Hearts: The Transnational Crime. Click for detail
Clubs: Interregional Crime Level. Click for detail
Diamonds: Crime at the federal level. Click for detail
Spades: Crime at the regional level. Click for detail
She was born in the small town of Byelorussian SSR. It is unknown whether she has higher education or not. - She declares that she has graduated from Leningrad State University, but it's not true - she isn't mentioned in lists of graduate students. She worked as teacher not for a long time and moved to America Worked for some time as a teacher than moved to America. According to the information from New York Times, at the age of 24 Janna worked as a baby-sitter in Kings-Highway in the family of an orthodox Jew bringing up seven children alone while his wife was in a mental hospital. From the first husband due to marriage with whom she moved to New York, Janna gave birth to the daughter Zoya. Soon she ran away from the house of the Jew’s large family and found a job in the grocery store next door. Her next working place was the juridical office where she worked as the Immigration Lawyer’s assistant. Here she met her second husband and the father of her second daughter Eugenia, Russian financial officer Alexey Bullock. According to American journalist Janna bought the real estate from the deviant people misusing their incompetence, than selling their property triple the price.
In 1992 Janna Bullock met Mr. Kuznetsov being the first Deputy Chairman of the “Inkombank” Board of Directors. That time she worked as an interpreter of the Russian-speaking criminal lawyer Emanuel Zeltzer. He specialized on money laundering and organized crime. This lawyer particularly provided legal services for the “Inkombank”. Kuznetsov came to New York to meet Zeltzer who sent Bullock to meet him in the airport. After that they “became friends immediately”, as informed the source from Bullok’s milieu. They divorced with their spouses and got married to each other. They gave birth to daughter Eugenia. Their relations became not only personal but also business.
Since 2000 the Bullok’s company started to purchase vast plots of land in Moscow Region and build supermarkets, cottage settlements etc.
The main business Janna Bullock had been associated with is American RIGroup which developing activities were concentrated in Russia. In the end of December 2007 the RIGroup office in America arranged a deal on purchasing of two luxury hotels in Courchevel - Alpes Hotel Du Pralong for 52 rooms and Crystal for 51 rooms.
The Russian branch of the International group of companies RIGroup has been operating since 2001. The founders are the Ameracan RIGroup and European Investment fund Westbury Fund Ltd. There are more than 60 projects in the company’s portfolio with the area of over 2 millions square meters including such projects as the commercial and intertainment net “ Schastlivaya 7Ya”, regional business centers RIGroup Plaza, cottage settlements and residential real estate.
«Russian Investment Group» (RIGroup) had vast developer projects in Moscow area : cottage settlements “Pavlovskaya sloboda” and “Privanovo”, commercial nets “Schastlivaya 7Ya”, «Torgoviye ryadi», the net of business centers «RIGroup Plaza», office complex «Dva kapitana» and sports resort «Sorochani».
Janna Bullock actively occupies herself with the modern art and design. She is a member of board of guardians of Solomon Guggenheim fund and respectable auction house of Phillips de Pury & Company, selling the design of XX century.
Among the major projects realized by RIGroup was the construction of business center “Dva kapitana” in Myakininsky valley bottom (the area is around 100 thousand square meters), multifunctional complex (73 thousand square meters) and housing estate (270 thousand square meters) in Mytishchi. Before crisis the whole developer portfolio could be priced at a 1,2 billion dollars.
Janna Bullock and her husband, the ex-Minister of Finance of Moscow Region Alexey Kuznetsov got involved in a scandal first in the end of 1990. Kuznetsov was the Vice President of “Inkombank” then and appeared as the person involved in the The Bank of New York cause celebre. Native of BelarusZhanna Bullakh also figured in the case. However the case was closed after all and didn’t entail any consequenses for Kuznetsov and Bullakh – Bullock. The Media didn’t attend the case accordingly.
Janna Bullock and her company RIGroup for the first time seriously got to the Media criminal reports in summer 2008. The messages came up on a law machinery investigations of the criminal cases about illegal registration of tens of hectares of land plots in Moscow Region by the companies connected with the RIGroup. The initiator was the Ministry of Nature. The Rosprirodnadzor was committed in the network of investigation to organize cooperation with Ministry of Internal Affairs Investigating committee and Prosecutor General’s Office. It was talked of criminal cases, where the ex – Minister of Finance Alexey Kuznetsov appeared. Janna Bullock was referred to the case only as his wife and the first person in the company within eyeshot of the law machinery. According to Ministry of Nature the plots of land in Moscow Region were illegally in companies connected with RIGroup.
