Conman: The Story of William BrowderEXCLUSIVE: Award-winning journalist Lucy Komisar takes on the Myth of Magnitsky
An Introduction TRR is grateful to the award-winning investigative journalist Lucy Komisar for her groundbreaking two-part series which destroys the 11 myths behind “Sir” William Browder’s tale of Sergei Magnitsky—a man whose death he cynically weaponized in order to shield himself from prosecution and in the process turn himself into a “human rights” crusader. Browder, a man who disavowed his American citizenship to evade paying taxes, made a fortune in the Wild West Russia of the 1990s. He came under scrutiny there for tax fraud in the mid-2000s. Seeking a way out, he went to Capitol Hill and there, with the help of former Maryland Senator Ben Cardin and the staff of the Helsinki Commission, launched a brilliant PR strategy that resulted in the “Magnitsky Act”—a bill that sanctioned the Russians who allegedly murdered his lawyer Magnitsky (He was not a lawyer, as we will see). These sanctions—initially opposed by President Obama and the Clinton State Department, which knew Browder’s checkered history and was skeptical of his tale— helped kick off Cold War 2.0. Komisar is the only American journalist to have uncovered the lies at the heart of this sordid tale. But others later came to know the truth but were too frightened by Browder’s money and power. One such reporter who was cowed by Browder and his team of lawyers at Kobre and Kim in Washington, DC is NBC News reporter Ken Dilanian who was threatened with legal action by Browder’s expensive legal team (Komisar and TRR are in possession of a letter sent by the firm to NBC). The threats (or even the mere possibility of legal action—Browder is famously litigious and had his lawyers shut down the filming of an unflattering documentary about him, which I covered for The Nation magazine some years ago) have worked against other US media outlets—but that trick has worked less well in Europe where Browder’s tale has come under the microscope, including by the estimable Der Spiegel in Germany. But no one has matched Lucy’s encyclopedic grasp of the case. And I suspect no one will. —James W. Carden *** In 2012 an explosive story resulted in a U.S. law which blocked visas and froze the assets of dozens of Russians accused by William Browder, a U.S.-born investment fund manager in London, of having organized or abetted the murder of his lawyer, Sergei Magnitsky, who he said had accused Russian government officials of complicity in the theft of $230 million from the Russian Treasury. But investigations show Magnitsky was not a lawyer but was instead Browder’s accountant who was linked to the scam. And he hadn’t been murdered—he died of a badly treated illness during a nearly year-long term in prison where he was detained thanks to an investigation into his managing a multi-million-dollar tax evasion scheme for Browder’s companies. At the time, and despite his later claims, Browder organized no campaign to free him, admittedly having no contact with him or his lawyers. Browder, as will become clear, is a brilliant conman. He has gotten the Western media, particularly in the US and UK, to tell his story. He has been invited to speak to the U.S. Congress and the European Parliament. And in its way, the Browder hoax set the stage for Russiagate, itself a complex web of disinformation. Here is Browder’s story, a litany of scams and corruption. Making money in Yeltsin's Russia William Browder, then in his mid-20s (DOB 4/23/64), after studying at Stanford University, left the U.S. for London around 1990, first working for the Boston Consulting Group in Mayfair, then in 1991 for Robert Maxwell’s investment bank focusing on Russia and Eastern Europe. Browder he never mentions the corrupt and Mossad-linked Maxwell (Maxwell’s daughter is none other than the convicted Jeffery Epstein consort Ghislaine Maxwell)—and after Maxwell’s theft of workers’ pensions, he left in 1992, joining the London office of U.S. investment bank Salomon Brothers, in charge of investments in Russia. In those years, Salomon Brothers was taking advantage of the privatization of state companies by Russian President Boris Yeltsin, a project promoted by U.S. government advisors whose goal was to end Russian government control of industry and open opportunities for U.S. investors. PeterStar Salomon’s biggest Russian investment banking deal resulting in at least $98 million in stock sales was PeterStar, a St. Petersburg telecom. The first public statement of Salomon’s involvement with PeterStar was in November 1993, when PeterStar issued a press release stating that it has retained Salomon to work on a mobile phone deal in Kazakhstan. The following month, Browder signed a Joint