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Shuvalov
Navalny in English
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A defence compaign like never before is currently unveiling now around vice-premier Igor Shuvalov who was accused of bribery by the largest business magazines this week:
Wall Street Journal [EN:] Share Deals Open Window on Kremlin
Finanсial Times, first time: [EN:]Kremlin mired in Gazprom deals
Financial Times, second time: [EN:]Investments raise question of cronyism
Barron's (an addition to WSJ) [EN:]How a Putin Aide Gained $119 Million

But, Putin's aide Peskov [RU:] refered to him as "wonderful and honest person".
Also, the Head of Eltsin's Administration Mr Voloshin himself, did write a special soul-destroying blogpost on "Echo of Moscow" site, saying that all of these are the mere intrigues of a new Government. Ha-ha, yes, sure...He-he, yeah, surely. There are the intrigues surrounding the Government, especially keeping in mind the fact that the first article at Barron's was issued before the December elections of the State Duma.
And the General Procecutor's office is rushing ahead, shouting: "Shuvalov's dealings are totally lawful!"

The reasons behind the kremlin's activities are totally clear — They aren't defending the bribe-peddling Shuvalov, who is of no concern to anybody and would otherwise have been dumped in a snap.
They are protecting those two guys who are the real backbone of the "vertical authority" - those who paid the bribes.


1. ((EN)):]Mr. Alisher Usmanov


2. ((EN:))mr.Roman Abramovich


These "nice" buddies prefer to live abroad nevertheless making fortune selling Russian raw materials

Abramovich and Usmanov are both residents of Great Britain and hold top positions in the ((EN:)) countries richest people list

Bribing the offiials is a crime in that part of the world, where those three enjoy spending time. For this crime they might end up in jail, or pay a serious penalty, not to mention such nasty little things as visa cancellations.

Just imagine, getting a rejection for British or Schengen visas. They would have to, oh my Lord, LIVE IN RUSSIA. It's kind of a living death.

Let's see what actually happened:


In the year 2009 all of us were quite surprised by the fact, that the ((RU:)) legal income of the spouse of vice-premier Igor Shuvalov was 367 million rubles (over $13 million dollars) (№ 4 in the list).
In the time frame of 2008-2010 the Shuvalov's family (mostly Mrs Shuvalova) ((RU:)) earned around $48 M.
The source of income was declared as "trading income" with no explanations given.
Questions regarding these securities and successful operations making such huge profits stayed unanswered, just a few obscure explanations were given.

Here is the news, typical of that time:

Though Olga Shuvalova, first deputy prime minister's wife, is a housewife, she not only manages to make good money, but also multiplies this income. Last year, for instance, she received 642M rubles from various sources - twice more than two years ago (365M rubles), and a hundred times more than her high-status husband. This "inequality of rights" is a price Shuvalov had to pay for his transfer to the public service - he left the 'ALM Law Office' to take charge of the National Registry Department at the Russian Ministry of State Property. According to his colleagues Shuvalov had to give his business to his wife. Nevertheless, Olga had to work at the start of her husband's public service career to help him support their three children. There's been no need for her to work in the last couple of years though - their family property became breathtakingly profitable. However, the nature of these 'fruitful' assets of the happy couple is being kept top secret. 'All information considering their [the Shuvalovs'] income can be seen on the website of the Russian Government' is the accustomed phrase Shuvalov's press secretary has been repeating for years. According to Shuvalov's former colleague, Mrs. Shuvalov is titled to an investment portfolio, which allowed her to be at her best in front of the richest governors and Parliament members' wives. Nobody knows what's the recipe for such a great success, that let Olga receive peak profit in the falling market - did she just sell a huge portfolio or manage it incredibly well? However, the Shuvalovs' family real estate and land did not undergo a big change.

So, as you can see, Shuvalov has been an official since 1997, and "Olga had to work at the start of her husband's public service career to help him support their three children", but then everything turned around.

So, how was it sorted out?

Briefly, the story looks as follows:
1. There's a "Severin", Co., that belongs to Ms. Olga Shuvalova. This is a fact that can't be denied.


It is this company "Severin" that is the primary source of Shuvalov's income. The house in Austria bought for 11 milion euros, apartment in London etc. All were bought from "Severin" profit.

"Redcliff" company belongs to "Severin"

This "Redcliff" has gained control over a company called "Sevenki" through the transfer of shares.


Sevenkey in Russian sounds like a name of a village somewhere in the Smolensk region, like "Savyonki". But we should not be mistaken - there is nothing in common with what happened in "Savyonki" and Savenki.