Janna Bullock became widely known amidst the reading audience in the end of 2008 in connection with the statement made by the representatives of the rating agency Standard & Poor's. They announced about Moscow Region long-term credit rating decrease from B – to SD (selective default), which meant selective default on debtor’s obligations. In connection with this it was announced about Moscow Region rating decrease by the national scale from ruBBB- to ruSD. The credit rating decrease has been connected with the technical default of Moscow regional mortgage agency (MOIA) belonging to Moscow Region. Thereby that region of Federation, earlier considered to be a leader Regional budget salary debts increase, became the first Russian region the term “default” was officially applied to. In a fact the image of the Moscow Region governor Boris Gromov was seriously stroke. However the scandals connected with the Regional government had only started at that.
The main point of the default had been described as follows:
December 15, 2008 MOIA had to fulfill the offer in the amount of 5,2 billion rubles,but refused to do it in reference to the Moscow Region Odintsovo city court decision from the 5-th and 15-th of December about seizure of all MOIA obligations. The court decision was made in the framework of an action brought in accordance with the article “Fraud” versus to “RIGroup – Finance” CEO Ludmila Bezdel – the initiator of MOIA obligations issue. The spouse of Moscow Region ex –Minister of Finance Alexey Kuznetsov, Janna Bullock, the Head of RIGroup - the mother company of "RIGroup - Finance". According to Rosbalt agency Mrs Bezdel was arrested in December 2008.
For that moment there had not been officially informed about Janna Bullok’s part in the criminal cases.
In January 2009 it has been already announced about the possibility of transferring developer company RIGroup assets to OJSC “Moscow regional investment trust company”(MOITC) owned by Moscow Region government.
OJSC “Moscow regional investment trust company” (MOITC) was founded December 22, 2000. 100 % owned by Moscow Region it had been dealing with the development and realization of regional investment programs. The most significant projects are the Government headquarters and the Moscow Region Court palace in Krasnogorsk, Odintsovo volleyball center, sledge-bobsledding complex “Paramonovo”and skating center “Kolomna”.
RIGroup, as it was informed that moment, owed MOITC 46 million dollars. At the same time the Moscow Region ex-Minister of Finance Alexey Kuznetsov, the husband of Janna Bullock, hided himself abroad from the law enforcement agencies. It had been suggested that the RIGroup property could be confiscated out of court: thenadays the market cost of the developer’s portfolio amounted to 400 million dollars. According to the site of Moscow arbitrage court on 19-th of December MOITC declared on RIGroup 1,5 billion rubles or 46 million dollars by the current rate.
"Janna Bullock is abroad at the present moment, and company’s projects on a large scale are not being realized, although the staff is still working",— stated in the interview one of Moscow developers familiar with the RIGroup situation. According to him Moscow regional authorities survayed the ways of finishing constructions at the expense of the Regional budget and other investors.
It was also informed, that in December 2009 RIGroup had to discharge the first issue of obligations in the amount of 1,2 billion rubles.
Though in MOITC nothing was going smoothly. Running ahead it should be noted that on August 12, 2009 the regional government took a decision about MOITC termination. The company’s liability amounted to 50 billion rubles, including plain duty to banks – 24 billion rubles. On 29-th of September the company was declared bankrupt by the Arbitrage court.
In what follows the financial position in RIGroup and affiliate companies worsened, which was not a surprise, because the business controlling person Janna Bullock didn’t appear in Russia. In connection with this in February 2009 it was already announced that three companies under control of Moscow Region government, including OJSC “Moscow regional investment trust company” (MOITC), signed an agreement with “ORSI Group” LLC entrusting it the functions of RIGroup developer’s executive board. The liability of RIGroup by that moment came to 29,6 billion rubles, including 23 billion — due to Moscow regional government. "ORSI Group" had to schedule the liability restructuring plan.
"ORSI Group" for that moment was known as an affiliate of CJSC “ Open market of construction investments” (ORSI), working out the exchange system for buying and selling developers’ liabilities, and affiliate to “Rostechnologies” corporation.