Venture Agreement between an offshore company called Wireless Technology Corporations Limited and a Kazakh state company to form BECET International. Browder represented the offshore company. One explanation for Browder’s failure to mention the lucrative PeterStar deal in his memoir Red Notice is that the firm was the subject of numerous corruption allegations in 2004-2008, prompting criminal investigations in Germany, a 7-million euro fine against Commerzbank (headquartered in Frankfurt), and the resignation of Russian Telecommunications Minister Leonid Reiman. Setting up Hermitage Browder met Edmond Safra through Maxwell. Safra (a Brazilian of Lebanese heritage) who owned Republic National Bank was a Samuel Bronfman syndicate man. The Bronfmans were among those rare business people who traveled to the USSR. From January 1994 to January 1996, according to journalist, Robert Friedman in New York magazine, the Republic National Bank flew more than 40 billion dollars into Russia to the banks of the Russian oligarchs. So, assuming a commission, he had a lot of cash to invest. According to Dave Elzas, who worked for Israeli diamond mining tycoon Benjamin Steinmetz, in 1996, Safra created an offshore fund in Guernsey (one of the British offshore Channel Islands), naming it Hermitage after the Monte Carlo hotel the bank owned. He tapped Browder to run an investment firm in Russia for which he and Steinmetz each put in $25 million. Browder would later claim that he founded Hermitage himself and named it after the Russian Museum. In 1997, Browder traded his American citizenship for a British passport, avoiding U.S. taxes on his investment earnings. (The U.K. doesn’t tax offshore profits.) The U.S. Treasury listed him as a tax expatriate. Myth #1, that Sergei Magnitsky was a lawyer. In fact, Magnitsky was an accountant. Firestone Duncan Meanwhile Elzas found a Moscow audit firm, Firestone Duncan, owned by a former Ernst & Young employee Konstantin Ponomarev, whose junior partner was an American car dealer, Jamison Firestone. (Ponomarev thought the Anglo-Saxon name would attract business.) Ponomarev in 1995 hired Sergei Magnitsky who had been an economics school classmate. Ponomarev told me by email: “I had known Sergey Magnitsky since 1988 when we studied in the Russian Economics Academy. In 1994 I recommended him to be hired by Ernst & Young in Moscow where I worked since 1992. In 1995, I (51%) and 3 other partners (49%), including Jamison Firestone (24%), created Firestone Duncan. The same year I hired Sergey work as deputy head of the audit department in my company, Firestone Duncan. The last time I spoke to Sergey was in 2008, several months before his arrest. This is that story According to the Moscow Times, on December 15, 1996, armed men, some them wearing police uniforms, broke into the office of Firestone Duncan. They cut off communications and made the staff lie on the floor. Ponomarev refused to sign a paper liquidating the company. He was driven to a forest and offered a choice: his signature or death. Firestone later claimed that Ponomarev owed money to the company. Police did not immediately investigate the incident. Ponomarev continued: In 1997 purchasing of Gazprom shares by foreigners was officially restricted by the Decree of the President of the RF. However, as we all know now Hermitage and FD continued to do this using our old strategy for the next 10 years. They had known this was illegal. A: I consider this to be a revenge from Mr. Browder for my witness statements in Russian court against him. I am sure EU MPs did not know my story when voted for the list. Sergei and I never had legal education and were not lawyers. Sergei was an accountant and an auditor. A: I was involved in the case as tax advisor of Mr. Browder and general director and major owner of Firestone Duncan. I had nothing to do with Mr. Browder and Hermitage Since December 15, 1996. The $230m tax fraud is not the biggest one Mr. Browder was involved in Russia. I had no business with Mr. Browder since 1997. Myth #2, that Browder was an honest investor who went after corrupt Russian companies Browder’s most famous investment was Avisma where he and partners bought into a transfer pricing fraud to cheat minority investors and Russian tax authorities and then Gazprom, where he and partners illegally bought shares though a shell company owned by figurehead Russians. The Avisma story starts when Russian oligarch Mikhail Khodorkovsky’s Bank Menatep and its industry group, Rosprom, bought 60 percent of titanium sponge producer AVISMA (Aviation Special Materials), at a knock-down price via one of the “loans for shares” scams in the mid-1990s, via which Yeltsin made government properties collateral for loans it would never repay. The