The Verdict Is In

The re-sentencing of Russia's No.1 dissident, Mikhail Khodorkovsky, wasn't unexpected, but the sheer brazenness of it is a striking and dangerous sign of bad things to come.

BY JULIA IOFFE | DECEMBER 30, 2010

There is one word that comes to mind when watching the drama surrounding the Mikhail Khodorkovsky verdict and sentence today of 13.5 years in prison. Perhaps tellingly, it is a Russian word: naglost'. English simply doesn't have one word that packs into so few letters all that naglost' means: arrogance, contemptuous malice, obnoxiousness, brazenness, insolence, impudence, and sheer nerve. Google Translate suggests no fewer than 22 synonyms, none of which captures the fullness of the word as well as the Russian government has embodied it in this case.

There was, for instance, the postponement. The verdict was supposed to be read on the morning of Dec. 15. Camera crews, journalists, and a crowd of Khodorkovsky supporters showed up at the courthouse to find a piece of paper taped to the courtroom door. The verdict would now be read on Dec. 27, it read, when the world -- and foreign journalists -- would be on holiday. No one had bothered to alert Khodorkovsky's legal team. When asked for an explanation, the court spokeswoman snapped, "The court does not explain itself." 

When the court reconvened on Dec. 27, just before the reading of the verdict could commence, Judge Viktor Danilkin called a 15-minute recess. After it was over, he simply didn't let the journalists back in. Then he shut off the simulcast of the proceedings and kicked Khodorkovsky's wife and daughter out of the room.

And just when one thought the naglost' had surely peaked, the court -- and, by extension, the Russian government -- showed how much farther they could go. In October, the prosecution had cut the volume of oil allegedly stolen by Khodorkovsky from 350 million tons to 218 million, citing a lack of evidence and arithmetical error. But on Dec. 29, Judge Danilkin found Khodorkovsky and his partner Platon Lebedev guilty of stealing -- that's right -- 350 million tons of oil. The judge overrode the prosecution, apparently deciding that it was not being prosecutorial enough.

And there's more: On the second day of monotonous reading (the verdict is some 250 pages, most of which simply recapitulates the trial and all of which has to be read aloud), Danilkin challenged the testimonies of German Gref, the minister of economics and trade from 2000 to 2007, and of Viktor Khristenko, minister of industry. Both had reluctantly testified on Khodorkovsky's behalf this summer, but Danilkin said that their testimony merely proved Khodorkovsky's guilt. What had they said in court? Gref testified that had 350 million tons of oil been stolen under his watch, he surely would have noticed -- and he didn't notice any such theft. Khristenko, for his part, explained why it is impossible to accuse Yukos (Khodorkovsky's oil company) of stealing oil at all. But Danilkin seemed to think that it was, in fact, very possible, and reminded everyone of a crucial detail that, in his view, mortally compromised the two high-level government officials: They had been subpoenaed by the defense. And the defense, let's recall, is not anything the Russian judiciary takes seriously, even when trying to imitate a fair trial.

On Dec. 30, the third day of the reading, Danilkin accused Khodorkovsky and Lebedev of withholding dividends from shareholders -- which, he said, "hurt their feelings" -- even though the day before he had found the two former oil executives guilty of bribing board members and shareholders so they would participate in Khodorkovsky's plot to steal 218 million -- wait, no, 350 million tons of oil. How did he bribe them? He paid them dividends.

One could go further and expose more reasoning such as this, reasoning one could call circular if that circle didn't instantly collapse on itself. It seems a pointless exercise, however, when the charges themselves are completely nonsensical: Khodorkovsky has just been convicted and sentenced for stealing all the oil his company ever produced, after having been convicted and sentenced in 2005 for not paying taxes on all the oil his company ever produced.

Much of the coverage of the verdict and trial has described the affair as a farce, but farce cannot be the right word when, at every step, the court has displayed such a flippant disregard for even the barest semblance of logic, or when it pulls such childishly malicious stunts as coaxing the press out of the courtroom. (Or when it seems to just be half asleep: In the course of mechanically reading the verdict, Danilkin occasionally read pages twice, or pages from something else altogether that had somehow made it into his stack of paper.)

Sadly, this is not just about the Khodorkovsky case, which is still ignored by a massive -- if shrinking -- segment of the Russian population. This is about a large and growing arrogant impudence embodied not by the Kremlin, but by the real master of the house, Prime Minister Vladimir Putin. Plans to hew a road through the federally protected Khimki forest this summer sparked an unexpectedly fierce public resistance, so President Dmitry Medvedev pulled the plug on the project until the experts could deliver their opinion (which no one had asked them for in the beginning). Earlier this month, however, the original plan for the road was reapproved: Putin's friend, Arkady Rotenberg, just had too much money riding on the project.

