mafia – The Other Russia http://www.theotherrussia.org News from the Coalition for Democracy in Russia Fri, 03 Dec 2010 05:01:12 +0000 en-US hourly 1 https://wordpress.org/?v=5.6 WikiLeaks – On Russia, In Summary http://www.theotherrussia.org/2010/12/02/wikileaks-on-russia-in-summary/ Thu, 02 Dec 2010 20:47:58 +0000 http://www.theotherrussia.org/?p=4987 WikiLeaks logoThe amount of information on Russia in the WikiLeaks US diplomatic cables is immense. In just five days, 55 cables have been posted from the US Embassy in Moscow alone, while four times that many cite Russia in some capacity. Many speak to illicit activity on the part of the Russian government – close ties with the mafia, shady financial dealings, collusion with foreign leaders, and the repression of political enemies, to name a few. And indeed, WikiLeaks founder Julian Assange said the document release was largely meant to provide information on closed societies such as Russia.

Russia’s state-sponsored media is largely ignoring the leaked cables, while more independent online and newspaper media sources have been discussing them more actively. As Radio Free Europe/Radio Liberty argues, most Russians are already “well aware of rampant corruption among their country’s ruling elite” and may be unfazed by the revelations.

But the ruling elite itself is clearly irked. Prime Minister Vladimir Putin said the United States had acted “with arrogance, rudeness, and unethically,” and his political party, United Russia, released a statement late on Thursday complaining that corruption is a problem in every country and Russia was being unfairly stereotyped. “This can only be done with one goal: to prevent Russia and its foreign partners from entering a new level of cooperation. Such a policy is, at a minimum, unwise and unmeasured,” read the statement.

The number of allegations, analyses, and observations in these materials is already so vast as to easily overwhelm the reader. Given that only 608 of the total 250,000+ leaked cables have been released so far, this is likely only the tip of the iceberg. Below is a set of summaries of some of the most scathing articles on Russia and the cables.

WikiLeaks cables condemn Russia as ‘mafia state’
The Guardian
A rundown of several leaked cables that label Russia as a “corrupt, autocratic kleptocracy” that is “using [the] mafia for its dirty work” and where law enforcement agencies “operate a de facto protection racket for criminal networks.” Years of investigations by a Spanish prosecutor back the allegations.

Additionally, Prime Minister Putin is accused of hiding “secret wealth” in overseas accounts.

Dmitry Medvedev ‘plays Robin to Putin’s Batman’
The Guardian
Jokes about this comparison have already fully permeated the global news media. But, as this article describes, the entirety of what was said in this cable paints a more complex picture of the rulers’ relationship. That idea that Putin and Medvedev are akin to Batman and Robin was only one of three camps adhered to by US diplomats’ Russian contacts. The other two sides argued that Medvedev was either slowly gaining power or was no different than Putin.

In an interesting side note, US officials argued that “gullible Europeans and Americans who believed Medvedev was more enlightened than Putin were probably fooling themselves.”

Questioning Putin’s Work Ethic
via the New York Times
Former US Ambassador to Russia John Beyrle contends that Putin resents his workload as prime minister and has taken to “working from home.” In light of his frequent absence from the Russian White House, the bulk of ministerial duties have been left to First Deputy Prime Minister Igor Shuvalov. This lead to delays in project implementation because “the Russian system was geared to top-down decisions and paralysis was often the result of Putin’s inaction.”

Alexander Litvinenko murder ‘probably had Putin’s OK’
The Guardian
Daniel Fried, the former top US diplomat in Europe, questioned in one cable “whether rogue security elements could operate, in the UK no less, without Putin’s knowledge,” and “described the Russians as increasingly self-confident, to the point of arrogance.” The article also cites additional evidence of Russian governmental involvement in the murder.

In response to the revelations, Litvinenko’s widow, Marina Litvinenko, summed up a common sentiment regarding the cables in general: “For years we have been trying to get the authorities in the west to view my husband’s murder as a state-sponsored crime. Now it appears they knew it all along.”

Moscow mayor presided over ‘pyramid of corruption’
The Guardian
Ambassador Beyrle describes Moscow under recently fired Mayor Yury Luzhkov. That city, he says, constituted “a system in which it appears that almost everyone at every level is involved in some form of corruption or criminal behaviour.” In his frank assessment of “Moscow’s criminal world,” Beyrle states: “Luzhkov is at the top. The FSB, MVD [security services and police – ed.] and militia are at the second level. Finally ordinary criminals and corrupt inspectors are at the lowest level.”

