German Prosecutors Drop Probe Against Russian-Uzbek Billionaire Usmanov

Uzbek-born Russian tycoon Alisher Usmanov (right) speaks with Russian President Vladimir Putin in 2017.

German prosecutors have dropped a money-laundering investigation into Uzbek-born Russian tycoon Alisher Usmanov, the prosecutor’s office said on November 4. *

Usmanov, 71, has agreed to make a voluntary donation that will be split between charities and the state in an outcome that does not imply any guilt nor a conviction, the prosecutor’s office in Frankfurt said.

"The accused's alleged offenses did not result in any financial damage to the Federal Republic of Germany, the state of Hesse, or any natural or legal person in Germany," a spokesman for the prosecutors said.

He added that "the alleged offenses occurred some time ago."

The proceedings had been provisionally suspended on October 11 with Usmanov's consent, chief prosecutor Georg Ungefuk told RFE/RL.

The 4 million euro payment will be split with several charitable organizations receiving 1.5 million euros and the State Treasury receiving the remainder.

Usmanov's lawyers said that after more than 2 1/2 years, the investigation had failed to prove the main accusations against him, including that of money laundering.

"We have always insisted on the innocence of our client," Wannemacher & Partner lawyers Uwe Lehmbruck and Markus Gotzens said in a statement, calling it an important step toward protecting the reputation of Usmanov.

A Berlin expert on criminal law told RFE/RL that it would have been practically impossible to prosecute the case.

If the case had gone to court, it might have been dismissed due to insufficient evidence. The Frankfurt prosecutor's office likely decided to impose the highest possible monetary payment it could reach agreement on and close the investigation.

German investigations of Usmanov, who according to the Bloomberg Billionaire's Index has a total net worth of $14.4 billion, came to light in January 2023. A superyacht held by independent trustee of an irrevocable discretionary trust established many years ago by Usmanov -- worth an estimated $600 million -- was seized in March 2022.

The billionaire, who is not the owner or the beneficiary of the trust, made his fortune in mining, industry, telecoms, and media. He was added to the EU and the U.S. sanctions lists shortly after Russia’s full-scale invasion of Ukraine in February 2022.

The EU described him as having "particularly close ties to Russian President Vladimir Putin" and having been "referred to as one of Vladimir Putin’s favorite oligarchs" in announcing the sanctions against him.

Usmanov has rejected having any ties to Putin.

The European Court of Justice on February 7 rejected appeals filed by Usmanov and former Russian Deputy Prime Minister Igor Shuvalov against European sanctions imposed on them for having close ties to the Kremlin and supporting Moscow’s invasion of Ukraine.

Usmanov in June filed a lawsuit against the bank UBS Europe SE in Frankfurt over what his lawyers said were unsubstantiated reports made about his transactions that triggered an investigation of him.

*CORRECTION: This article has been amended to remove references to a "fine" paid by Usmanov, as well as to clarify ownership of the superyacht.
With reporting by dpa and Reuters