The Pamplona fund will answer in a US court for hiding its majority owners – Fridman, Aven, Khan and Kuzmichev from the recipient of investments
The toxic capital of Alpha
The founder of an American company accuses top managers of the investment fund of Russian oligarchs from Alfa Group of fraud.
The American company Logicworks — the provider of cloud solutions suffered from the toxic capital of the Russian oligarchs Mikhail Fridman, Petra Avena, Herman Khan And Alexey Kuzmichev.
The founder of the American company, Carter Boden III, a descendant of the famous Vanderbilt family, was unable to verify the origin of the capital of investors who entered his company in 2016. Pamplona Capital Management LLP, a private investment fund majority owned by Fridman and Aven’s LetterOne Holding SA, bought a stake in an American cloud technology developer by providing false information about the fund’s beneficiaries (investors). The amount of the transaction for the purchase of Logicworks was $135 million .
The founder of Logicworks remained in the dark about the origin of the money his company received, until 2020, when bankers from JPMorganChase, where Boedin was an old client, refused to give him a loan for the company, arguing that the investors in the fund that owns his company are Friedman. Khan, Kuzmichev and Aven.
Logicworks has already been blacklisted by banks by this point. And when trying to sell the company during the verification of the owners of Logicworks, potential buyers withdrew their offers.
Following the start of the CBO, Logicworks was informed in October 2022 that the 2023 credit line would not be extended under the current owners under any circumstances. Bankers at Silicon Valley Bank said they were uncomfortable having Logicworks among their clients. As a result, Logicworks was sold in February 2023 to Cox Communications (the amount was not disclosed in public sources).
American shareholder of Logicworks went to court , accusing top managers of companies owned by Russian oligarchs of fraud. The relevant lawsuit is pending in the court of Manhattan.
The UK’s National Crime Agency (NCA) has curtailed two out of three lines of investigation against sanctioned Russian billionaire Mikhail Fridman, told the Financial Times sources aware of the decision.
An investigation has been closed on suspicion of a 58-year-old businessman conspiring to deceive the country’s interior ministry and conspiring to give false testimony. These allegations are connected with the testimony that Friedman gave in support of his girlfriend’s application for immigration to the UK, one of the sources said. Investigations into alleged money laundering offenses are ongoing. An NCA spokesman confirmed to the publication that the agency is no longer pursuing these lines of investigation against Friedman. The billionaire declined to comment for the FT.
Fridman and his business partners German Khan and Petr Aven are under sanctions European Union And Great Britain spring 2022. Since then, the billionaire has been living in his mansion in north London, trying to challenge the sanctions in court. According to people close to him, cited by the FT, Friedman wants to stay in the UK, considering the claims against him an attempt to force him to return to Russia. Khan and Aven, according to the interlocutors of the publication, left the UK.