The ambassador’s sources disagreed whether city officials paid off top Kremlin insiders with suitcases “full of money” or “via a secret account in Cyprus.”

According to the Guardian, Beyrle’s description of corruption in the Russian government and security agencies “offers the most detailed and apparently authoritative account so far.” The newspaper notes that the Kremlin will likely be embarrassed by the allegations, given President Medvedev’s stated attempts to thwart corruption.

Another cable details Luzhkov’s use of the city budget to both line his own pockets and finance “his nationalist foreign policy agenda.”

Russian move to airbrush Stalin ‘too half-hearted’
The Guardian
Attempts by the Kremlin to whitewash dictator Joseph Stalin’s bloody reputation were not strong enough to constitute a real threat to academic freedom in Russia, and were mostly made for political ends, says the US embassy in Moscow. At the same time, leaked sources cite disturbing tactics to this end, including by ordering professors to turn in students who expressed “concepts damaging to Russia’s interests.” It also includes accusations that the Kremlin pays bloggers to influence online debates over Soviet-era human rights abuses.

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Russian Oligarch Admits Ties to Mafia http://www.theotherrussia.org/2010/05/14/russian-oligarch-admits-ties-to-mafia/ Fri, 14 May 2010 19:41:24 +0000 http://www.theotherrussia.org/?p=4331 Oleg Deripaska. Source: RIA NovostiRussian oligarch Oleg Deripaska has admitted to having connections with the Russian mafia, the Spanish newspaper El Pais reported on Friday.

The confession came during a meeting in Moscow on Wednesday between Deripaska and Spanish law enforcement representatives, who had accused the magnate last October of taking part in a scheme to launder 4 million Euros between 2001 and 2004 in two metals companies with suspected connections to the Russian mafia. At the time, Deripaska denied any such connections, and appealed to the Prosecutor General that he was prepared to answer any questions on the part of the Spanish authorities to clarify the situation.

However, it became clear during the resulting five hour interrogation that this was not exactly the case.

The interrogation began with the Russian tycoon angrily attacking Spanish National Court Judge Fernando Andreu for “undermining his business reputation,” El Pais reported. Before Spanish prosecutor Jose Grinda had time to pose his first question, Deripaska threw an article by a Spanish newspaper on the table in front of him and, raising his voice, asked Andreu in an accusatory tone: “What’s going to happen to my prestige?”

In response, Grinda told his Russian colleague, also present during the interrogation, that they would have to call the meeting off and return to Madrid if Deripaska was intent on continuing in such a rude manner.

Though tempers calmed, wrote El Pais, Deripaska continued to deny his participation in the money laundering scheme.

“His strategy was to portray himself as a victim of extortion by Israeli citizen Michael Cherney, who was later arrested as the of owner of Vera Metallurgica, the Alicante-based company that the Izmailova mafia organization allegedly laundered the funds through,” says the Spanish newspaper, adding that the company has alleged connections with Deripaska’s own Urals Mining and Metallurgical Company. Izmailova is one of the largest organized crime gangs in Russia.

However, Deripaska did admit that he paid a certain amount of money to the mafia gang, but only in order to protect his business – not to launder any money. A source close to the oligarch’s holding company, Basic Element, confirmed to online newspaper Gazeta.ru that Deripaska had indeed given money to Cherney, but also said that in the 1990s there was no other choice if he had wished to protect his business.

The admission mirrors Deripaska’s statement in 2008 concerning his alleged connections with Russian mobster Anton Malevsky. According to the Times, Deripaska “insists that the arrangement with Malevsky was a protection racket that was forced upon him.” Despite this and other allegations by American, British, and Spanish authorities, Deripaska has never been convicted of connections with the mafia. According to legal experts speaking to Gazeta.ru, it’s unlikely that he will face any consequences in this case, either, except in terms of his image. At the same time, El Pais reported that the Russian prosecutor present at the meeting had advised all parties to keep the interrogation a secret, and the paper did not reveal how it got its information.

Oleg Deripaska is considered to be one of the most influential people in Russia today. His vast holdings in the metals, construction, and automobile industries have allowed him to amass a fortune of $10.7 billion, making him the 57th richest man in the world (9th before the global economic crisis). He is widely known to be a close associate of Russian Prime Minister Vladimir Putin, who signed a controversial decree earlier this year to allow Deripaska’s Baikalsk Pulp and Paper Mill to reopen despite gross environmental concerns. Residents in the city of Irkutsk, where the mill is located, have been protesting ever since, and accuse the prime minister of covering up Deripaska’s unethical business practices.

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