Support The Moscow Times!

Kremlin Probing State Companies Over Corruption

President Vladimir Putin has instructed major state companies to unofficially provide tax and financial authorities with information about their deals monthly in an effort to probe corruption.

The Federal Tax Service and Federal Financial Monitoring Service receive the information in order to check whether corporate management is affiliated with any businesses, a government official said on condition of anonymity, Vedomosti reported.

The process was earlier coordinated by Putin's powerful ally Igor Sechin, who monitored the information during his tenure as a deputy prime minister until 2012.

Information on the presumed violations of state companies' executives was used by the Kremlin to launch a campaign against the management of state-owned power companies. The campaign led to the dismissal of several top executives in 2011-2012.

According to an enquiry initiated by Sechin,169 out of the 352  power company CEOs probed by the authorities were affiliated with other businesses.

In February, RusHydro CEO Yevgeny Dod was publicly grilled by Putin, who questioned him about a company allegedly affiliated with him. The company had purportedly failed to implement a supply contract with RusHydro.

The government has representatives on the boards of state companies, who are obliged to report about the situation at their companies to the state.

… we have a small favor to ask. As you may have heard, The Moscow Times, an independent news source for over 30 years, has been unjustly branded as a "foreign agent" by the Russian government. This blatant attempt to silence our voice is a direct assault on the integrity of journalism and the values we hold dear.

We, the journalists of The Moscow Times, refuse to be silenced. Our commitment to providing accurate and unbiased reporting on Russia remains unshaken. But we need your help to continue our critical mission.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and you can be confident that you're making a significant impact every month by supporting open, independent journalism. Thank you.

paiment methods
Not ready to support today?
Remind me later.

Read more