Popular Politics newspaper, issue 4.

POPULAR POLITICS

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Read on pages 6–7

10 high-profile scandals in which top officials escaped punishment

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Shoigu’s plane vacationed in the Seychelles

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Photos © ITAR-TASS, Fotolmedia, RIA Novosti, Kommersant, PhotoXPress

Zhirinovsky suggested raping a pregnant journalist

The LDPR leader insulted a female reporter and urged his aide to “violently rape” the young woman right inside the walls of parliament. The State Duma ethics commission did not even strip the deputy of speaking rights, merely asking him to apologize.

On Friday, April 18, in the State Duma, Stella Dubovitskaya (pictured), a journalist with the Rossiya Segodnya news agency, asked Vladimir Zhirinovsky a question about possible sanctions against Ukraine. After that, as the saying goes, the deputy short-circuited. “You’re bloodthirsty! … You all have uterine rabies! If it weren’t for this uterine rabies, there would have been no Maidan,” Zhirinovsky shouted at the journalist. “I’ll say the word, and you run up and start violently raping her,” he ordered one of his aides. “Christ is risen! Truly he is risen! Christ is risen! Truly he is risen!” the LDPR leader raved almost frantically.

Colleagues of the shocked journalist gathered around her to prevent Zhirinovsky or his aides from approaching. An Interfax reporter tried to calm the enraged politician by pointing out that he was attacking a pregnant woman. But that did not stop the deputy.

“Pregnant women shouldn’t be standing here! No pregnant women here!” Zhirinovsky kept shouting. “Get out of here! You’ll be fired from Interfax!”

The journalist’s colleagues led her away, while the Interfax reporter tried to calm the politician by pointing out that he was attacking a pregnant woman. But that did not stop the deputy.

Vladimir Zhirinovsky during the incident in the State Duma

“I’ll say the word, and you run up and start violently raping her”

grabbed Yulia Olshanskaya’s microphone and roughly shoved her into a car. The woman went to the police, and a criminal case was opened against the politician under the article “Hooliganism,” but it was later closed “for lack of evidence of a crime.” A great deal has changed in Russia over the past 17 years, but deputy Zhirinovsky can still insult women with impunity.

CHARGES FOR ZHIRINOVSKY

Popular Politics consulted lawyers about the incident. In their view, law enforcement authorities could examine the politician’s actions under the following articles:

• HOOLIGANISM motivated by hatred toward a particular social group (Article 213, Part 1, Clause 6 of the Russian Criminal Code). Up to 5 years in prison. Zhirinovsky grossly violated public order, shouted insults, and behaved aggressively toward the journalist because, in his view, she belonged to the “women of Maidan,” and her colleagues to “lesbians.”

• OBSTRUCTION of the lawful professional activities of journalists, committed by a person using their official position and involving threats of violence (Article 144, Part 3 of the Russian Criminal Code). Up to 6 years in prison. Zhirinovsky, together with his aides, prevented the reporter from carrying out her professional duties and also threatened her colleague with losing her job.

• PUBLIC ACTIONS expressing blatant disrespect for society and committed with the aim of offending the religious feelings of believers (Article 148, Part 1 of the Russian Criminal Code). Up to 1 year in prison. Zhirinovsky insulted the woman, called for violence against her, and shouted, “Christ is risen! Truly he is risen!” The events took place on Good Friday, which Zhirinovsky, as a State Duma deputy, surely knew. All of this could offend Orthodox believers.

• INSULT in a public speech, committed by a public official (Article 5.61 of the Russian Code of Administrative Offenses). Fine of up to 50,000 rubles (about US$550). Deputy Zhirinovsky insulted the journalist and her colleagues and called for violence against them.

American bribes for the Prosecutor General’s Office

In April 2014, Hewlett-Packard admitted that it had paid more than $2 million for a lucrative contract with Russia’s Prosecutor General’s Office. The corporation agreed to pay a $108 million fine to the U.S. Treasury. Russian authorities have shown no urgency in finding those responsible in this case

Prosecutor General Yuri Chaika promised to open a criminal case over HP bribes, but those responsible still have not been punished

Two years ago, German prosecutors told Bloomberg that Hewlett-Packard employees had paid about €7.5 million in bribes to representatives of the Russian authorities. The money was transferred through shell companies as kickbacks for a lucrative contract to supply computer equipment and software to the Prosecutor General’s Office of the Russian Federation. The case was also investigated in the United States, since the company’s actions fell under a law prohibiting American firms from paying bribes abroad.

Russian corrupt officials are safe

SIEMENS, $1.6 billion fine — The company admitted guilt in corruption cases in Argentina, Turkey, Russia, and other countries. Bribes were paid to secure lucrative contracts; in particular, Siemens used this scheme to supply medical equipment to Russia. The investigation was conducted in the United States under the Foreign Corrupt Practices Act and in Germany, where the company is based. In the end, U.S. authorities fined Siemens $800 million, and Munich prosecutors imposed an additional fine of nearly $600 million.

