Rutek faces $170K lawsuit over unpaid rent as R-Fon smartphone project stumbles

Rutek, the Russian company behind the domestically developed R-Fon smartphone, is facing a lawsuit from Technopark-Mordovia over unpaid rent, with the claim totaling 15.7 million rubles (approximately $170,000). The lawsuit was filed in June 2026.

The company, founded by a former Russian communications minister, acknowledged the delay in rent payments. According to Rutek representatives, the issue arose from a temporary decline in orders, which forced a short-term adjustment of the company's financial flows. They assured that the situation has since stabilized, order volumes have recovered, and the project continues to operate normally.

Rutek first leased production space at Technopark-Mordovia in 2023, initially using it to manufacture telecommunications equipment, all-in-one PCs, and cameras. By the end of 2024, the company planned to start assembling R-Fon smartphones at the same facility. Additionally, in June 2024, Rutek announced plans to build a dedicated plant in the Mordovia special economic zone Sistema, which would produce smartphones, computers, tablets, laptops, and telephone exchanges. The lawsuit, however, highlights the financial strain the company has faced during this expansion, even as it insists the project is back on track.