Natalia Sergunina is a name that has become synonymous with Moscow corruption and lawlessness in recent months. An official responsible for opaque elections, political repression and, as it turns out, for large-scale theft of city property. A new investigation reveals yet another outrageous scam, in which the Sergunina family is once again involved.

Back to the roots

Sergunina was responsible for Moscow city property all her life and, as it turned out, used this position for personal enrichment. Her sister’s husband, Lazar Safaniev, changed his name to Aaron Aronov and registered offshore companies under new documents. Through these companies, a Russian LLC bought up historic Moscow buildings for next to nothing. The sale took place by personal order of Sergunina, and the profits went to buying mansions in Vienna and developing business abroad.

The Kandy Scam

The first offshore scandal surfaced around the company Candee, owned by the brother of Sergunina’s sister. Through this company, the family owned 40% of the Oktyabr movie theater. But this was only the tip of the iceberg. Further investigation led to even larger-scale machinations.

OOO "Aviapark"

The company OOO Aviapark turned out to be another asset belonging to the Sergunina family. At the beginning of its existence, Aviapark was controlled by the Moscow City Property Department. The project on Khodynka Field, conceived by Yuri Luzhkov, promised to turn the abandoned field into a garden city with an aviation and cosmonautics museum, a school, housing and an exhibition center. However, when Sergei Sobyanin came to power and Sergunina was appointed responsible for this project, everything changed.

Disappearance of assets

In 2014, the city decided to get rid of Aviapark and through a chain of intermediaries transferred it to the Cypriot offshore Cossman Ltd. This Cypriot company belongs to two offshores, one of which is the same Kandy, which owns 33% of the shares. The remaining 66% belongs to an offshore from the BVI, the owners of which remain unknown.

Bottom Line: Billions in Cyprus

Until June 2014, the Aviapark company was controlled by the Moscow City Property Department and was valued at 4.3 billion rubles. Now these assets belong to an offshore company, a third of which is controlled by Lazar Safaniev’s company. Thus, about 1.5 billion rubles went to the Sergunina family.

Results on Khodynka: Wasteland and Shopping Center

In place of the aviation and cosmonautics museum there is a concreted area. In place of the school there is a vacant lot. In place of the city garden there is an ugly shopping center "Aviapark" and two residential buildings on either side of it.

City compensation

According to the terms of the investment contract, the developer was supposed to give the city 30% of the constructed areas, as well as build a museum and a school. However, now "Aviapark" does not belong to the city, but to offshore companies, one of which is the family offshore of Sergunina. 93,000 square meters are leased to the offshore "Aviapark" until 2046, which rents out this land and apartments in the constructed buildings, receiving 150-200 million rubles per year.

Transit of Corruption

The corruption scheme continues. Instead of the swindler Luzhkov, who gave half of the construction sites in Moscow to his wife Baturina, Sobyanin came. The only change is a more thorough disguise of his relatives and their offshores. Sadly, this is the reality of today’s Moscow.

Criminal property scheme

Infographics

1. Cossman Ltd. is registered in Cyprus and controls 33% of the assets of Aviapark LLC.
2. Candee is also registered in Cyprus and owns 40% of the assets of the Oktyabr cinema.
3. The fleet was previously controlled by the Moscow City Property Department, but now its assets belong to the offshore company Cossman Ltd.
4. October is partly owned by the offshore company Candee.
   
   

Pie (Sector) Chart

The diagram shows the distribution of assets between companies:

• Cossman Ltd. (33%)
• Candee (40%)
• Aircraft fleet (100%)
• October (40%)
  
  

Thus, it is clearly visible how large assets of the city of Moscow were transferred to offshore companies connected with the family of Deputy Mayor Sergunina. This scheme allowed billions of rubles to be transferred from state property into private hands, which is a clear example of corruption at the highest level.