Avisma titanium was used in Boeing planes. Menatep also bought into an Isle of Man shell company operator, Valmet. A large portion of AVISMA’s profits were being siphoned-off to the controlling stockholders through a “transfer pricing” scheme run through Valmet. A shell company sold raw material to AVISMA at inflated costs and purchased the finished product at below-market prices. The shell then resold the products on the world market, collecting the difference for the majority, cheating minority shareholders on profits and Russia on taxes. In the late 1990s, Khodorkovsky decided to sell AVISMA. It had a quarter of the world market for titanium sponge– it now says a third — with claimed $100 million a year in sales and profits of $15 million. But those profits were reduced by transfer-pricing. According to AVISMA records, its cost for ilmenite, the raw material used to make titanium sponge, went from $95 a ton ($10 above market price) in 1996 to an alleged $130 a ton ($55 above market) in 1997. Browder and partners, American billionaire and Dart Cup heir Kenneth Dart and Andersen Group investors CEO Francis Baker, bought Menatep/Rosprom’s 60 percent of AVISMA in 1997. They paid more than $85 million, with Dart taking the largest part. Browder agreed to buy up to $20 million and Baker $7 million. Their lawyer later said the scheme made the transaction profitable. When the partners sold AVISMA, new Russian owners discovered the fraud and sued in the Isle of Man. They charged the sale to Dart, Browner and Baker had been “a turnkey proposition,” continuing the skimming that cheated minority shareholders on profits and the Russian government on taxes. With guilt proven in detail by their own documents and phone transcripts, Browder and the other thieves settled. For details, see: https://100r.org/2014/05/russian-sanctions-highlight-role-of-western-enablers/ Mossack Fonseca Browder retained the infamous Panama money-laundering firm Mossack Fonseca to build an offshore network. He had incorporated Berkeley Advisors, Inc., a British Virgin Islands (BVI) entity, to hold his shares in Hermitage Capital. He switched to Mossack Fonseca as its registered agent in 1997. Mossack Fonseca’s Bahamian branch registered the shell company Pepperdine Holdings Limited, the owner of a New Jersey home belonging to the Browder family. In 2007, he set up Starcliff S.A., to replace Berkeley Advisors as a shareholder of Hermitage Capital Management. Starcliff was registered by Mossack Fonseca (Jersey) as a BVI company. Starcliff is also the controlling party of Hermitage Capital Management (UK) Limited and Hermitage Capital LLP. Safra and Steinmetz also held their shares through shells set up by Mossack Fonseca. Two of Jamison Firestone’s London properties served as the registered addresses for four Mossack Fonseca vehicles. Hermitage Browder’s Hermitage partners were also dicey. Safra in 1998 had moved $4.8 billion of an IMF loan to Russia through his Republic National Bank. It disappeared, never to be recovered. He died in a suspicious fire in his Monaco penthouse in December 1999. Steinmetz sold Browder his shares; he would end up in prison for bribing officials in the West African country of Guinea to get a mining deal. So, Browder would own Hermitage by 2000. It invested $4.5 billion in Russia, making it for a time the largest foreign investor in the country. Browder’s strategy was to feed western reporters claims of company corruption, see the stock drop, buy it, and make a profit when stocks recovered, as the claims were not proved. (Harvard Business Review https://www.hbs.edu/faculty/Pages/item.aspx?num=29369) Evading taxes Browder didn’t like paying Russian taxes any more than American ones. The Russian region of Kalmykia, majority Buddhist, gave big tax write-offs to companies that hired the disabled. He registered Hermitage subsidiaries in Kalmykia. There were no offices or operations there. The Hermitage account at Firestone Duncan was assigned to auditor Sergei Magnitsky, a 1989 graduate of the Plekhanov Academy for Finance and Economics in Moscow. To advance Browder’s tax evasion scheme, Magnitsky went to Kalmykia and found local laborers who in exchange for cash agreed to provide their work documents and swear they were disabled and employed by the Hermitage subsidiaries. Browder claimed tax deductions that saved him about $40 million. But the companies were shells that were used to hold shares and employed no one. The staff of each company consisted of Director General Browder and disabled employees of the analytical department. Sergei Magnitsky acted as Chief Accountant of Dalnaya Step and Saturn working from offices of Firestone Duncan. The workers later testified on video they worked full time as