2. What are the oligarchs? Business magnates who emerged from the collapse of the Soviet Union, amassing vast amounts of wealth Oligarchs generally have used their money to gain political power Many oligarchs gained status through less-than-legal paths
3. Origins The collapse of the Soviet Union led to a ‘shock therapy’ program of mass privatization Government programs such as free vouchers and “loans for shares” allowed a few entrepreneurs to gain an incredible amount of wealth
4. Boris Berezovsky Started business under perestroika Acquired stakes in state companies Invested in the media Worked in the Duma and on the Security Council Once one of the 10 richest people in the world, now worth $1.1 bil Survived several assassination attempts Convicted of embezzling Aeroflot Arrest warrant in Brazil Linked to the murders of Anna Politkovskaya and Alexander Litvinenko Has political asylum in Great Britain
5. Mikhail Khodorkovsky Opened business in 1986 under guise of Konsomol Created Bank Menatep Controlled YUKOS through Menatep In 2004, 16 richest man in world Serving 8 years in a prison camp for tax evasion and fraud Is facing over 20 more years for embezzlement and money laundering
6. Today As of 2008, Moscow was home to more billionaires than any other city in the world: 74 As a group, the Russian Oligarch’s have lost an estimated $230 bil during the economic crisis
7. Discussion Does the United States have an oligarchy? What sort of circumstances in a country create the oligarchic businessman, or do people just get more subtle?
