ISD CEO Mkrtchan, arrested in Moscow for embezzling VEB loan, renounces Ukrainian citizenship
Oleh Mkrtchan, CEO of the Industrial Union of Donbas (ISD) Corporation, who was arrested in Moscow on charges of embezzling more than a billion rubles as a loan of Russia's Vnesheconombank (VEB), has announced his withdrawal of Ukrainian citizenship and acquisition of Russian citizenship.
According to a report published by the Kommersant newspaper on Friday, last weekend he arrived in Russia from abroad and stayed in a five-star hotel Ritz-Carlton on Tverskaya Street. On Monday morning, the businessman was visited by officers of the FSB's Economic Security Service, who presented the decision by an investigator of the chief investigative directorate of the Russian Investigative Committee to attract him as a defendant for the commission of a crime under Part 4, Article 159 of the Russian Criminal Code (large-scale fraud).
According to investigators, while being a co-owner and CEO of ISD, Mkrtchan attracted several loans from Vnesheconombank for the development of enterprises that are part of the corporation, but transferred part of the money - more than a billion rubles - to an offshore firm controlled by him, subsequently spending this money on his projects.
According to the newspaper, Mkrtchan did not admit his guilt, saying that he has nothing to do with embezzlement, as well as an offshore firm, through which, according to the investigation, the state corporation's money was stolen.
Moscow's Basmanny Court arrested Mkrtchan until April 5, 2018. He was charged with large-scale fraud.
According to the media, Mkrtchan's detention may be related to the case on the embezzlement of funds allocated by Russian banks for ISD projects and to other businesses owned by the businessman.