SUDDENLY, there are funds startinf to come to "Sevenki".
In 2004, Roman Abramovich and Eugeny Shvindler from "Unicast Technology" Co. transferred $50M USD to "Sevenki" bank accounts.
This is an undeniable fact.
All four SWIFT messages are here

What for?

For what kind of "beautiful eyes" did Abramovich and Shvidler transfer $50M to Shuvalov's wife?
For nothing.
I suppose, for the ((RU:))subsequent highly active lobbying of Russian metal industry M&As and consolidations on the basis of Abramovich’s companies.

The stories in WSJ and FT forced Shuvalov and his associates to somehow explain the $50 mln transfer. So they came out with a story that Shuvalov – what a surprise – already had a stock option plan for a 0.5% Sibneft stake for a long time.

This explanation does not hold water:
1.Nobody's heard of this option before.
2.A "stock option plan" is a formal thing and a lot of people should be aware of it. There was an M&A attempt by "Sibneft" and "Youkos". Of course, there was a pre-deal due diligence and the option existence had to be recorded.
3.What's the reason for giving an option to Shuvalov in that period of time when he was not an official?
4.As you can see for yourself, this does not match with the initial story: "at the beginning, Olga had to work at the start of her husband's public service career to help him support their three children". We are 0.5% Sibneft stockholders, but still having problems raising three children. :)

Ok, let's move on.

$50M appeared to be not enough for Mr. Shuvalov the entrepreneur. For there are so many wealthy people around and all of them need certain services from the government.

SUDDENLY. "Gallagher" being a core offical company of multimillionaire Usmanov's holding, which is obviously able to obtain any loan from any bank, borrows $50M from Shuvalov.



What does Usmanov need this? Still unclear.
Why would Shuvalov need this for? That's pretty clear: "the loan" was returned with a great interest rate.
As much as $118M was repaid back to Sevenki.
Here is the one of the account statements:

Kids, don't try this at home: you won't get a 1/10th of this efficiency by depositing your money with the bank.
So you're not Shuvalov.

One good turn deserves another: borrowing money in the right place made Usmanov's business even more successful than before.
Even in the "bad" times of financial crisis it was possible to see media statements like:

The Russian government has agreed to guarantee a loan that Metalloinvest agreed in principal with VTB Bank.
A government committee, chaired by first prime minister Igor Shuvalov, approved the decision on September 8. (Reuters, September 8, 2009)


In February of 2008 "Sevenkey" first transfers first $80M to its owner, "Radcliff" as dividends.

In 2009 unemployed Olga Shuvalova declared an income of 367 million rubles ($12M).

Voila! That's the trick.

All these documents are not undisclosed, they are available from open sources.
For instance, they can be found on Natalia Pelevina's website. She has already filed a request with the Prosecutor General's Office to investigate the fraud.
Slon.ru provides sufficient details about it.
The documents have been verified by WSJ and FT legal advisors and have been found to be true and reliable.

Here is the scheme published at Barron's in December.


So, what do we have?

We have every reason for Deputy Prime Minister Igor Shuvalov to be put under investigation for suspected involvement in large-scale bribery.
Messrs. Abramovich and Usmanov should be alongside with him under investigation and later in the dock.

Unfortunately, nothing of the kind is happening; on the contrary - see Peskov's comments above.

Here's why we must all declare a holy war against Shuvalov/ Abromovich/ Usmanov/ Shvidler:

1.Shuvalov's case is one of the few where we have all the documents and evidence. As I've written above, they were checked by lawyers of the world's largest business publishers, who certified their authenticity.

2.The persons involved in the case are completely disgusting both in moral and political aspects.

Look at Mr. Shuvalov: not only does he take bribes of millions, but he also lives in flashy and impertinent luxury.

Just look at the list of his assets:
he owns a 1/4 of a 175 sq. meter apartment and another apartment of 109 sq. meters conjointly with his spouse. The First Deputy Prime Minister was given a free and unlimited 5-year use of two land plots 40 acres in total. Apart from that, Shuvalov rented a residential house and service premises of 643 sq.m. in Russia, a residential house of 1479 sq.m. in Austria and an apartment of 424 sq.m. in the United Kingdom. The first Vice-Premier and his wife have conjoint ownership of seven vehicles: a Jaguar, a Mercedes-Benz S350, a Mercedes-Benz S500, a Mercedes-Benz S-Klasse sedan V221, a ZIL-41047 limousine, a Ford Hymer Camp and a VAZ-2101.

