Investigation Based On Leaked Emails Shows How Russian Oligarchs Are Avoiding Sanctions

Russian billionaire brothers Boris Rotenberg (right) and Arkady Rotenberg (composite file photo)

An investigation by a group of journalists led by IStories and the Organized Crime and Corruption Reporting Project (OCCRP) has revealed details on how Russian President Vladimir Putin's inner circle has scrambled to hide assets amid waves of international sanctions imposed on Russia since it illegally annexed Ukraine's Crimean Peninsula and its subsequent full-scale invasion of Ukraine.

The groups said in a report released on June 20 that it based its findings on a leak of more than 50,000 emails and documents sent between 2013 and 2020, which shows how the billionaire brothers Boris and Arkady Rotenberg, childhood friends of Putin, move companies around the world "like chess pieces, new bank accounts opening just as others were closed, and ownership structures morphing in response to new sanctions or questions from regulators."

The investigation, which involved more than 60 journalists, did not give any details on how the emails were obtained.

"The Rotenberg Files show that despite sanctions, not only were members of Putin’s family and his cronies able to keep many of their luxury assets abroad, but they were also able to continue investing in foreign assets," said IStories Editor In Chief Roman Anin. IStories is a nonprofit media outlet founded by Russia’s top investigative journalists.

"For the first time, the public can see a fuller picture of the complex tactics used behind the scenes to dodge accountability," Anin added.

Sanctions against many of Russia's wealthiest people were first imposed by many Western nations after the 2014 annexation of Crimea by Moscow. Since launching its dull-scale invasion of Ukraine in February 2022, Russia has been hit with 11 more rounds of sanctions by the European Union -- targeting 1,571 people and 241 companies and affecting tens of billions of dollars in assets -- as well as from Washington and many other global allies.

The asset freezes and visa bans have sent many of Russia's wealthiest people scurrying to find safe havens for assets abroad with the assistance of many people in the West, the investigation showed.

“These oligarchs are sanctioned by the West in an attempt to punish them, and yet undermining these sanctions would be impossible without Western enablers -- lawyers, bankers, consultants, and other professionals,” said OCCRP Editor-in-Chief Miranda Patrucic.

“The armies are not just on the battlefield -- they’re in offices in Europe and the U.S., fueling this system to the detriment of citizens across the world,” she added.