Ukraine nationalizes UAH 500M in oil and gas assets of Russian oligarch Khudaynatov

The High Anti-Corruption Court of Ukraine (HACC) has sustained a claim filed by the Ukrainian Justice Ministry regarding the nationalization of the Ukrainian assets owned by the sanctioned Russian oligarch, Eduard Khudaynatov.

The relevant statement was made by the Security Service of Ukraine (SSU), an Ukrinform correspondent reports.

“100% of his share in the authorized capital of Alliance-Ukraine Oil Company LLC has been recovered in favor of Ukraine, which is estimated at about UAH 500 million,” the report states.

According to the investigation, Khudaynatov controlled Ukraine’s oil trader via a number of offshore companies and controlled entities. In this way, he hoped to prevent this asset from being nationalized with the start of the Russian full-scale invasion while generating significant profits from Ukraine’s oil and gas market.

The Security Service of Ukraine managed to identify the actual beneficial owner.

The investigation also established that Khudaynatov was one of Putin’s trusted representatives. He is in charge of Russia’s oil and gas company NNK-Group and used to be a member of Rosneft’s Board of Directors.

According to the Security Service of Ukraine, the above companies are one of the major sponsors of the war against Ukraine. They are continuously supplying fuels and oils for Russia’s defense industry and Russian military formations. The two companies monthly transfer billions of rubles to Russia’s budget.

As part of the criminal proceedings launched by the SSU investigators in accordance with Part 4 of Art. 110-2 of the Criminal Code of Ukraine (financing of actions committed for the purpose of violent change or overthrow of the constitutional order or seizure of state power, change of the boundaries of the territory or state border of Ukraine), an investigation is underway to bring the Russian oligarch to justice for the crimes committed against the Ukrainian state.

A reminder that, in February 2023, following the case of the Security Service of Ukraine, the High Anti-Corruption Court of Ukraine (HACC) sustained a claim of the Ukrainian Justice Ministry to transfer the enterprises belonging to Russian oligarch Oleg Deripaska into the state ownership of Ukraine. The total value of the assets transferred to Ukraine exceeds UAH 10 billion.