Boris Abramovich Berezovsky (, ; 23 January 1946 – 23 March 2013), also known as Platon Elenin, was a Russian business oligarch, government official, engineer and mathematician. He was a member of the Russian Academy of Sciences and held the federal state civilian service rank of 1st class Active State Councillor of the Russian Federation.
Berezovsky had an estimated net worth of $3 billion in 1997, which he amassed through the privatisation of state property in the early 1990s, most notably the main television channel, Channel One. By the time of his death in 2013, however, he was impoverished and severely depressed, having lost a series of legal battles against his former friend Roman Abramovich, been forced to sell assets, and undergone a costly divorce settlement with his former wife. Berezovsky helped fund Unity to secure Vladimir Putin's election, in the expectation that the status quo and the influence of the oligarchs would be preserved. He was elected to the State Duma in the 1999 Russian legislative election, standing as a Putin loyalist. Following the 2000 Russian presidential election, however, Putin consolidated power and became increasingly autocratic, demanding the loyalty of all oligarchs; Berezovsky then went into opposition and resigned from the Duma. He remained a vocal critic of Putin for the rest of his life.
In late 2000, after the Russian Deputy Prosecutor General demanded that Berezovsky appear for questioning, he remained abroad and moved to the United Kingdom, which granted him political asylum in September 2003. After his departure, the Russian government took over his television assets, Despite an Interpol Red Notice for his arrest, Russia repeatedly failed to secure his extradition from Britain; the situation became a major point of diplomatic tension between the two countries.
In late 2011, an Israeli private investigator ordered the mercenary Indian hack-for-hire firm Appin to hack Berezovsky and his lawyers. In 2012, Berezovsky lost a High Court case he brought over the ownership of the major oil producer Sibneft, against Roman Abramovich, in which he sought over £3 billion in damages.
Berezovsky was found dead at his home, Titness Park, at Sunninghill, near Ascot in Berkshire, on 23 March 2013.
Early life, scientific research and engineering experience
Boris Abramovich Berezovsky was born in 1946, in Moscow, to Abram Markovich Berezovsky (1911–1979), an Ashkenazi Jewish civil engineer in construction works, and his wife, Anna Aleksandrovna Gelman (22 November 1923 – 3 September 2013). He studied applied mathematics, and received a doctorate in 1983. After graduating from the Moscow Forestry Engineering Institute in 1968, Berezovsky worked as an engineer from 1969 until 1987, serving as assistant research officer, research officer and finally the head of a department in the Institute of Control Sciences of the USSR Academy of Sciences. Berezovsky researched optimization and control theory, publishing 16 books and articles between 1975 and 1989. After graduation, he got a job by distribution. Berezovsky later stated that he disliked his initial job, although appreciated his academic entourage that "shaped his personality".
As a member of the Communist Party of the Soviet Union, he did not act as a political dissident. Yet, he disagreed with the official ideology,
Political and business career in Russia
Accumulation of wealth
Alexander Khinshtein (State Duma deputy, member of the United Russia faction) claimed that in 1979 Boris Berezovsky was detained by the OBKhSS authorities in Makhachkala (Dagestan Autonomous Soviet Socialist Republic) for profiteering. In Khinshtein's opinion, Berezovsky has been a KGB officer since 1979.
In 1989, Berezovsky took advantage of the opportunities presented by perestroika to found LogoVAZ () with Badri Patarkatsishvili and senior managers from Russian automobile manufacturer AvtoVAZ. LogoVAZ developed software for AvtoVAZ, sold Soviet-made cars and serviced foreign cars. The dealership profited from hyperinflation by taking cars on consignment and paying the producer at a later date when the money lost much of its value.
One of Berezovsky's early endeavors was All-Russia Automobile Alliance (AVVA), a venture fund he formed in 1993 with Alexander Voloshin (Boris Yeltsin's future Chief of Staff) and AvtoVAZ Chairman Vladimir Kadannikov. By 2000, AVVA held about one-third of AvtoVAZ.
