How I Made $100 Million in Russia... And Avoided Prison - Part I - By William Popkinson

How to Keep What You’ve Made in Russia and Avoid Prison

Once you earn your millions in Russia, you will naturally want to hold onto them and avoid prison at the same time. We will discuss this in Part II of this book, which is titled How to Keep What You’ve Made in Russia and Avoid Prison.

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Out of Russia! (To New York, London, Paris, or Zurich)

It has recently become more complicated for a Russian Government official to move his assets and relatives out of Russia to New York, London, Paris, or Zurich. He will have to overcome the following difficulties on this path.

Russian clients and their lawyers from, say, Switzerland or Luxembourg, usually also have tense relationships. A Russian who knowingly gives a lawyer from Zurich a task that cannot feasibly be completed is truly stumped when that lawyer suddenly relinquishes his powers as administrator of his client’s holding company and even goes so far as to inform the Swiss Attorney General about his client’s intentions, along with all the consequences that might arise from this.

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Some Words on how Useful You can be to Your Friends in Russia

As you must have understood by now, the life of a Russian Government official is difficult and fraught with danger. He is very busy at work, and he constantly risks either being removed from his position or being sent to prison. This causes him great suffering and many different illnesses. Naturally, he wants everyone near and dear to him, particularly his children, to live better than he himself has lived. And the way he sees it is that “better” means definitely not in Russia.

As they love to say in Russia, an open-ended plane ticket is not a luxury but a necessity for the successful person, whether entrepreneur or Government worker. This ticket is also something of a guarantee of personal security and safety. At any moment, the holder of this kind of ticket must be prepared to drop everything that connects him to Russia and take off for the West, where his family and assets are located. Naturally it’s difficult to say goodbye to your homeland forever, but it’s still better than being interrogated by an investigator and sent off to a prison cell instead of returned to your luxurious Moscow apartment.

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What if you decide not to feed the predators at all? That is, what if you decide to defend yourself? Well, what can I say? If you have taken a principled position and intend to reeducate the predators, then this is a virtuous path in its own way. Good luck in your new career as a teacher and preacher, I mean, animal trainer!

All your activity will start to get on the predators’ nerves, and the number of them that want to eat you for lunch will increase exponentially.

But there is also a pleasant side to open confrontation with the predators. You will become more famous than you ever thought you could be, and your glory will spread all the way to the office of the Director of the nature preserve. In this way, the Director will learn that a certain foreign guest is behaving in violation of the rules of the nature preserve and purposefully sowing discord among its inhabitants.

When this happens, you can forget about your business in Russia.

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If you have to feed the predator, then how? Directly, or through an intermediary? If you decide on an intermediary, then who will you use? Most likely the preserve's guards. The predators are used to them and don’t even try to attack them because they always expect food from them. The guards in turn are so close to the predators that they have adopted many of their ways. So they can be counted on to gobble up part of the food given to them for the predators. And you will not be able to check it.

If you decide to feed the predators, then do you do it selectively? Do you feed just one predator, for example, the leader of the pack? You can try. But to start with, you will be met by a hungry pack as you try to make your way to the leader, and this pack probably won’t let you through. Also, don’t forget that the leader of the pack has the largest appetite in the jungle. Are you sure that you have enough supplies?

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Take a Walk through a Nature Preserve, Meet its Inhabitants, and Learn How to Avoid Being Gobbled Up

With a view to your own security, I would like to present you with this Rule Book for Visitors to the Nature Preserve, which devotes special attention to the “power structures,” i.e. the predators, if you will pardon the metaphor.

You will notice that predators really liven up when you show up at the preserve. This is because their initial intent is to gobble you up. Such are the laws of nature. They are hungry predators, and you are their lunch. But never fear, the situation is not as bad as it seems.

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The cost of mistakes in Russia can be very high.

In fact, you can even be gobbled up entirely! Yes, this does actually happen, and not infrequently, I might add.

Let’s turn now to a discussion of this pleasant topic:

Take a Walk through a Nature Preserve, Meet its Inhabitants, and Learn How to Avoid Being Gobbled Up.

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Use Your Time Wisely, Install Filters, and Don’t Do Anything Stupid (2)

It would be wise to avoid the sorts of ridiculous situations foreign entrepreneurs in Russia typically put themselves in as they strive to fulfill their goals. An example of this is any attempt to start a romance with the secretary of an influential official in order to resolve your own issues. Anything like this is doomed to fail.