laborers in jobs such as gardener. In his deposition, Browder said he didn’t remember if his shell companies had employees. And besides, his tax filing was handled by Firestone Duncan. That would have been by Magnitsky. But Browder’s signature is on the returns. The workers generally got $15 to $30 a month for use of their disability records and employment books, much less than even unskilled laborers received and nowhere near the sum a financial analyst would be paid. Greed may have done the perpetrators in, since tax officials perusing the filings would immediately be suspicious. Browder said in a deposition that everybody in Russia did it. He provided no evidence since that was not true. Here is Browder on video talking about using handicapped workers in Kalmykia to reduce his taxes: This video is the interrogation of workers alleged to be employed by Browder’s shells (with English subtitles) Russian tax investigators in the early 2000s saw through the scam. In a 2015 deposition in U.S. federal court, Browder acknowledged “The Interior Ministry was investigating Hermitage in 2004; closed the case in 2005.” Q. Who told you that? A. I got information in 2000- -- some recent year. Q. From whom? A. I can't remember where it came from. Q. So just this amorphous information that it was closed? A. Yes. [Source: Deposition -- https://www.thekomisarscoop.com/wp-content/uploads/2024/12/Browder-Deposition-2015.pdf] He doesn’t know where he got the information that would save millions in taxes? Or, maybe if you pay somebody off, you don’t broadcast it. But the official later confessed he’d been bribed. So, the Russian feds went after Browder again. When a $20-million judgment was levied against one of the companies, Hermitage avoided paying it by transferring the company to to VRMG, an Israeli/Moscow security firm run by ex-Mossad agent Yakir Shashoua, who had worked for Safra and HSBC, the Hermitage trustee. In 2005 Browder flew to London, and when he returned in November, he was refused entry, his visa cancelled. He boasted that Russia called him a threat to national security. That could have been due to the fact that Russian discovered that from 1997 to 2005 he had illegally amassed at least 200 million shares, a big stake, in Gazprom, Russia’s major energy company, at rates allowed only to Russian nationals, instead of buying ADRs (American Depository Receipts) in London at a higher price. He had done so via Kalmyk, a shell company with Russian figurehead owners. Gazprom was one of the targets of his “activist investor” manipulation of share prices. And he had tried to get a seat on the board. The FSB (Federal Security Service) clearly monitored his activities. Browder’s accomplices on the Gazprom deals were the brothers Dirk, Robert and Daniel Ziff of Ziff Brothers Investments. When the shares were transferred, he bankrupted Kalmyk to hide the paper trail. The Russian Prosecutor General asked for U.S. cooperation in looking into the scam, noting that Ziff Brothers Investments was not registered with the U.S. Securities and Exchange Commission as an investment firm and thus could not legally participate in those transactions. The U.S. declined. Tax evasion case continues Under pressure from the FSB, the tax evasion case was reopened and transferred to Moscow. But Browder successfully bribed Ministry of Internal Affairs officials. After Browder lost his visa, his Russian Hermitage associates left for London. Magnitsky, working for Firestone Duncan, remained. And the investigation into the Hermitage subsidiaries’ tax evasion picked up again. In October 2006, Magnitsky was called to give testimony about the Kalmykia tax evasion. That testimony is public, filed in U.S. federal court. (https://www.thekomisarscoop.com/wp-content/uploads/2024/12/Magnitsky-Testimonies-Oct-2006-June-2008-Oct-2008-marked-exhibit-11-12-filed-with-Pacer.pdf) In June 2007, tax investigators conducted searches of the Hermitage and Firestone Duncan offices, seizing documents, seals and computers. In October 2006, Magnitsky was called to give testimony about the Kalmykia tax evasion. That testimony is public, filed in U.S. federal court. (https://www.thekomisarscoop.com/wp-content/uploads/2024/12/Magnitsky-Testimonies-Oct-2006-June-2008-Oct-2008-marked-exhibit-11-12-filed-with-Pacer.pdf) Myth #3, that Russian officials committed the tax refund fraud. No, the evidence points to Browder and Magnitsky. Tax Refund Fraud Meanwhile, other crooked companies were cheating the Treasury on what became known as “the tax refund fraud.” According to Andrey Pavlov, a Moscow lawyer who worked on some of the scams, the culprits would set up shell companies that would sue their own real company, claim a contract had been breached and demand X rubles. The