In 1994, Berezovsky was the target of a car bombing incident, but survived the assassination attempt, in which his driver was killed and he himself was injured. Alexander Litvinenko led the FSB investigation into the incident and linked the crime to the resistance of the Soviet-era AvtoVaz management to Berezovsky's growing influence in the Russian automobile market.
Berezovsky's involvement in the Russian media began in December 1994, when he gained control over ORT Television (see Channel One (Russia)) to replace the failing Soviet TV Channel 1. He appointed the popular anchorman and producer Vladislav Listyev as CEO of ORT. Three months later Listyev was assassinated amid a fierce struggle for control of advertising sales. Berezovsky was questioned in the police investigation, among many others, but the killers were never found.
Under Berezovsky's stewardship, ORT became a major asset of the reformist camp as they prepared to face Communists and nationalists in the upcoming presidential elections.
From 1995 to 1997, through the controversial loans-for-shares privatisation auctions, Berezovsky and Patarkatsishvili assisted Roman Abramovich in acquiring control of Sibneft, the sixth-largest Russian oil company, which constituted the bulk of his wealth.
In 1995, he played a key role in a management reshuffle at Aeroflot and participated in its corporatization, The merger was abandoned five months later amid falling oil prices.
Role in Yeltsin's reelection in 1996
Berezovsky entered the Kremlin's inner circle in 1993 through arranging for the publication of Yeltsin's memoirs and befriended Valentin Yumashev, the President's ghost-writer.
In January 1996, at the World Economic Forum at Davos, Berezovsky liaised with fellow oligarchs to form an alliance – which later became known as the "Davos Pact" – to bankroll Boris Yeltsin's campaign in the upcoming presidential elections. On his return to Moscow, Berezovsky met and befriended Tatyana Dyachenko, Yeltsin's daughter,
In the summer of 1996, Berezovsky had emerged as a key advisor to Yeltsin, allied with Anatoly Chubais, opposing a group of hardliners led by General Alexander Korzhakov. One night in June, in the drawing room of Club Logovaz, Berezovsky, Chubais and others plotted the ouster of Korzhakov and other hardliners. Firing them was controversial though, as Korzhakov a few days before caught two of Yeltsin's campaign organizers carrying US$500,000 cash without invoices out of the presidential administration building.
On 16 June 1996, Yeltsin came first in the first round of elections after forging a tactical alliance with Gen. Alexander Lebed, who finished third. On 3 July, in the runoff vote, he beat the Communist Gennady Zyuganov. His victory was due largely to the support of the TV networks controlled by Gusinsky and Berezovsky (NTV and ORT) and the money from the business elite. The New York Times called Berezovsky the "public spokesman and chief lobbyist for this new elite, which moved from the shadows to respectability in a few short years". Lebed promptly accused Berezovsky and Gusinsky of engineering his ouster, and formed a coalition with the disgraced General Alexander Korzhakov. The dismissal of Lebed, the architect of the Khasavyurt peace accord, left Yeltsin's Chechen policy in limbo. On 30 October 1996, in a political bombshell, Yeltsin named Ivan Rybkin as his new National Security Advisor and appointed Berezovsky Deputy Secretary in charge of Chechnya with a mandate to oversee the implementation of the Khasavyurt Accord: that is, the withdrawal of Russian forces, the negotiation of a peace treaty, and the preparation of a general election. On 19 December 1996, Berezovsky made headlines by negotiating the release of 21 Russian policeman held hostage by the warlord Salman Raduev amid efforts by radicals from both sides to torpedo peace negotiations.
On 12 May 1997, Yeltsin and Maskhadov signed the Russian–Chechen Peace Treaty in the Kremlin. Speaking at a press conference in Moscow, Berezovsky outlined his priorities for the economic reconstruction of Chechnya, particularly the construction of a pipeline for transporting Azerbaijani oil. He called upon the Russian business community to contribute to the rebuilding of the republic, revealing his own donation of US$1 million (some sources mention US$2 million) for a cement factory in Grozny. This payment would come to haunt him years later, when he was accused of funding Chechen terrorists.