But there are also grander ways to fail. For example, a bodyguard for the Russian Prime Minister had a good laugh when he told me how one international oil company approached him with a request to lobby for the company to receive a license to develop an oil field in Siberia (for a fee, of course)… In the end, this company was forced out of the Russian market.

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Use Your Time Wisely, Install Filters, and Don’t Do Anything Stupid (1)

When you’re lucky enough to find the person you actually need at his desk, this does not at all mean that he will be inclined to do something to help you. Here the problem is that on the eve of important political events (elections for President, Parliament delegates, and Mayor), and even after these events have taken place, the only words this person you so desperately need will utter are: “We have to wait….” During these times, the most important thing for him to do is to avoid making any decisions or even signing any document. Do you have any idea how many high ranking officials check into the hospital for routine procedures right before elections? The slogan “Avoid your desks at all crucial moments” is the key to their successful careers and personal well-being. So you can see that Russian Government workers engage in useful activities on a strictly seasonal basis and that these activities may be frequently interrupted by sudden extended breaks.

When I first arrived in Russia, I wasted quite a bit of time. It is my hope that perhaps this book will help you avoid these traps.

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Anti-corruption campaign in Russia and William Popkinson

During the anti-corruption campaign, from 2008-2013, William Popkinson earned over $100 million in Russia.

Just kidding! Naturally, this was in no way connected with corruption in Russia or with the anti-corruption campaign.

But, as they love to say in Russia, every joke has a grain of truth. In other words, the golden age of corruption, which was presented by the international press as the main obstacle to entrepreneurship in Russia, did not in any way prevent me from developing my business there. I hope that it won’t hinder you either.

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Anti-corruption campaign in Russia

With the launch of the anti-corruption campaign, officials in the “power structures” started to behave as if they had just been granted their last chance ever to make money off of businesspeople. The number of checks has increased many times over, and these checks are frequently used as weapons in competitive battles, specifically for hostile takeovers.

Government agencies handling checks, inspections, and audits have backed off Russian businesses a bit, but they have doubled their efforts in relation to foreign companies and are milking them for all they’re worth.

The restructuring of “power structures” (separation of the functions of the Prosecutor General’s Office and investigative bodies, the dissolution of the Organized Crime Department at the Police Department, police reforms, etc.) have led to significant reductions in the number of officers and officials at these various bodies and agencies. As a result, the Russian labor market has been flooded with tens of thousands of people who only know how to do one thing: create legal, tax, and other problems for businesspeople with the goal of receiving money from them for “resolving” these artificial problems.

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Let’s let the Russians fight corruption in their country on their own

Let’s let the Russians resolve their own internal issues and fight corruption in their country on their own. If we believe the Russian press, even the Russian politicians on opposite ends of the spectrum like Prime Minister Dmitry Medvedev and opposition leader Alexey Navalny can agree of this.

In my opinion, corruption in Russia can be understood as one of the distinguishing characteristics of the local economic landscape. And this means that we cannot ignore this side to conducting business in Russia.

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You and I are guests in Russia !

The Russian government’s involvement in all spheres of economic activity opens up great opportunities for corruption. But it would be wrong to interpret this involvement as an insurmountable barrier that will prevent you from making your millions.

But I also believe that any foreign businessman who starts publicly declaiming the corruption of local officials as soon as he arrives in Russia is definitely meddling in the social and political life of a country that has opened its doors to him. I consider this type of behavior to be unethical, incorrect, and just plain impolite. You and I are guests in Russia, so we must behave accordingly. We must avoid any moralizing and admonishing, and we certainly cannot criticize or condemn the masters of the house. And we also won’t behave “comme il faut,” by putting ourselves in the position of “donneur de leçons” (from the French, meaning “he who loves to give lessons”).

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How to Understand Inscrutable Russia and Play by the Local Rules

The author of this book managed to make a great deal of money in Russia in quite a short period of time, and he will be very pleased if his advice helps you make even more. His name is William Popkinson. No, not William Browder. William Popkinson.

William Browder is known for standing up to corruption in Russia, earning billions of dollars there, and making more than a few enemies in the upper ranks of Russian government.

William Popkinson is not known for anything. He is a man who prefers to remain behind the scenes, and he does not believe that it is proper to interfere in the political and social life of a foreign country that has opened its doors to him — in this case, Russia. He has made over $100 million by simply running his business without violating any Russian laws, and he firmly believes that he can make even more. He has no enemies in Russia, and he fully agrees with President Putin’s statement that “Money loves silence.”

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William Popkinson

How I Made $100 Million in Russia... And Avoided Prison

Part One

How to Make Millions of Dollars in Russia in Just a Few Years

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