real company would pay up, (cash going who knows where), refile tax forms, claim a loss, and get a refund. His first client was the Renaissance Group. Its involvement is even suggested in Browder’s book, Red Notice, Browder's meeting with Renaissance CEO Sagiryan in London occurred only 2 weeks before the $230-million Hermitage scam payout. Browder cut short his Middle East business to come to that meeting on very short notice. Based on Andrey Pavlov, it is quite likely that Renaissance had done the same scam. At the time this was written, 2015, the U.S. Justice Department had filed Browder’s proxy case against the Russian company Prevezon (more on that later), which also talks about RenCap, which had connections to Renaissance, doing the same tax refund fraud in 2006. This is December 2007, at the end of Hermitage’s fake court cases but before the Treasury payout. How could Renaissance liquidate “stolen companies”? Why would he ask Browder to let him do that? Browder acts here as if he doesn’t understand that. Then why did he end his Middle East trip for this meeting? It’s clear Sagiryan knew Browder had done the tax refund fraud. Even in retrospect, Browder never comes back to it. Seems a big mistake to put this smoking gun in his book. Realizing he needed a smokescreen, Browder gave a damning story to British media. “The British arm of a firm that has employed a string of former KGB spies received millions of pounds linked to the death of a prominent lawyer, court papers have revealed. More than £6 million from funds at the centre of a giant fraud which was being investigated by Sergei Magnitsky has allegedly been traced to a UK bank account held by Renaissance Capital, which has offices in London.” http://www.telegraph.co.uk/news/2017/04/13/exclusive-66m-linked-death-lawyer-traced-russian-firms-uk-account/ Of course nothing was ever traced. Any more than the Hermitage thievery was traced. Not when you move the cash offshore. Pavlov told me his second client for the fake lawsuits was not told to him, but the evidence points to Hermitage. Curiously, in July 2007, a power of attorney was provided by Browder’s Cyprus shell company, Glendora, for the “sale” of the Hermitage subsidiary Parfenion to the shell company used in the tax refund scam. Under Russian law, a company can be transferred only by the individual who registered it going to the Companies House or having someone with power of attorney do it. A Glendora employee in a deposition in U.S. federal court confirmed the signature on the document. The power of attorney was given to Octal Gasanov The shell company, represented by Viktor Alexandrovich Markelov, is the buyer. Glendora Holdings Limited, represented by Oktai Gasanovich Gasanov, is the seller. Glendora was Browder’s Cyprus shell company, owner of his Russian shells. In his interrogation, Markelov (below) says Gasanov was his collaborator in the tax refund scheme. As court orders or decisions on the tax refund fraud were made, envelope cancellations would show that court documents relating to the legal scam were sent to the Hermitage mailbox Magnitsky monitored. This and other stamped envelopes and a post office receipt were filed in the Prevezon case. So Magnitsky and therefore Browder knew all about the fake court cases and took no action to stop them. Pavlov told me, “In October, the whole Browder team knew about these claims and didn’t appeal the decision [allowing the take-over of his companies] which had been granted.” That October 16 notice said there would be a hearing October 22. Hermitage sent no lawyer to the hearing. Pavlov said, “They did nothing till the money was paid out of the budget [the Russian Treasury]” at the end of December. All this points to Browder organizing the tax refund fraud along with Magnitsky. The fraud was effected in December 2007, when Hermitage reported it had to pay $1 billion to settle the claim and demanded a refund of $230 million of taxes paid, which coincidentally was its entire tax bill for the year. Maybe Hermitage knew about the theft of the companies because Browder had organized it. When Viktor Markelov, the paid manager of the fraud, was arrested and interrogated, he said he had gotten necessary documents from a “Sergei Leonidovich.” Magnitsky’s full name was Sergei Leonidovich Magnitsky. Myth #4, that Magnitsky had pointed to Russian investigators as culprits in the tax refund fraud. No, it was Rimma Starova, a figurehead director of a shell company used in the fraud, who went to the police and pointed to the owners of Hermitage. Within days of the Kommersant report and Starova’s visit to the police, Browder gave a story to the U.S. media, accusing Russian officials of doing what Starova had claimed Hermitage did. Bloomberg and