After his dismissal from the Security Council, Berezovsky vowed to continue his activities in Chechnya as a private individual and maintained contact with Chechen warlords. He was instrumental in the release of 69 hostages, including two Britons, Jon James and Camilla Carr, whom he flew in his private jet to RAF Brize Norton in September 1998. In an interview with Thomas de Waal in 2005, he revealed the involvement of the British Ambassador to Russia, Sir Andrew Wood, and explained that his former negotiations counterpart, the Islamic militant leader Movladi Udugov, helped arrange the Britons' release.
Berezovsky had a phone conversation with Movladi Udugov in the spring of 1999, six months before the beginning of fighting in Dagestan. A transcript of that conversation was leaked to a Moscow tabloid on 10 September 1999 and appeared to mention the would-be militants' invasion. It has been the subject of much speculation ever since. As Berezovsky explained later in interviews to de Waal The clash was precipitated by the privatization auction of the communication utility Svyazinvest, in which Onexim bank of Chubais' loyalist Vladimir Potanin, backed by George Soros, competed with Gusinsky, allied with Spanish Telefónica. An initially commercial dispute swiftly developed into a contest of political wills between Chubais and Berezovsky. Both sides appealed to Yeltsin, who had proclaimed a new era of "fair" privatization "based on strict legislative rules and allowing no deviations". In the end, both sides lost. Berezovsky's media revealed a corrupt scheme whereby a publishing house owned by Onexim Bank paid Chubais and his group hefty advances for a book that was never written. The scandal led to a purge of Chubais' loyalists from the government. Chubais retaliated by persuading Yeltsin to dismiss Boris Berezovsky from the national security council. Berezovsky's service on the Security Council ended on 5 November 1997. Soros called the Berezovsky-Chubais clash a "historical event, in the reality of which I would have never believed, if I had not watched it myself. I saw a fight of the people in the boat floating towards the edge of a waterfall". He argued that the reformist camp never recovered from the wounds sustained in this struggle, setting the political stage for conservative nationalists, and eventually Vladimir Putin.
It is reported in the documentary series Captive that Boris Berezovsky, in 1998, was effective in the release of two English aid workers who had been held hostage for ransom in Chechnya for 14 months
The Kremlin Family and Putin's rise to power
In the spring of 1998, Berezovsky made an unexpected political comeback, starting with his appointment, in April 1998, to the position of executive secretary of the Commonwealth of Independent States. He emerged in the centre of a new informal power group – the "Family", a close-knit circle of advisers around Yeltsin, which included Yeltsin's daughter Tatyana and his chief of staff, Yumashev. It was rumoured that no important government appointment could happen without the Family's support. By 1999, the Family also included two of Berezovsky's associates, his former AVVA partner Alexander Voloshin, who replaced Yumashev as Yeltsin's chief of staff, and Roman Abramovich.
The principal concern of the Family was finding an "electable" successor to Yeltsin to counter the presidential aspirations of the then–prime minister, Yevgeny Primakov, who was leaning to more statist positions. Political battles between the Family and Primakov's camp dominated the two last years of Yeltsin's presidency.
In November 1998, in a televised press conference, five officers of the FSB, led by Lieutenant Colonel Alexander Litvinenko, revealed an alleged plot by their superiors to assassinate Berezovsky.
In April 1999, Russia's Prosecutor General, Yury Skuratov, opened an investigation into embezzlement at Aeroflot and issued an arrest warrant for Berezovsky, who called the investigation politically motivated and orchestrated by Primakov. Nikolai Glushkov, Aeroflot's former General Director, later revealed that conflict with Primakov arose from the irritation that Berezovsky's management team caused in the Russian Foreign Intelligence Service, which Primakov headed before becoming prime minister, over firing of thousands of spies, who used Aeroflot as a front organization in Soviet times. The arrest warrant was dropped a week later, after Berezovsky submitted to questioning by the prosecutors. No charges were brought. Yeltsin sacked Primakov's government shortly thereafter and replaced him with Sergey Stepashin as new prime-minister.
