 in fines for non-fulfillment of the contract.
On February 20, 2014, the Arbitration Court of Moscow issued a ruling in the case (#A40-169577/2013) in favor of Salyut, stating that Salyut could not be blamed for the MOD’s inability to provide the proper equipment (i.e., operable destroyer with operable SA-N-9) within the stated time frame.
Not satisfied with the verdict, the MOD filed an appeal with the 9th Arbitration Appellate Court on April 29, 2014. The court upheld the lower court’s decision on June 11.
On August 14, the MOD filed a final appeal with the Arbitration Court of the Moscow District, which similarly dismissed the case in line with the two previous decisions.
