How Business Is Done In Russia

PRESIDENTIAL VISIT: Russian leader Vladimir Putin inspects a Sibur plant in Voronezh, Russia, in May 2013. On the far right is Kirill Shamalov, a major shareholder in Sibur and son-in-law of Putin. REUTERS/Mikhail Klimentyev/Sputnik/Kremlin

Jack Stubbs, Andrey Kuzmin, Stephen Grey and Roman Anin, Reuters: How Russia does business in the Putin era: Comrade Capitalism

The story of Kirill Shamalov, the celebration of his wedding to the Russian president’s younger daughter, and the loan from a politically well-connected bank that helped make him a billionaire.

IGORA, Russia - The wedding party dominated a ski resort nestled in the hills about an hour’s drive north of St. Petersburg. No expense was spared and everyone was sworn to secrecy. The happy couple rode in a traditional Russian sleigh drawn by three white horses, said one of the workers who described the scene to Reuters.

The bride wore a long pearl-tinted wedding dress, the groom wore a dark overcoat, said another person who attended. The newlyweds were Katerina, younger daughter of Russian President Vladimir Putin, and Kirill Shamalov, son of an old friend of Putin.

Their wedding celebrations took place in February 2013, at Igora, a small ski resort that combines beauty and discretion, five people who were there told Reuters. Set amid woodland with a picturesque lake, the resort is co-owned by the family of Yuri Kovalchuk, another old friend of Putin, and a Cyprus company with undisclosed shareholders.

Update: Putin’s daughter, a young billionaire and the president’s friends (Reuters).

WNU Editor: Take it from one who knows .... doing business in Russia is the same as doing business in China .... it is all about connections. Kudos to Reuters for doing this series on how business is done in Russia .... unfortunately .... they are not even touching the tip of the iceberg.