The details of RIGroup liability structure announced as follows: 29,6 billion rubles, including 22,86 billion rubles due to Regional government structures - MOITC, also OJSC “Moscow regional mortgage agency” (MOIA) and OJSC “ Mortgage corporation of Moscow Region”(ICMO). According to ORSI Group these companies owed to creditors 68 billion rubles. As announced by ORSI Group press department in February 2009, the first RIGroup payments under loans were supposed to be transferred already in February.
It was also announced that RIGroup bankrupcy could be extremely disadvantageous for Moscow regional government structures: 22,86 billion rubles of liability was due to affiliate companies - “Moscow regional investment trust company” (MOITC), “Moscow regional mortgage agency” (MOIA) and “Mortgage corporation of Moscow Region” (ICMO). Govermental companies (owed to their creditors 68 billion rubles) allocated that money to private company “due to family circumstances”: Janna Bullock – the wife of Alexey Kuznetsov who had been a Moscow Region Minister of Finance from 2000 to 2008. In connection with this the situation around the company was personally controlled by the governor Boris Gromov. As in a legal case the claims of tax officials and banks – creditors would be satisfied first of all. Svyaz – bank (the total amount of three loans – 1,7 billion rubles with discharge in July and September 2009 and May 2010) and bank “Vozrozhdeniye”(1,5 billion rubles till October 2009) were among the major creditors of RIGroup that moment.
In August 2009 FCSM canceled the IFC «Rigroup-finance» broker, dealer, depositary licenses and licence for handling the capital issues. The reason was the numerous violations of capital issue legislation during one year, as stated in the Service message. For example, the “Rigroup – finance”, particularly, didn’t provide the information about structure of property, accountability, information about relocation. The “Rigroup – finance” CEO Alexander Pozdnyakov was deprived of his qualification certification. He was appointed to this position in November 2008 after an action was brought against his predecessor Ludmila Bezdel.
Together with RIGroup, which had about 60 construction sites with the total area of 850 thousand square meters on balance, it was supposed to hand over to the Moscow Region the alternative operators “Arktel” and “Radionet” owned by RIGroup.
In November 2009 the messages came up in media that the Investigating Committee of RF Prosecutor’s Office conclusively accused the ex-CEO of OJSC “Moscow regional investment trust company” Vladislav Telepnev and the Head of structure Government programs financing department Svetlana Shatalina. They were incriminated of more than 3 billion rubles embezzlement from the budget of Moscow Region. The regional government allocated the money for the offset of the housing and communal services debt, but instead of that the money flew to the substitute companies’ accounts and off shores. The organizer of the crime according to the investigation was considered to be the ex-Minister of Finance of Moscow Region Alexey Kuznetsov.
In the final edition Vladislav Telepnev and Svetlana Shatalina were accused of serious fraud committed by the group of persons in accordance with the article 159 part 4 of the Criminal Code of Russian Federation. That crime investigation was initiated after disclosure of the theft of 600 million rubles allocated for housing and communal services in Pushkin area of Moscow Region in the end of 2008. In December 2008 the ex-Deputy Head of Investment administration of the Moscow Region Ministery of Finance was arrested on suspicion of participle in fraud (afterwards, from 2005 till October 2008 the Head of MOITC) Vladislav Telepnev. As to the ex-Head of structure Government programs financing department Svetlana Shatalina, the court restrained her from leaving the country.
According to the investigation release the content of the frauds disclosed in Pushkin and other areas of Moscow Region was the following. Since 2006 the municipal unitary organizations (MUP) began to create the imitation of Moscow Region debts for the fulfilled housing and communal services. After that the municipal unitary organizations reassigned the liability claim rights to the short-lived companies that received money for the fictive debts from Moscow Region government. In total the damage caused to Moscow Region budget estimated at 3 billion rubles.
At that moment the organizer of the crime was supposed to be the Moscow Region ex-Minister of Finance Alexey Kuznetsov, being at the background of MOITC origin. But it was failed to bring a charge against him – he left abroad. Later on there came up an information about existing materials regarding the commercial activities of Janna Bullock in this criminal case.
