Transneft Quotes

“Transneft is the world's largest pipeline company and moves oil all over Russia. Needless to say, it is state owned. In the mid-2000s it undertook the huge project of constructing an oil pipeline from eastern Siberia to the Pacific Ocean. Any construction project of that size is guaranteed first and foremost to involve a whole lot of embezzlement. Even if it gets completed, such a mega-project will not be finished on time; it will be done shoddily and against regulations; and a large chunk of the budget will be misappropriated. And that is exactly what happened. This was obvious to everyone, including the government, and in 2008 Transneft was audited by the Accounts Chamber, a special auditing department of the state. Scandalously, the results were kept secret at the request of Transneft itself.

I went to great lengths to get my hands on this secret report and finally succeeded. I was appalled. The report's 150 pages drily laid out, with numbers and analysis, the fact that everything that could have been plundered had been. Construction costs had been inflated many times over, fly-by-night offshore companies had been selected as contractors, tenders and bidding had been conducted with wholly incredible irregularities, and the documentation relating to them had been destroyed in order to conceal what had been going on. The report was not the theorizing of experts or posts in a blog on the internet but rather an official report by the Accounts Chamber. The total amount embezzled in the course of the pipeline project was some $4 billion, "1,100 rubles stolen from every adult in Russia,' as I wrote in LiveJournal at the time.

It was a huge scandal. The head of the state corporation at the time was, and to the present day still is, Nikolai Tokarev, an ex-KGB officer and a very close buddy of Putin's who had shared an office with him at the Soviet KGB residency in Dresden. Tokarev, an extremely private person, eventually spoke out. He accused me of being an opportunist and claimed I was "licked by Madeleine Albright's National Democratic Institute." And she, he claimed, virulently hated Russia. I ridiculed their understanding of the world, which had changed not a jot since the days of their youth and the Cold War.

Almost immediately after publication of my investigation, an examination of the Kirovles case began in Kirov Region. It was in fact a reexamination, because I had already been investigated when I was working as Belykh's adviser. The police had unearthed nothing illegal then, and the episode was quickly forgotten. This now was evidently an attempt to prevent my returning to Russia, which was an option I did not for a moment contemplate. For several months I had been some homesick that I was devouring sorrel borscht in my dreams. The four of us packed our bags and flew back to Moscow. A new phase of my life had begun: every time I returned home, I wondered whether I would be arrested at the border.”
― Alexei Navalny, Patriot: A Memoir