The German prosecution has ended an investigation into Russian sanctioned billionaire Alisher Usmanov in a money laundering case after he paid €4 million. This decision allowed the billionaire to avoid prosecution, but the sanctions on his assets in the EU remain in effect.
This was reported by Reuters. Usmanov is one of the richest Russian businessmen, with his fortune estimated at $14.4 billion in 2023, and his primary sources of income being businesses in the mining industry, telecommunications, and media.
Following the imposition of sanctions against him, several assets were seized in Europe, including yachts and real estate. Usmanov’s lawyers, Uwe Lambrook and Dr. Markus Götzens from the law firm Wannemacher & Partner, expressed satisfaction with the decision of the Frankfurt prosecutor’s office, calling it an "important step toward protecting" their client’s reputation. They noted that the investigation failed to provide significant evidence of his guilt, particularly in money laundering.
For the case to be closed, Usmanov agreed to pay €4 million, of which €2.5 million was transferred to the German government and €1.5 million to charitable organizations. The prosecutor’s statement indicated that Usmanov’s alleged actions did not cause financial harm to any entities in Germany and related to past events.
After the imposition of sanctions in 2022, the German prosecution opened several cases against Usmanov, including suspicions of money laundering, tax evasion, and violation of foreign trade laws. In the course of these investigations, searches were conducted at UBS bank offices and properties belonging to Usmanov in Frankfurt and Munich. Law enforcement also searched his estate near Tegernsee, as he was believed to be a taxpayer in Germany, having lived there predominantly since 2014.
Additionally, in 2021, the investigation received new information from the "Panama Papers," which revealed possible offshore schemes by Usmanov. According to the documents, the billionaire could have concealed assets through companies in the Virgin Islands, thereby avoiding significant tax payments in Germany. However, final evidence on these suspicions has also not been presented.
Usmanov was added to the European Union and United Kingdom’s sanctions list after Russia’s full-scale invasion of Ukraine. All his assets in Europe were frozen, and he was banned from entering EU countries. Among the seized assets were his luxury yachts, real estate in London, as well as Sutton Place estate in the UK. Additionally, German authorities confiscated 30 paintings from his collection, with a total value of about €5 million.
The Frankfurt prosecutor’s decision to end the investigation obliges Usmanov to make the payment, which is not only of legal significance but also symbolic. With the case closed, Usmanov may partially restore his reputation amid the sanctions, although financial restrictions and the seizure of his assets in the EU remain valid.