Isn't he getting pretty brazen?
He has lasted 15 years in the government, his moving to government was ecompanies by the words 'Olga had to work at the start of her husband's public service career to help him support their three children' and now he completely openly buys undue amounts of Mercedes and Jaguars. Houses in Austria, apartments in UK

As for stand alone arrogance – a former state village “Zerechye-4” where top USSR officials spent their time back in a previous century. Shuvalov bought it and turned it into his villa.


A couple of its visitors told me about the grotesque splendor and oddities like cast-iron “Shuvalov family monograms” and so on.

It lacks only peasant wives who breast-feed greyhounds at the landlord’s dog pound.

That is a guy who's not shy about declaring to all: yes, I am a Government official. I take bribes and intentionally live a luxurious life. Classic!
And yes, he joined "United Russia".
He even lead the party list in Primorye; flew to Vladivostok from Austria on a private jet, to tell locals that the enemies of Russia are tightening their entourage, so they had to unite under the true national leader or otherwise hostile foreigners would take our national wealth.

Abramovich and Usmanov are not any less disgusting. Living abroad, enjoying law and order of the UK, they are turning Russia, where they take cash, into Bantoestan ruled by their shifty governors - the "shuvalovs".

3.It is clear that we are unable to attain the domestic criminal prosecution of these crooksat any time soon: they are all Putin's closest associates.

But there are good chances to press these bastards abroad.
- Shvidler is an American citizen
- Usmanov is a resident of the UK, and also has business interests in the USA
- Abramovich is a resident of the UK, and has both property and business interests in the USA;

By bribing a foreign official those citizens have violated FCPA and a bunch of other regulations.
Briefly: bribing a Russian or Zimbabwean official is a criminal offense as per US, UK and EU laws.

We should seek to prosecute all three of them. And then prosecute Shuvalov already in our country.

Despite the fact that we'd have to appeal to the foreign officials, this will be an act of patriotism: we are doing it in the name of Russia and its citizens. We are protecting them from the crooks and thieves who couldn't care less about Russia. They live in London and Vienna.

4.That's the kind of campaign the crooks are afraid of most of all.They do not care about a hundred letters to the Investigation Committee, but they are terribly afraid of the ban at the entrance to the EU.

So we'we gonna do what makes them scared.

Here's what I suggest:

We created a Facebook group :"Shuvalov to the prisoners' dock", where we will coordinate our work. You are welcome to joine it.
Now we're thinking over specific steps and methods of realization.

As a minimum this is going to be:
1. Mass applications to Russian law enforcement agencies, President and Prime Minister. Shuvalov shall not be entitled to serve as a government employee.

2. Formal claims from Russian, US and UK citizens to the DOJ (we'll figure out where else) and other bodies that run investigations on FCPA and equivalences. For this pupose we are seeking fellow countrymen willing to help Mother Russia.

3. Massive political appeals to congressmen, members of Parliament, etc., etc. I.e. the standard methods of western public campaigns. This is where we need "Russian foreigners". Please find them and get them to join our FB group.

4. I'm being asked:"Have you ever had a meeting with the American ambassador?". Now I can answer: "I'm eager to; I'm also inviting the NTV television company to this event."

These days I am planning to meet with Ambassador McFaul and give him a formal demand on behalf of Russian citizens to start an investigation into the facts of bribing Russian officials by U.S. citizens and others under the jurisdiction of the FCPA. This should be the main and sole item on the agenda of the Russian opposition and the American ambassador's meetings. Follow your own laws in the interests of the USA and Russia's citizens. This is what will be a real ((EN:))reset.

5. Every foreign official planning to meet Mr. Shuvalov will receive a hundred letters from us about who Mr.Shuvalov is and how he has become a multimillionaire.

6. Coordination of the 'public slaughter' of Mr 'Promisser' and Mr 'Discusser' every time they mention the fight against corruption, unless the investigation on "Shuvalov's affair" is completed.

And we'll devise something similar as we implement what we've cooked up already.

Get involved!

And don't forget to spread the information about "Shuvalov's case" by all possible ways.

The country should know its heroes.

We've created not only a Facebook group named "Let's escort Shuvalov to court", but also the public page "Let's escort Shuvalov to court". Join the first one and don't forget to "I like" the other.

Spread this post by clicking the "recommend" button (fb), "Tweet", "I like" (vk) below - in case some of your friends still don't know.

Originally posted by navalny on March 30th, 12:42

The translation was done with the great help of Notabenoid project participants


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