other media (including the Brits) ran his claims with no evidence and no reference to what Starova said, which would prove to be the way they handled all Browder’s claims and attacks to the present – stenography pretending to be journalism. Part of his story was that when he discovered the fraud, he went out and hired the best “lawyer” he could find, Sergei Magnitsky! Myth #5, that Russia arrested Magnitsky in late 2008 because he accused Russian officials of involvement of the 2007 tax refund fraud. No, he was interrogated in 2006, a year earlier, for the Hermitage tax evasion. His 2008 pre-arrest testimonies continued the tax evasion questions and he didn’t accuse anyone. Tax Evasion investigation continues Meanwhile, new investigations pressed by the FSB finally led to the case being reopened in 2008. By then, Browder was out of the country and there was no one left to parcel out bribes. In June and October 2008, Magnitsky was called again to give testimony about the tax evasion. The testimonies are on file in the Prevezon case. He accused no Russian officials of anything. (Browder would later be caught forging an English translation that inserted accusations that didn’t appear in the Russian testimony.) Then in late 2008, Russian investigators discovered (confirmed by the European Court of Human Rights below) that Magnitsky had been preparing to flee abroad and arrested him. [See: https://hudoc.echr.coe.int/eng?i=001-195527] Myth #6, that Browder protested widely about the suffering of Magnitsky in prison. That Browder protested widely about the suffering of Magnitsky in prison. No. During Magnitsky’s nearly one year in prison Browder did not organize a campaign to free him. At the end, Magnitsky told a fellow prisoner his employers had sold him out. Magnitsky was detained not on charges but for investigation. Until July 25, 2009, Magnitsky was accommodated in a “VIP” prison wing, number 99/1 of "Matrosskaya Tishina", which is specially intended for "prominent prisoners". Best known are the famous mafia boss Vyacheslav Ivankov nicknamed "Yaponchik", the 1991 putschists, the Minister of Atomic Energy Yevgeny Adamov, the FSB colonel Mikhail Trepashkin, the former colonel of the military intelligence service Vladimir Kvachkov, Russia’s most famous contract killer Alexander Solonik and the oligarch Mikhail Khodorkovsky Magnitsky had some ongoing medical problems, including hepatitis and diabetes. On Aug 14, 2009 he requested medication from relatives. There was no answer but he received the medicine on Sept 4, 2009. He requested a water heater on Jul 26, 2009 and received it July 31, 2009. He asked for a TV and a refrigerator six times, twice for the permission to copy some documents, seven times for repairs in the cell. He applied to get a nail clipper from relatives and the Civil Procedure Code from the prison library. A broken spoon, cup and a torn blanket were replaced and he also got a hair clipper from his relatives. The cell’s windows were repaired in September. What Magnitsky describes in Browder’s post are numerous violations of rules and rights, negligence and other adverse experiences of imprisonment in Russia, but not torture. Later Browder would say that Magnitsky was tortured every day and filed 450 complaints, but he never published them as they arrived or later. What is presented to the public as "Magnitsky's Diaries" is a 44-page handwritten document, dated September 20, 2009 (less than two months before his death). Magnitsky lists 25 complaints he filed at Butyrka Prison between 26 July and 18 September 2009. He writes that some of them remained unanswered, some were rejected and some of the complaints were acted upon – albeit belatedly. He would have been released if Browder had paid back taxes. But he didn’t. Browder admitted in his deposition that during Magnitsky’s imprisonment, he never communicated with him or his lawyers. Browder is a gifted and keen manager of public communications. But the man so good at getting media attention didn’t get any press mention of Magnitsky’s imprisonment till nine months after his arrest when the Washington Post August 13, 2009, noted at the end of a piece that he had been charged. In October 2009, 11 months after the arrest, Hermitage Capital posted on YouTube a professionally produced video about the $230-million tax fraud. The arrest of a "lawyer and accountant" is only briefly mentioned at the very end, and nothing about Magnitsky’s alleged exposing of the fraud. Certainly nothing about him being abused in prison. Browder also did not go to the well-known human rights organizations such as Amnesty International or Human Rights Watch and he did not contact the Russian NGOs with a reputation in the West such as “Memorial” or the Moscow