What else? In November, the lawyer-cum-blogger Alexei Navalny posted Treasury Department documents showing that Transneft, the state oil transport monopoly, had stolen a humble $4 billion in building an oil pipeline to China. How did the government respond? The next day, Putin publicly thanked Transneft "for its big contribution to the development of energy cooperation between the Russian Federation and the People's Republic of China."

During Putin's annual December phone-a-thon with the Russian public, he received a question from the town of Ivanovo, from a cardiologist named Ivan Khrenov. Khrenov alleged that all that hi-tech equipment and the happy, well-paid doctors the premier saw during his visit this November to Khrenov's hospital had been brought in for the occasion, a near-literal Potemkin Village. "What you saw in the wards also has little to do with the real situation," Khrenov said during the live broadcast. "Most of the patients were asked to leave the hospital on the day of your visit, and in some wards the patients were disguised as members of the hospital's staff." Putin, seemingly surprised and dismayed by this allegation, ordered an investigation. But the special commission investigating the charges found that Khrenov had been lying, of course. (Khrenov is now being accused of slander, in a turn of events reminiscent of Alexey Dymovsky, a police officer who issued a YouTube video detailing grotesque corruption in his unit. He was jailed and bankrupted.)

The most shocking example of this fuck-you attitude is the case of Sergei Magnitsky, a 37-year-old lawyer for Hermitage Capital, then the biggest foreign investment company in Russia. He died in November 2009 under stomach-turning conditions while being held in pre-trial detention. He had been put in prison ostensibly for evading taxes, though he was forced to recant his findings that three Interior Ministry employees had, through forged Hermitage documents, stolen $230 million of Russian tax revenue. Despite the shock over Magnitsky's death, this November the Interior Ministry awarded those same officers medals for exceptional service. Earlier, an investigative committee had found that Magnitsky himself was party to stealing that money. This after Medvedev pledged to punish those responsible for Magnitsky's death.

This is at the core of Putin's image as a salty man of the people who speaks his mind: He does things his way, and, when his way is challenged, he will contemptuously, insolently, flip the world and his subjects a giant, brazen bird. Thus his Foreign Ministry told foreign leaders -- like U.S. Secretary of State Hillary Clinton and German chancellor Angela Merkel, who issued flabbergasted statements criticizing the Khodorkovsky conviction -- to "mind [their] own business, both at home and abroad."

To many, it is reminiscent of the behavior of street thugs (of which Putin was one until he tried to join the KGB and was told to first go to college) or of the gulag barracks: Any sign of compromise is weakness, and any sign of weakness starts the countdown to your demise. How do you show strength and leadership in today's Russia? Be brazen, be rude, be ruthless.

"It is unaccountability par excellence," says political analyst Masha Lipman, of the Carnegie Moscow Center. "You can do whatever you want because you're the man of the house. And even when the action seems to be beyond the pale" -- say, postponing the hotly awaited Khodorkovsky verdict with a note on the door -- "they seem to say, ‘You'll eat it, and you'll like it.'" This is what's known in Russia as the Churov rule, named after Vladimir Churov, an eccentric old man doggedly loyal to Putin and known to his employees at the Russian Central Election Committee as "Grandpa." "Putin is always right," he told an interviewer in 2007. And if he's wrong? Churov replied: "Can Putin really be wrong?"

ALEXEY DRUZHININ/AFP/Getty Images

 

Julia Ioffe is Foreign Policy's Moscow correspondent.

PLEAB

3:15 AM ET

December 31, 2010

Why should I care about Khodorkovsky?

No really, why?

I suspect you don't give a damn about him either. I've gone back and re read some of your articles. It seems you have an axe to grind. What bothers you is Putin.

But, 'Alpha-Dog' Putin and his merry band of mobster oligarchs are laughing themselves silly. The more you seethe, the more they laugh. That's assuming they notice you in the first place. Why give them this pleasure? There are no good guys here. You must know that.

Tell me, if you believe Khodorkovsky is innocent, can you make the argument? Give me some background and history. I'm not reading Foreign Policy because I like cynical travel logs. I don't give a shit about your impressions of Russian justice. Tell me something I don't know. Tell me anything about Russian politics or foreign policy but please, PLEASE, I am sick to death of articles written by so called journalists that never say very much of anything. The message is always the same, Russia = enemy. Putin = evil KGB. Be afraid.

I am not especially worried about Russia or Putin; or of terrorists or Wikileakers or whatever else is being sold as the next big, omnipresent enemy to be feared.

What troubles me is the behavior of our own so called 'leaders.' They devote themselves almost exclusively to the pursuit of power-- for its own sake. I'm disturbed that the media, so called journalists, slavishly serve the interests of power hungry politicians and the people who pull their strings. I am troubled that our own oligarchs, on Wall Street and beyond, have somehow managed to steal/cheat/defraud us of 700 billion dollars and stick us with the bill: an enormous bill that will take GENERATIONS to pay for! Yet still they escaped scrutiny and ran off with their pilfered billions. These are criminals too, no?