In December 2009 turned up a new movement in the case with Russian business of Janna Bullock. The messages came up in media about the fact that the companies controlled by Bullock earlier are transferred to the balance of Moscow regional government. The first asset – “SC “Spetsstroy-2” LLC (owning almost all the sport facilities in Moscow Region) – was granted to the region. It was done by “ORSI Group” restructured the liabilities of Janna Bullok’s companies. The credits of “SC “Spetsstroy-2” estimated at 14 billion rubles.
The Moscow Region government got as property 99,7282 % shares of “SC “Spetsstroy – 2”” from OJSC “Rosveb”. As it was stated in the Moscow Region Governor, Boris Gromov’s, resolution (N 945/49 from November 11, 2009), the government got the company “as a gift”. SC “Spetsstroy – 2” ordered the construction of more than 70 social and sports projects in Moscow Region at the budget expenses, including the stadiums “Novator” in Khimki, “Meteor” – in Zhukovsky and “Trud” – in Podolsk (at the time being on the balance of SC “Spetsstroy – 2”). Together with SC “Spetsstroy – 2” it’s daughter companies OJSC “ Communal investments and technologies” (CIT; owns 37 boiler houses in the region) and CJSC "Stroyinvest" (on the balance business center “Dva Kapitana” under construction with total area of 96 thousand square meters in Krasnogorsk).
OJSC "Rosveb" was also under control of ZhannaBullok. Except for "Rosveb" she controlled “RIGroup” LLC (developer projects) and telecommunication assets – “Radionet” and “Arktel”. "Rosveb" was founded in 2007 together with MOITC. Janna Bullock announced in the journalist interview that she deposited in the joint venture several real estate objects, the companies “Radionet” and “RIGroup- Finance” (financing the developer projects). At the moment of foundation MOITC owned 42% of “Rosveb” shares, RIGroup – 46%, the Swiss Trivalent Advisors — 12%. "In August 2008 ÌÎITC refused the shares of "Rosveb", the holding of stock of the regional company and debt of 7,2 billion rubles due to MOITC was transferred to RIGroup, according to media with reference to Janna Bullock.
In addition, in the end of 2009 Janna Bullock accused “ORSI Group” LLC of her assets seizure. "ORSI Group" didn’t comment on this accusation. The representative of “ORSI Group” informed the journalists that SC “Spetsstroy – 2” – the first Janna Bullok’s company tobe transferred to Moscow Region government, other assets are in process of hand over.
In December 2009 Janna Bullock began to actively defend herself from the accusations against her. Particularly, Boris Kuznetsov, American lawyer of her husband Alexey Kuznetsov, stated: "It seems to me that from the beginning the criminal case was a kind of operation to cover the seizure of “RIGroup” LLC assets owned by Janna Bullock. The "RIGroup" companies owned the portfolio of 60 construction sites with the total area of 2 million square meters, and the amount of investments to Moscow Region came to around 1,5 billion dollars. At the same time when criminal case was initiated the company suffered the raider attack by ORSI, acted in collusion with ex-managers of “RIGroup”, under the pretext of companies’ property structure reorganization”.
Seating abroad Janna Bullock started to make similar statements.
At the same time another figure of the criminal case, the ex-CEO of MOITC Vladislav Telepnev was incriminated for the third time a fraud and money laundering.
In the beginning of February 2010 it was announced about the arrest of Dmitriy Demidov, the ex-Head of the biggest daughter companies of the Regional government — OJSC «Mortgage corporation of Moscow Region» (ICMO) and OJSC «Moscow regional mortgage agency» (ÌÎIA). He was accused of billion rubles theft from the regional budget. The money was allocated for the realization of program «The Moscow Region housing mortgage system development in 2005 – 2010”. Earlier Demidov was arrested in December 2008, then in spring 2009 he was released on bail of 1,5 million rubles because of unwell level of health. In the beginning of 2010 the millionaires stated that Demidov didn’t accept calls from investigators. Afterwards he was declared to be wanted by the police.
Demidov has been positioned as an important figure in fraud schemes within the frameworks of the criminal case against Janna Bullock and Alexey Kuznetsov. It was supposed that after this arrest the criminal case would broaden and be filled up with new accused persons, but still unclear which way. In any case it would not concern Janna Bullock, at least because she is not under Russian jurisdiction.
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