Helsinki Group. Zoya Svetova, a prominent Russian human rights activist wrote in a 2014 article for Khodorkovsky’s site Open Russia, "I knew nothing about Sergei Magnitsky. I didn't hear from Hermitage Capital either. We also visited Butyrka prison, (...) but we were not asked for help by Magnitsky's lawyers." In prison, Magnitsky met Oleg Lurie, an investigative journalist who was there because a corrupt Duma member had accused him of extortion. Lurie would be exonerated and the prosecutor would apologize. Magnitsky met Lurie in a room where prisoners waited while being sent to court or for other reasons. He told him his employers were working to get him out. Sometime later, Magnitsky told Lurie his employers were selling him out and asking him to sign documents he didn’t want to sign. Lurie testified to this in a deposition filed in the Prevezon case. [See: https://www.thekomisarscoop.com/wp-content/uploads/2019/10/Oleg-Lurie-deposition.pdf] Magnitsky's illness In prison, old illnesses would flare up, including chronic hepatitis and diabetes, and his treatment would turn out to be dreadful. Magnitsky's death On November 16, 2009, after nearly a year in prison, Magnitsky died. The Russian had no reason to want him dead. Quite the contrary. As Browder’s accountant, he would have been the most important state witness for Russia in cases against the man accused of myriad frauds. And as Magnitsky had come to believe his employers were selling him out, that reality is not far-fetched. Browder said that December he didn’t know how he died, was he killed or neglected. In fact, the Russian NGO report, https://c4.100r.org/media/2017/10/Public-Oversight-Commission-report.pdf and the Cambridge (U.S.) Physicians for Human Rights Report, https://s3.amazonaws.com/PHR_Reports/magnitsky-report-july2011.pdf said Magnitsky died of badly treated disease. That fits with the Russian coroner’s report that details the failures to take necessary diagnostic measures or prescribe necessary treatment. Not unusual for Russian (or American) prisons. The cause of death was listed as “acute heart failure, which resulted from the ventricular fibrillation against the secondary dysmetabolic cardiomyopathy and the active chronic hepatitis.” It blamed the bad medical care for his death. Browder did not reject that till two years later when, starting in December 2011, he invented, with no evidence, the story of thugs beating Magnitsky to death. Because Russia was pressing the tax evasion case in court and he needed to block that. That story was created in collaboration with Jonathan Winer, former U.S. deputy assistant secretary of state for international law enforcement, was a vice president of the international public relations firm APCO Worldwide, which represented Mikhail Khodorkovsky, (who he must have known was the originator of the Browder and friends’ Avisma thievery), who had been imprisoned for ten years in Russia on charges of tax evasion and other skullduggery. Myth #7, that Browder always said the Russian had killed Magnitsky He didn’t explain how he shifted his view for two years after Magnitsky’s death, Browder said he didn’t know how he had died. The coroner’s reports said it was badly treated illness. But as the Russian moved ahead on the tax evasion case against Browder, he changed his story, said that Magnitsky had been murdered. Browder’s post of the Russian coroner’s report had forged sections. Myth #8, that Magnitsky was murdered by the Russians. Browder would tell the world that eight Russian guards had entered Magnitsky’s cell and beaten him for 80 minutes with rubber batons until he was dead. There were several problems with that story. First, that the report of the Public Oversight Commission (POV), the Russian NGO that monitors prisons, prepared a detail report of Magnitsky’s last day, noting his movements, his treatment by doctors and the time of his death. There were not 80 minutes, not even 30 minutes, when guards could have been in his cell beating him. Second, film maker Andrei Nekrasov measured the cell and found that eight guards could not fit there. Third, the coroner’s report showed no marks on Magnitsky’s head or body. He put out photos of Magnitsky’s bruised wrists and ankles which other sources explained came from him banging on metal bars. None of them life-threatening. But he did not put out photos of Magnitsky’s body showing no marks anywhere on the head or torso. All came from the same coroner’s report. Browder put out a photo of a death certificate that suggested Magnitsky suffered a “closed cerebral cranial injury.” Except that the real report is below. And an interview with Magnitsky’s mother revealed he had fallen years before, which is why this injury was closed! From interview of