Vyacheslav Aminov () supported Berezovsky and headed Berezovsky's security service.
Vladimir Putin's meteoric rise from relative obscurity to the Russian presidency in the course of a few short months of 1999 has been attributed to his intimacy with the "Family" as a protege of Berezovsky and Yumashev. By the end of 1999, the Family had persuaded Yeltsin to name Putin his political successor and candidate for the presidency.
Berezovsky's acquaintance with Putin dated back to the early 1990s, when the latter, as Deputy Mayor of St. Petersburg, helped Logovaz establish a car dealership. They enjoyed friendly relations; on occasion, Berezovsky took Putin skiing with him in Switzerland.
In mid-July 1999, the Family dispatched Berezovsky to Biarritz, where Putin was vacationing, to persuade him to accept the position of prime minister and the role of heir apparent. On 9 August, Yeltsin sacked the government of Sergei Stepashin and appointed Putin prime minister, amid reports that Berezovsky had masterminded the reshuffle.
Putin's principal opponents were the former Prime Minister Evgeny Primakov and the Mayor of Moscow Yuri Luzhkov, backed by the Fatherland-All Russia alliance. To counter this group in the Duma elections of 1999, Berezovsky was instrumental in the creation, within the space of a few months, of the Unity party, with no ideology other than its support for Putin. Later, he disclosed that the source of Unity's funding, with Putin's knowledge and consent, was Aeroflot. In the 1999 election, Berezovsky campaigned as a Putin loyalist and won a seat in the Duma, representing the North Caucasian republic of Karachaevo-Cherkessia. But Unity got a surprisingly high score in the elections, paving the way for Putin's election victory in spring 2000. However, on 31 May, Berezovsky sharply attacked the constitutional reform proposed by the president, which would give the Kremlin the right to dismiss elected governors. On 17 July 2000, Berezovsky resigned from the Duma, saying he "did not want to be involved in the country's ruin and the restoration of an authoritarian regime". In August, Berezovsky's media attacked Putin for the way he handled the sinking of the Kursk submarine, blaming the death of 118 sailors on the Kremlin's reluctance to accept foreign help. In September, Berezovsky alleged that the Kremlin had attempted to expropriate his shares in ORT and announced that he would put his stake into a trust to be controlled by prominent intellectuals.
In an article in The Washington Post in 2000, Berezovsky argued that in the absence of a strong civil society and middle class it may sometimes be necessary for capitalists "to interfere directly in the political process" of Russia as a counterweight to ex-Communists "who hate democracy and dream of regaining lost positions." Berezovsky took legal action against the journalist Paul Klebnikov, who accused him of various crimes. In October, in an interview in Le Figaro, Putin announced that he would no longer tolerate criticism of the government by media controlled by the oligarchs. "If necessary we will destroy those instruments that allow this blackmail", he declared. Responding to a question about Berezovsky, he warned that he had a "cudgel" in store for him. "The state has a cudgel in its hands that you use to hit just once, but on the head. We haven't used this cudgel yet. We've just brandished it... [But] the day we get really angry, we won't hesitate to use it." On 7 November 2000, Berezovsky, who was travelling abroad, failed to appear for further questioning and announced that he would not return to Russia because of what he described as "constantly intensifying pressure on me by the authorities and President Putin personally. Essentially," he said, "I'm being forced to choose whether to become a political prisoner or a political emigrant." Berezovsky claimed that Putin had made him a suspect in the Aeroflot case simply because ORT had "spoken the truth" about the sinking of the submarine Kursk. In early December, his associate Nikolai Glushkov was arrested in Moscow and Berezovsky dropped the proposal to put ORT stake in trust.