Abramovich Walks Out Like a Decent Man
// He won’t abandon Chukotka even after his resignation
Chukotka Governor Roman Abramovich tendered his resignation to President Vladimir Putin on Wednesday. As the discussion in the Kremlin has become public, the resignation is most likely to be accepted. Meanwhile, Russia’s richest man promises to “keep on working to raise living standards for the people in Chukotka”.
Governor Abramovich’s possible resignation was announced Wednesday before a session of the Russian Security Council which discussed national security in the Far East. Russian President Vladimir Putin met Roman Abramovich behind closed doors. Afterwards, the elusive and media-shy Russian mogul went to speak to the press to announce that he had asked the president’s permission to leave the post. It is of interest that the president’s press service which do not normally comment the president’s meetings with governors or release statements that a meeting “focused on social and economic development of the region” confirmed the issue of Abramovich’s resignation. However, “the decision about Roman Abramovich’s request is yet to taken”, the president’s spokesperson Alexey Gromov said.
Kamil Iskhakov, the Russian president’s envoy to the Far Eastern federal district, told Kommersant on Wednesday that he had discussed the resignation with the Chukotka governor. He said that Mr. Abramovich as an “honest man” explained it to the president that “the governor must spend far more time in his region” than he does. The presidential envoy, however, flatly dismissed speculations that the governor’s resignation is linked with the fact that Chukotka has lost a great deal of its financial backing after Gazprom bought Sibneft (now called Gazprom neft), co-owned by Roman Abramovich. The deal between Gazprom and Sibneft was struck in late September 2005. It was clear then that Chukotka would soon lose a considerable part of its revenues. Taxes from Sibneft’s three subsidiaries registered in the area have been bringing 80 percent of the region’s budget. Rumors about Roman Abramovich’s possible resignation appeared right after Gazprom and Sibneft entered talks on the purchase.
Yet, Chukotka’s head was reappointed for a new term last October after long talks where the former Far Eastern envoy Konstantin Pulikovsky spoke for the Kremlin. Accepting the envoy’s congratulations on a 5-year term, Abramovich ironically corrected him that they had “agreed on four years”.
This year, regional officials still had to refute rumors about the governor’s resignation over and over again. The Chukotka government posted the last refutation on its official web-site in October. The statement said that regional authorities were drafting Chukotka’s development program up to 2020, aiming to turn “the subsidized region into an all-sufficient one”. Until the program is completed, “the governor stay in his post”, the statement claimed.
The fact that even Kremlin officials have considered the governor’s resignation shows that this time the Chukotka tycoon may be free to step down. What is more, his withdrawal from the region does not mean he will leaving Russia. In July, Roman Abramovich’s companies bought 41 percent in Evraz Group, the Russian steel leader. In September, Abramovich’s business partner Evgeny Shvidler announced that Evraz was planning to consolidate Russia’s ferrous metallurgy. Therefore, Mr. Abramovich’s main assets will remain in the country even if he leaves Chukotka.
As for the price for the freedom, the Chukotka governor promised yesterday to keep on working on economic projects to “further raise living standards in Chukotka. It chiefly concerns drawing up a “solid budget” for the region, envoy Iskhakov said in an interview with Kommersant. “Roman Arkadyevich [Abramovich] is a truly decent man,” Mr. Iskhakov noted. “If the region fails to set a good budget, he will be ready to help to find alternative sources for financing.”
Most likely, the Kremlin bides its time not to present final terms for the resignation but to chose the right successor. Last July, a discussion of possible candidates to head Chukotka mentioned the names of Deputy Governors Mikhail Sobolev and Andrey Gorodilov (one of the former co-owners of Sibneft), the region Duma’s speaker Vasily Nazarenko and deputy speaker Valentina Rudchenko. Quite possibly, these people are going to be considered as would-be governors after Abramovich officially steps down.
Alla Barakhova from Moscow and Olga Shulga from Anadyr, Chukotka
All the Article in Russian as of Dec. 21, 2006
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