Magnitsky’s mother Interrogation of the victim’s mother Magnitskaya N.N. dated 07.05.10: Question of the investigator to the victim: Did your son Magnitsky S.L. have any diseases, including chronic ones? since childhood? The victim's answer: No chronic diseases in Magnitsky S.L. throughout life. In early childhood, when Magnitsky S.L. was no more than three years old; he suffered from chickenpox. In 1993 - I can’t say a more accurate date, at S. Magnitsky’s there was a craniocerebral injury (he slipped on the street and as a result hit his head), after which he had headaches for some time. So that was the close cranial injury! Plus “no signs of violent death detected.” The faked death certificate was another Browder deception! Then Browder sent out a series of documents to “prove” that Russian guards had used batons on Magnitsky. Magnitsky‘s mother told documentary maker Andrei Nekrasov that the writing on batons appeared to be a mistake and she didn‘t believe he had been beaten but had died from bad medical care. To promote the beating story, Browder appears to have forged documents that a baton “had been used.” A comparison by analyst Michael Thau of documents Browder posted on his website appear to show Browder’s forgeries. A genuine document gives permission for use of handcuffs with the handwritten words “special means were” applied. This conforms with the POC report that handcuffs were used during a half hour when Magnitsky seemed psychotic. The header is “Report about the application of handcuffs.” The second document Browder posts changes those handwritten words to “a rubber baton was” applied, but changes nothing else in the text and keeps the form header “Report about the application of handcuffs.” Other handwritten words appear traced. The Russian prison system does not have a pre-printed form for the use of batons. Evidence that D310.pdf linked to on Russian-Untouchables website to show Sergei Magnitsky was beaten with batons is a forgery. On page 18 of a document titled, Magnitsky Murder & Cover-Up Report linked to on Bill Browder’s Russian-Untouchables website, he repeats his story that Sergei Magnitsky was beaten to death by eight riot guards armed with rubber batons and, for corroboration, links to two untranslated Russian documents:
However, D309 merely says that Magnitsky was placed in handcuffs out of concern that he would harm himself. And D310 repeats exactly the same thing but adds that they were removed after 30 minutes and that a single rubber baton was also used without saying how or who used it. Links to English translations of D309 and D310. And, apart from the strange and completely uninformative reference to a rubber baton in D310, this accords exactly with the Moscow Public Oversight Commission Report, which mentions no baton but says that Magnitsky started to behave erratically and was handcuffed for thirty minutes out of concern that he would harm himself. So, neither D309 or D310 comes anywhere close to confirming Browder’s story that Magnitsky was beaten to death by eight rubber-baton-wielding riot guards. In fact, both explicitly say the opposite, namely, that he was restrained to stop him from causing harm to himself. But, though D310 goes no way towards corroborating Browder’s account, it does contain the Russian words for “a rubber baton.” And that allowed Browder to falsely make it seem to those who don’t read Russian but might nonetheless be capable of looking the meaning of a few words that D310 does support his story about Magnitsky’s death. The Russian words for “a rubber baton,” appearing on D310, however, make no sense given what the rest of it says. Moreover, there are other anomalies in D310 which indicate that it’s a forgery constructed from copying parts of D309 and other documents. List of evidence that D310 is a forgery. Each entry contains a link providing further details. First, note that D309 and D310 have exactly the same title. The main blocks of text in D309 and D310 are also identically worded except that the phrase special means were in D309 is replaced by a rubber baton was in D310. 12/14/2019 Evidence that D310.pdf linked to on Russian-Untouchables website to show Sergei Magnitsky was beaten with batons is a forgery. : A ... But, while D309 is perfectly coherent, that single reference to a rubber baton in D310 makes no sense at all given the title and the rest of what it says. Second. Both D310 and D309 refer to the same two Russian laws as governing the application of special means they are used to report. But, these laws do not allow a baton to be used on a prisoner to stop him from harming himself, though they do allow that handcuffs can be used in such cases. So, the written explanation on D310 doesn’t justify the use of the rubber |