We have collectively passed into debt servitude to pay for the misdeeds of our own oligarchs. That's what troubles me. No one noticed. It happened while our media busily distracted us with tales of terrorists and evil Russians. Whether you, as an individual journalist, can be fingered for some of the blame is another matter. One thing is sure: fear of Russia begets massive military spending on useless toys. That's who you work for, unwittingly or otherwise.

You are dismissing one gang of criminals, while forgetting to mention you work for (or serve the needs of) another gang of criminals. By the looks of things, your (our) oligarchs are far more sinister and destructive than those in Russia. In terms of blood, treasure and especially in terms hope, our gangsters are by far the worse.

Khodorkovsky was a vain and arrogant man who got carried away. He was greedy and now his billions mean nothing. He's sitting in a mess of his own making.

Boo hoo.

 

HARLANANELSON

4:52 PM ET

December 31, 2010

PLEAB

Who's the one grinding the axe? You perhaps?

 

FREDERICH

11:19 PM ET

January 1, 2011

Wow, you are delusional

The article is written about the behavior of X. You just came in here threw a bunch of accusations at Y, totally ignoring the main difference between the two. You obviously have a different agenda on your writing and its not "your concern with our own leaders."

 

SCRAT335

5:20 PM ET

January 2, 2011

Breath of fresh air.

Pleabs post is about as well done as they come. He's spot on. I'd like to add also that I've been going to Russia for the last 16 years and have been following the goings on there for some time. I have many friends there, I speak and read Russian reasonably well. I saw Russia on it's knees, I saw it many times the most recent this fall. I see how far they have come and I must say a lot of the progress is due to the stability they now have. The current governing body there is largely responsible for it. I'll not lay all the kudos at Putins feet, as I will not lay all the raspberries at Yeltsins.
I will say this though, Putin is one of the main characters in Russias resurgence. He's scared the hell out of the west, he's made Russia a force to be reckoned with again. Just the opposite of what the west wanted.
As for journalists and Russia here in the west the answer is obvious. It's a lot easier and safer to poke a finger at Russia than it is to talk about the festering issues in America and other countries in the west. Western journalists really need to grow some cajones.

 

MISANTHROPICUS

9:25 AM ET

December 31, 2010

Si non e vero, e ben trovato...

Having worked and travelled in Russia and a few Eastern European countries, I have a different - and sounder - view of this affair than Ioffe's -

Yeah, the workings of the Russian court in this case are full of "irregularities" - yet the essential charges against Khodorovsky are perfectly valid, too, and the verdict is entirely deserved -

The scandal around this is completely artificial, and only thing that the rank and file Russians see as a bad here is the fact that Khodorovsky is the ONLY oligarh in jail, instead of a large squad of them -

Khodorovsky was a robber baron in the nineties, stealing, abusing, bribing or removing "obstacles" ruthlessly taking advantage of Russia's dissolution -

What happened later, is that he and criminals like him, had to face the re-consolidation of the traditional power structure of Russia, i.e. the nomenklatura, the KGB and the army - and while most oligarchs wisely aligned to the structure, Khodorovsky thought that he could confront it, and have his way -

And after the early skirmishes, it was clear that Putin's crew is different that the demoralized and influentable people around Yeltsin - yet Khodorovsky went ahead, thinking that he still can parlay his business influence in to the political realm - it didn't work and, now he's in jail -

Don't cry for me, Argentina- hubris, greed, arrogance, irresponsibily, you name them - and don't make from him a hero - acttually the scandal serves better Putin than the powers to be, because Russians actually see here JUSTICE (albeit imperfect 'cause they'd love to see a larger crew of Khodorovsky-s breaking stones in Yakutia), and Putin as a sort of Robin Hood, who made of Khodorovsky an example of what can happen to the robber barons -

The rest is noise - the human right useful idiots, and the jewish lobby who try to make out of Khodorovsky a sort of wronged Jonathan Pollard, a visionary man of integrity who tried to help Russia in times of misery -

Nyet - Putin and Loubianka won, and no matter how loud will Gliksman and other wail, Khodorovsky will do the term -

 

GENNY

12:37 PM ET

December 31, 2010

A bit of maths

In this formula: "stealing, abusing, bribing or removing "obstacles" ruthlessly taking advantage of Russia's dissolution" there is only one variable - "dissolution", which if replaced with the opposite, doesn't change the whole formula.

