As of: 02/22/2023 8:06 p.m
The British sanctions list includes more than 1,500 Russian citizens – but for many oligarchs from Russia, life in London goes on almost undisturbed. One reason could be generous donations to the Tories.
There are many sightseeing tours in London. If you are fed up with Buckingham Palace, Piccadilly and Big Ben, you should try the Kleptocrats Tour. This very special city tour takes you past the luxurious mansions of Russian oligarchs in London.
Roman Borisovich has been organizing the trips for six years, and a year after Russia attacked Ukraine, there is still a lot to see. Following Russia’s invasion of Ukraine a year ago, the British government put numerous supporters of Russian President Vladimir Putin on the sanctions list. But for many oligarchs, life in London goes on almost undisturbed.
Obscene wealth despite sanctions
First stop: the little castle of Witanhurst, located in north London. “Behind the high walls you can see the beautiful property,” says Borisovich into the bus microphone. Witanhurst is owned by Russian oligarch Andrei Gurjev, who was making his billions in Russia in the 1990s when the Soviet Union was dissolving.
It is the second largest building in the British capital – after Buckingham Palace. Three floors were excavated under the castle, Borisovich adds. A garage for 25 cars and a swimming pool with a 50-meter lane have been set up here.
The obscene wealth of Russian oligarchs can be admired in many places in London, despite the sanctions. The sanctions list now includes more than 1,500 people, including many members of the Russian parliament – but critics say too few people have parked their money in London.
“Government must go much further”
The British government has tightened numerous laws. “Much has been achieved,” says Oliver Bullough, a journalist and author who has worked in London for years on the subject of sanctions and Russian oligarchs. But in his opinion the government should go much further.
An example is the commercial register. Finally there are new guidelines to create more transparency. In the past, anyone could start a company in the Mickey Mouse name – nobody checked the data. The government took action against this. But there are still massive gaps where the transparency rules do not apply, for example in the British Virgin Islands.
Government promises not kept
Oliver Bullough also criticizes that many oligarchs who are on the sanctions list are allowed to use money for their basic needs. For Pjotr Aven, for example, this should be £60,000 a month, says Oliver Bullough. He calls on the British government to treat the oligarchs more restrictively.
A year ago, Boris Johnson, the former British Prime Minister, promised more staff for the investigative authorities and crowned his speech in the House of Commons with the sentence: “Oligarchs in London will no longer have a hiding place in London.”
But it hasn’t come that far. The investigative authorities were increased, but there were far from enough people working in the relevant departments, says Oliver Bullough. He demands that Putin’s friends should be sanctioned much more severely.
Prigozhin lawsuit against journalists
Critics also find it outrageous that the sanctioned oligarchs can even sue journalists in British courts. In one particularly high-profile case, Yevgeny Prigozhin, head of the Wagner mercenary troupe, brought a libel suit against journalist Eliot Higgins.
He had published details about the Wagner Group’s operations in Africa and about Prigozhin’s closeness to Putin. The think tank Open Democracy just cited excerpts from documents showing that the UK government helped make this lawsuit possible.
Despite existing sanctions, Prigozhin was allowed to hire a law firm in London, and his lawyers were given the opportunity to fly to St. Petersburg. According to Open Democracy, Prigozhin paid the lawyers directly from Russia.
Ultimately, in March 2022, the court dismissed the lawsuit. However, many journalists are intimidated by these lawsuits, mainly because they are dealing with the best law firms whose procedures are very expensive.
Russian donations to the Tories
There are reasons for the hesitant and even friendly treatment of Russian oligarchs over the years: A whole group of industries has established itself in London that supports very wealthy people: real estate and financial consultants, law firms and private schools, for example.
In recent years, Russian citizens have also repeatedly donated money to the Conservative Party. In February 2022, the Labor Party released information about these donations. According to this, the Conservative Party had received more than two million euros in donations from Russians or from Russian sources since Boris Johnson took office.