Russian billionaire Alexei Kuzmichev, an associate of Vladimir Putin targeted by EU sanctions, was charged with tax fraud in France on Wednesday, November 1, the country's financial prosecutor said. Kuzmichev was "placed under judicial supervision" and banned from leaving the country, according to the French National Financial Prosecutor's Office (PNF). He also faces charges of concealing work with an organized crime group and on a presumption of money laundering, the PNF said. Kuzmichev was obliged to pay a bond of eight million euros ($8.5 million). His lawyer refused to comment.
French authorities have launched investigations into several Russian oligarchs with ties to Putin, notably over suspicions of money laundering and tax fraud linked to their real estate wealth in the country. Kuzmichev, 61, was arrested in the French Riviera resort of Saint-Tropez, a source who asked not to be named told AFP on Monday. Police carried out raids on several locations linked to the tycoon including his Paris home and his Saint-Tropez villa, where cash and jewellery were seized, they said. Kremlin spokesman Dmitry Peskov on Tuesday said the Russian authorities would "help protect his rights" if Kuzmichev wished.
Kuzmichev's real estate wealth and undeclared income are among the accusations leveled against him, according to a source close to the case. In 2012, he bought a large Paris property for 28 million euros that was once the headquarters of French wine and spirits producer Pernod-Ricard.
Kuzmichev is one of the co-founders of the Alfa Group and is targeted by EU sanctions imposed following Russia's invasion of Ukraine in February last year. According to the EU, Alfa Bank – in which Kuzmichev holds a large stake – is one of Russia's biggest taxpayers and the businessman himself is among "the most influential people in Russia" with close links to Putin. Putin's elder daughter Maria directed a charity project financed by Alfa Bank, the European Union said.
Two yachts worth more than five million euros owned by Kuzmichev were seized by the authorities in March 2022 as a result of the EU sanctions, a source told AFP at the time. In late 2022, Kuzmichev managed to have legal action by the customs authorities canceled, but the decision had no impact on the freezing of his boats. The Russian billionaire, who claims to have family ties in France, launched an appeal to get the EU sanctions against him lifted, a second source close to the case said. A decision is expected on November 15.