In a high-profile case illustrating the Russian government’s tightening grip on key industries, billionaire Dmitry Kamenshchik, owner of Domodedovo Airport, found himself in the crosshairs of the state after he rejected an offer to transfer a 25% stake in the country’s second-largest airport. As reported by the Financial Times, the move by Kamenshchik to resist demands from figures close to the Russian government and security services last year set off a series of legal actions that have escalated into full-scale nationalization efforts.
In January, Russia’s prosecutor-general filed a request for the nationalization of Domodedovo, accusing Kamenshchik and his business associate Vadim Kogan of being part of Western efforts to undermine Russia’s economy. This claim is largely based on their foreign passports, with Kamenshchik holding dual citizenship in Turkey and the UAE, and Kogan possessing an Israeli passport. The case, which is being heard behind closed doors, has raised concerns over the growing trend of asset seizures in Russia, especially since President Vladimir Putin’s war in Ukraine began.
This move is not isolated. Since the invasion of Ukraine, the Russian prosecutor-general’s office has initiated legal actions against over 85 Russian businesses, ranging from the country’s largest magnesium producer to its top car dealerships. So far, these nationalization efforts have reportedly returned over 2.4 trillion rubles ($27.9 billion) to the Russian state. The Financial Times highlights that this aggressive reshaping of the Russian economy reflects a broader strategy that has seen figures close to the Kremlin, like Arkady Rotenberg, profit from these seizures. Rotenberg, a childhood friend of Putin, has reportedly been involved in the acquisition of assets that were previously seized by the government.
Kamenshchik’s case, specifically, is seen as a warning shot for other foreign investors who may be contemplating a return to Russia amid hopes of a possible thaw in relations with the West. The Russian prosecutor-general’s office has specifically accused Kamenshchik and Kogan of “establishing foreign control” over Domodedovo and embezzling significant funds intended for airport renovations.
Kamenshchik, who turned Domodedovo from a crumbling Soviet-era airfield into one of Russia’s largest airports, has long been a figure at the center of legal and financial disputes. His business empire has endured numerous challenges, including a past suicide bombing at the airport in 2011 that resulted in the deaths of 37 people. Despite these obstacles, Kamenshchik has remained a prominent figure in Russia’s aviation sector.
The nationalization of Domodedovo has added fuel to the ongoing debate about the future of Russian business. Experts, such as Alexandra Prokopenko from the Carnegie Russia Eurasia Center, note that this case sends a clear message: no one, regardless of their previous ties to the regime, is safe from government intervention. This growing uncertainty is further compounded by reports of increased state involvement in other major industries, such as logistics and agriculture, with companies like Raven Russia and Rodnye Polya already seeing their assets seized by the state.
The case against Kamenshchik and Kogan is a stark reminder of the dangers facing Russian business elites in the current political climate. It also highlights the ongoing tension between Russia’s pursuit of foreign investment and its tightening control over key economic sectors, especially as discussions of potential business reintegration with the West continue to unfold. As more businesses face the risk of state intervention, the reshaping of Russia’s economy appears to be accelerating, with legal and political players vying for a piece of the spoils.