 

GENNY

12:04 PM ET

December 31, 2010

The heaviest consequence of this case

If the prosecutors from the show no.2 will be awarded less than their colleagues from the show no.1, they must sue before the Strassbourg court for degrading treatment.
Causes:
1. Ignoring by judge Danilkin of 132 mln. tons (which are back in the judgement)
2. Disclosing of a cunning trick with summoning high-ranking officials as though for witnessing for defense, and actually witnessing for prosecution. Now the FBI is aware of this know-how and will make it their own. Damage is hard to assess.

Happy New Year 2011!

 

MALICEIT

3:51 PM ET

December 31, 2010

RE:

Madoff-150 years in jail.
He only got 13.5, consider its a present from United Russia.

 

ORMONDOTVOS

5:17 PM ET

December 31, 2010

If only the USA could punish ITS robber barons...

In the longer sweep of history, Russia's crude and forceful governmental behavior might allow it to surpass the USA, BECAUSE Putin has the power to act, the approval of the people, and the understanding, I hope, that corporations and oligarchs will destroy his nation, as they are so successfully destroying the USA.

Putin may be hard, but he's smart, and he knows the USA from the viewpoint of the KGB, which might not be such a bad thing.

US legislators are afraid of the corporations. Putin doesn't seem to be. From the various disasters caused by USA corporations, you'd expect action from the US government, but it isn't happening. The entire world is threatened by global warming, overpopulation and pollution, and the USA dithers.

Russia acts. Hope we don't end up at war again, but the USA has a lot to learn, and is petulant when confronted with its own failures to educate its citizenry and control its parasites. We shall see.

 

FREDERICH

11:48 PM ET

January 1, 2011

For those misunderstanding the main point

Some of the writers here seem to make the point that the “West” is using this trial as an anti-Russian propaganda tool! They are missing the essence of the argument: Putin will take out anyone who opposes him. Just think of this: Was Politkovskaya a criminal? Why doesn’t Putin have any real opposition? But that doesn’t matter to you because you have been getting poisoned with the idea that the U.S. politicians are even more corrupt and thus the American system is too.
You are obviously forgetting the fact that in the U.S. you have people opposing everyone else, a free country! For Arvay, you have Walt and others criticizing the “Jewish Lobby”. For you anti-American government, you have all these tea-partiers seriously criticizing the U.S. government…and the list goes on at every level in every part of what is America. You are forgetting that this is not only a minor difference between your “Orderly Russia” and “Corrupt U.S.” it is the essential difference. So go live to Russia or China if you think the U.S. has become so bad. I’m afraid that if you aren’t of their race and their mindset, chances are quite high that you’ll never fit their “ordered” society and mind end up…you know where.

 

FREDERICH

12:25 PM ET

January 2, 2011

Arvay

Try to get the whole picture of what I wrote.

 

GRANDPAW7

10:44 PM ET

January 2, 2011

Arvay provides a lot of food for thought.

I don't know enough about the Russian part to even be able to comment, except to say that I sure expect that the billionaire whose name I can't spell is likely where he should be. Although I expect that there are parts of what Arvay says about America that I might on closer study disagree with, I agree in general with his views about America. I do wish he would try to write when he is less angry so that he would come across as less arrogant. For example, he spends so much time denouncing so much of what America has done, that his statement that he prefers our system sounds a bit weak. I find it easier to learn from a more dispassionate review of America's role. Somehow, things written in anger encourage skepticism even where it may not belong. Nonetheless, thanks to Arvay for the education.

 

GRANDEROHO

6:15 AM ET

January 3, 2011

Putin Trust Busting?

As someone who is American studying Russian history, I can understand if Russians are paranoid and protectionist. Since Napoleon and continuing after they have continually been invaded, and later forced to ally with their former invaders due to necessity. I can understand if they are skeptical of United States, looking at how they are going about business now, they look much like America did during the turn of the century.

Putin is ominously like T. Roosevelt to me from what I've read of him. Both were military men that ran on what can be attributed to political intimidation(not in an inherently negative sense but it boils down to such) and were leaders(Putin still is) at a turning point in their countries history. I say it's ominous that while I love T. Roosevelt and his trust busting glory, it's easy for Americans to not be introspective in the fact that he wasn't exactly doing the trust busting out of good nature purely. He had competing oil interest that wanted him to do the busting, which were funding his campaign. The whole bull moose progressive party was financed by these competing interests.

I've read a lot on Putin, he's an encapsulating figure to say the least. I'm almost certain that he is corrupt, it's clear there are competing interests in Russia that are funding his rise but that's politics. This story again, just reminds me of T. R. going after standard oil. The comparison seems apt to me. Americans love to compare ourselves to others, and the comparison is probably superfluous but that's what I gather so there you go.

 

EDTHEOBSERVER

11:52 AM ET

January 3, 2011

It's not about Khodorkovsky

Julia has nailed it on the head. The case shows in its absolute (and absurd) clarity complete disrespect of law and of the Russian citizens by the dictatorial mobster Putin's system. And that's what should bother concerned people in the West.