MOSCOW, July 14 (RAPSI) – The Moscow City Court has upheld the extended detention of real estate tycoon Sergei Polonsky, who stands accused of large scale fraud during the construction of two residential complexes, until August 12, RAPSI reports from the courtroom on Thursday.

"As it happens, the court has dismissed an appellation of his lawyers, who insisted on a mitigation of pretrial restrictions,” – a Moscow City Court representative said.

Polonsky, who is the founder of Potok (formerly Mirax Group), a diversified corporation that has been involved in several large development projects, is deemed to cause damages in amount of 2.4 billion rubles ($38 million) with regard to Kutuzov Mile and 256 million rubles ($4 million) with regard to Rublyovskaya Riviera development projects.

Other projects Polonsky has been involved in include Federation Tower in the Moscow International Business Center, office buildings Mirax Plaza, Poklonnaya 11 and Admiral, condominium developments Mirax Park, Golden Keys 1 and 2, and the Well House.

In May 2015, the Cambodian authorities, where Polonsky had been avoiding Russian prosecution, extradited him to Russia.

If convicted, Polonsky could face up to ten years in prison. Polonsky has pleaded not guilty.