DAIMLER, $185 million fine — The German automaker paid more than $4 million in bribes while supplying vehicles to Russia’s Interior Ministry, Federal Protective Service, Defense Ministry, and other state agencies. The company admitted guilt and agreed to pay a $185 million fine. Russia’s Investigative Committee opened criminal cases on fraud charges based on information about Daimler’s corruption. However, the case has never made it to court, and no one has been held accountable.

PFIZER, $60 million fine — Employees of the pharmaceutical giant bribed officials in Russia, Kazakhstan, and other countries. Money was paid to hospitals to purchase drugs, to facilitate customs clearance, and to secure victories in government tenders. The total amount of bribes exceeded $2 million. Pfizer reached a settlement with the U.S. Department of Justice and paid $60 million. Nothing is known about any Russian officials being held accountable.

DIEBOLD, $48 million fine — The global ATM manufacturer directly or through intermediaries transferred more than $1.2 million to employees of private banks in Russia. In return, the employees recommended purchasing Diebold products. In its financial documents, the company described these expenses as “training and professional development costs.” Following the investigation, the company agreed to pay U.S. authorities $48 million. Popular Politics was unable to find any evidence of criminal prosecution against the bank employees in Russia.

ELI LILLY, $29 million fine — One of the world’s largest insulin manufacturers was accused of transferring about $2 million to an offshore account belonging to a senior Russian official and $5.2 million to the accounts of an intermediary company linked to a member of the Federation Council (the upper house of Russia’s parliament). As the newspaper Vedomosti reported, this person “exerted significant influence over government decisions in the pharmaceutical industry.” In the United States, the company paid a fine of more than $29 million. In Russia, no senior officials were punished for taking bribes from Eli Lilly.

A Putin associate feeds the soldiers

Army food supplies are now provided by Yevgeny Prigozhin, who is often called Putin’s personal chef. Don’t celebrate just yet. The businessman also supplies meals to schools in Moscow and St. Petersburg, where parents have protested over the poor quality of the food.

Yevgeny Prigozhin tells Vladimir Putin about the advantages of his meals for soldiers

In the summer of 2001, Vladimir Putin had lunch with French President Jacques Chirac at the floating St. Petersburg restaurant New Island. They were personally served by Yevgeny Prigozhin, the owner of the establishment. According to Forbes magazine, Putin appreciated the attention, and the restaurateur became “the president’s personal chef.” Two years later, the president celebrated his birthday at New Island.

According to Forbes, Yevgeny Prigozhin entered the food business in 1990. That was when he was released from prison, where he had served time for theft and robbery, and began selling hot dogs with his stepfather. Prigozhin did not stay in street trade for long and soon went on to manage a chain of grocery stores. In 1996, he changed direction and, together with his partner Kirill Ziminov, opened the upscale restaurant Old Customs House. The venue became popular with city officials, and regional governor Yakovlev sometimes hosted delegations there.

Shoigu’s plane vacationed in the Seychelles

The Anti-Corruption Foundation discovered that a Defense Ministry aircraft flew to the Seychelles during the May holidays. No official meetings had been scheduled for that time. It is possible that senior generals went island fishing at the taxpayers’ expense. The foundation is demanding an investigation.

During the May holidays, one of the readers of the news site Znak.com photographed a Russian aircraft with tail number RA-85155 at the airport in Victoria, Seychelles. In the opinion of the person who took the picture, the plane may have been used by generals or other “important people.” “At this time, our people here are drinking around the clock — going from one fishing trip to the next,” the reader added.

The Anti-Corruption Foundation (ACF) decided to check and found that this aircraft is used by the Minister of Defense of the Russian Federation and assigned to the military. The plane had been spotted repeatedly at airports around the world, and each time the defense minister was visiting those same countries. Because it is a military aircraft, flight-tracking services cannot always detect it. However, it appeared on the map on May 10 — taking off from the islands at 12:07 p.m. and landing in Moscow at 11:33 p.m.

The Seychelles Foreign Ministry’s press attaché said that no official delegations from Russia or the Russian Defense Ministry visited the country in May 2014. In addition, the Anti-Corruption Foundation (ACF) received a letter stating that Russia has no plans to open military bases in the Seychelles. Thus, senior Defense Ministry officials had no official reason to travel to the islands in the Indian Ocean. It is highly likely that one of the officials flew there specifically for a fishing trip.

According to ACF’s estimate, chartering a plane to the Seychelles and back cost more than $200,000. This money was most likely paid from the Russian state budget, that is, by taxpayers. The Anti-Corruption Foundation sent official requests to the Defense Ministry, the Main Military Investigative Directorate of the Investigative Committee of Russia, the FSB, the prosecutor’s office, and personally to the President of Russia, asking them to verify all of the above facts and open a criminal case on suspicion of abuse of office and causing financial damage.

The Defense Ministry did not respond to the TV channel’s inquiry. Popular Politics will continue to follow developments.

A luxury dacha and an adviser-TV host

Five facts from the life of Sergei Shoigu, the defense minister and former governor of Moscow Region.

A DACHA WORTH HUNDREDS OF MILLIONS OF RUBLES — Sergei Shoigu owns a country house and a 19,300 m² plot in a prestigious area of Moscow Region. Just 900 meters away is Prime Minister Dmitry Medvedev’s residence, Gorki-9. The market value of the official’s land alone is about 250–300 million rubles. To this day, the official has not explained the source of the funds for this luxury property.

10 scandals in which officials escaped responsibility

Deaths, embezzlement, ties to organized crime — Russia’s top officials avoid accountability for wrongdoing. Rank-and-file executors take the fall, while their bosses continue working or move on to other, equally prestigious posts.

Tatarstan’s interior minister was not held accountable for torture at Dalny

In 2012, officers from Police Department No. 9 “Dalny” (Kazan) detained 52-year-old previously convicted Sergei Nazarov, whom they tried to pin a theft case on. A day after interrogation, Nazarov, who had been raped with a champagne bottle, died in the hospital. The investigation revealed that torture was routine in other Kazan Interior Ministry departments as well, and Nazarov was far from the first victim.

Criminal cases and dismissals rained down on Tatarstan’s Interior Ministry. However, its head, Asgat Safarov (pictured), received only a reprimand; a month later he stepped down of his own accord (saying he was ready to accept any punishment). No punishment followed—quite the opposite: Safarov was given the post of deputy prime minister of the republic, and a year later received the medal “For Cooperation with the FSB of Russia” and the post of chief of staff to the president of Tatarstan.

The Serdyukov case was quietly buried

In 2012, a high-profile embezzlement case began involving Oboronservis (which performs support functions for the Russian Defense Ministry), with damages estimated at more than 6.7 billion rubles. Charges were brought, in particular, against board member Yevgenia Vasilyeva, who, according to RBC, was in a personal relationship with Defense Minister Anatoly Serdyukov (pictured). Serdyukov was dismissed, but in the embezzlement case he was treated only as a witness.

Later, investigators found that Defense Ministry funds had been used to build a road to the Zhigono recreation base in Astrakhan Region, owned by Serdyukov’s son-in-law. Putin, Medvedev, and Serdyukov himself had all visited the base, where he also liked to fish. Over this incident, a negligence case was finally opened against the former minister in November 2013, but just a month later Serdyukov was covered by an amnesty. Information about this was concealed until the end of the Sochi Olympics: lawyer Genrikh Padva explained that it had been decided “to quietly shut this case down.” Serdyukov then moved on to become CEO of a division of the state corporation Rostec.

Prosecutors who protected illegal casinos were let off

In 2011, the FSB and the Investigative Committee announced that they had uncovered underground casinos in the Moscow Region. Casino owner Ivan Nazarov (pictured right) told investigators how prosecutors had been bribed. Up to 80% of the profits went to bribes. Over three years, he paid prosecutors about 770 million rubles in total.

The governor of Kuban kept his post after people died

In 2012, the town of Krymsk in Krasnodar Krai was hit by severe flooding. The water came at night, while people were asleep in their homes. As a result, 171 people died and 34,000 residents were affected. Krasnodar Krai governor Alexander Tkachev (pictured) responded to the disaster in a characteristically gubernatorial way.

“What, was I supposed to go door to door?” he replied irritably to residents who asked why the authorities had not warned them, even though the Emergency Situations Ministry had reported the approaching flood. The governor’s remarkable reaction to the deaths in his region did not prevent Tkachev (a member of the United Russia party) from winning the next election and becoming governor again. In the criminal case over the mass deaths of residents of Krymsky District, four district officials were punished.

Governor Gromov was not held accountable for the default

The tenure of Moscow Region Governor Boris Gromov (pictured right) was marked by a سلسلة of scandals linked to the draining of the regional budget. According to investigators, his subordinate—the Moscow Region finance minister, Alexei Kuznetsov (pictured left)—stole about 92 billion rubles from the regional budget over eight years in office. Yet during that time Gromov claimed to notice no budgetary deterioration at all, and Kuznetsov managed to leave Russia before a criminal case was even opened.

Gromov, meanwhile, said that Kuznetsov had taken nothing from the budget—and if he had, then it was “his personal business.” The governor told residents of the Moscow suburbs around the capital that a “decline” was inevitable and that they should forget about a good life (after which he tried to cancel benefits for pensioners and raise public transport fares).

Sergei Ivanov kept silent for two years about embezzlement in GLONASS

Funds allocated for Russia’s GLONASS navigation system were spent generously, but apparently not on satellites. This was borne out both by a string of accidents and by the fact that in 2012 the Interior Ministry uncovered 6.5 billion rubles in embezzlement from the GLONASS budget. Discussing the scandal, Sergei Ivanov (pictured), head of the presidential administration and former defense minister, suddenly admitted that he had known since 2010 that budget money was being siphoned off, but had deliberately kept quiet about the thefts (as he put it, he “endured and gave no sign”), fearing that the criminals would realize they were being tracked.

Prosecutors who protected illegal casinos were let go

Artem, the son of Russian Prosecutor General Yury Chaika (pictured center). According to investigators, those two years were spent in the Investigative Committee’s futile attempts to conduct any meaningful inquiry into the “gambling case”: the Prosecutor General’s Office shut down one case after another brought against suspected police officers.

Former Moscow mayor Luzhkov lives in London

Moscow has now lived for four years without Mayor Yury Luzhkov (pictured right), while Luzhkov himself lives in London—despite a criminal case closely tied to the business dealings of his wife, Yelena Baturina (pictured center). In 2009, Baturina’s company Inteko sold a plot of land in southeast Moscow for 13 billion rubles. There was much dispute and many investigations, but the buyer turned out to be a structure close to the Bank of Moscow. Remarkably, the largest shareholder in the Bank of Moscow (which issued a huge loan to buy land from the mayor’s wife) was none other than the Moscow city government.

Minister Skrynnik escaped responsibility for her subordinates’ theft

In 2012, a case began to unfold involving large-scale embezzlement at the state company Rosagroleasing. At the time of the thefts, the company was headed by Yelena Skrynnik (pictured), who by 2012 had become agriculture minister and had brought her subordinate Oleg Donskikh from Rosagroleasing into the Agriculture Ministry. Investigators believe it was he who funneled 600 million rubles, allocated for purchasing agricultural equipment for Russia’s regions, through shell companies. Donskikh managed to resign from the ministry a month before the case was opened and has been wanted ever since, as has Skrynnik’s deputy minister Alexei Bazhanov, against whom a case was opened in 2013 over the theft of 1.1 billion rubles from Rosagroleasing.

Politicians’ children

PYOTR ZHUKOV (pictured center), son of Alexander Zhukov, deputy chairman of the State Duma from United Russia

CO-OWNER of a private investment fund that invests in internet and media projects around the world. In 2007, Pyotr Zhukov worked in the London office of the Swiss bank UBS and, according to the newspaper Kommersant, took part in a drunken brawl. He was sentenced to 14 months in prison, but was released early and returned to Russia. Pyotr is fond of surfing and, as he admitted in an interview with the online magazine FrauFluger.ru, vacations on ocean beaches in Portugal or Latin America. His father, lawmaker Alexander Zhukov, introduced a bill in the State Duma banning the adoption of Russian orphans in the United States.

STEPAN REMEZKOV (pictured right), son of Alexander Remezkov, a State Duma deputy from the United Russia party

THE ELDEST SON of the Russian parliamentarian, according to the portal Yuga.ru, graduated from an American military college, where he studied alongside future U.S. Army officers. After that, Stepan enrolled at a private university in New York. His middle son, Nikolai, studied at a prestigious school in the United Kingdom. In September 2012, Maria Remezkova, the deputy’s youngest daughter, moved to Austria. She trains in gymnastics and represents Austria, not Russia, in competitions. Deputy Remezkov nevertheless told RSN (Russian News Service) that his children are “patriots of their country and want to connect their future life and work with Russia.”

ALYONA MINKOVSKAYA (pictured left), daughter of Irina Rodnina, a State Duma deputy from United Russia

IN 1990, Olympic champion Irina Rodnina moved to the United States. She worked for 11 years at a figure skating center in Lake Arrowhead near Los Angeles. Alyona Minkovskaya, deputy Rodnina’s daughter, is a U.S. citizen and now works there as a television host. None of this prevents her famous mother from supporting a law banning the adoption of children in the United States. “Well then, let’s just give everything away—throw away the children, give away the land!” Rodnina fumed in an interview with Lenta.ru when she was urged to hold off on the law and improve the lives of orphans in Russia first.

Photos © Kommersant, RIA Novosti, Facebook, Instagram, YouTube

Patriots’ Children Abroad

Russian officials talk a lot about the dangers of Western values, call the United States and Europe enemies, and ban Americans from adopting orphans. At the same time, their children’s lives are closely tied to the West.

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