russian oligarchs super yachts

Here are the superyachts seized from Russian oligarchs

As part of an international pressure campaign on Russia, authorities from around the world have seized more than a half-dozen superyachts belonging to billionaire oligarchs allied with Russian President Vladimir Putin.

The yacht seizures since the Feb. 24 invasion are "just the beginning," White House press secretary Jen Psaki told reporters in March, as an international task force worked to identify further assets that can be seized or frozen.

“The Justice Department will be relentless in our efforts to hold accountable those who facilitate the death and destruction we are witnessing in Ukraine,” U.S. Attorney General Merrick Garland said of the ongoing efforts in May.

Here are the superyachts government officials have seized since Russia invaded Ukraine last month.

The Justice Department announced May 5 that the Fijian government had seized billionaire oligarch Suleiman Kerimov 's 348-foot yacht Amadea. The vessel, which is valued at more than $300 million , arrived in Fiji last month. Kerimov, who's worth an estimated $14 billion and has ties to the Russian government, was sanctioned by the U.S. Treasury Department over alleged money laundering in 2018.

Special features on the sprawling yacht include a helipad, infinity pool, a jacuzzi and multiple bars, according to a report in Boat International . It can accommodate 16 overnight guests in addition to 36 crew members, the report said.

In April, Spanish law-enforcement officials seized a 255-foot yacht called the Tango, which Justice Department says is owned by oligarch Viktor Vekselberg. Vekselberg is an aluminum magnate who the Treasury Department says has close ties to Russian President Vladimir Putin.

The Tango is worth an estimated $90 million, prosecutors said , and Vekselberg allegedly purchased it through shell companies. The 11-year-old yacht has seven staterooms and reportedly includes amenities such as a pool, gym and beauty salon .

Authorities in Italy seized a 215-foot superyacht called the Lady M this month. It's owned by Alexei Mordashov, Russia's richest businessman, and it’s estimated to be worth $27 million . The vessel, which requires a crew of 14, has six guest cabins , a pool and a gym.

But it pales in comparison to another of Mordashov's yachts, the $500 million Nord . The 464-foot vessel, which has two helipads and a waterfall and can accommodate 36 guests, was anchored this month in the Seychelles, where the U.S. and European Union sanctions don’t apply.

Italian officials also seized the 132-foot superyacht Lena, owned by the energy magnate Gennady Timchenko. Estimated to be worth $8 million, it has five cabins and can accommodate 10 guests.

SY A — short for Sailing Yacht A — is one of the world's largest superyachts. Valued at over $440 million, the 469-foot vessel, owned by the fertilizer magnate Andrey Melnichenko, has eight decks, multiple elevators, an underwater observation area and the world's tallest masts . It was seized in the Italian port of Trieste.

Authorities in Spain seized Sergei Chemezov's Valerie, a 279-foot superyacht that had been moored in Barcelona. Chemezov , a former KGB officer, heads the state conglomerate Rostec. Spanish Prime Minister Pedro Sanchez touted the seizure on La Sexta television. “We are talking about a yacht that we estimate is worth $140 million,” Sanchez said.

Officials in France announced this month that they had seized the 289-foot Amore Vero, which was undergoing repairs in a shipyard near Marseille. When they arrived, authorities said, they found the crew preparing for an urgent departure, even though the repair work was scheduled to last through April. The $120 million boat, which has seven cabins , is linked to Igor Sechin, described by the U.S. Treasury Department as a close ally of Putin's.

Dareh Gregorian is a politics reporter for NBC News.

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16 superyachts owned by Russian oligarchs

Western sanctions over moscow's invasion of ukraine led to many luxury vessels being detained in europe.

23 March, 2022

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How an ex-CIA agent is tracking the luxurious superyachts of Russian oligarchs

'yacht watching' emerges as a new trend as western countries crack down on russian oligarchs.

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Yacht watching has emerged as the newest global sport, as Russia's mega-rich oligarchs rush to move their massive, luxury boats out of Western waters.

Following sanctions from the European Union and the United States, governments and residents are sharing their sightings of the superyachts as they attempt to cruise away.

U.S. President Joe Biden announced in his State of the Union speech last week that his country will find and seize the yachts, luxury apartments and private jets of sanctioned Russians.

"We are coming for your ill-begotten gains," he said.

Alex Finley is a former CIA officer living in Barcelona, Spain, near a busy harbour at Port Vull. She started the hashtag #YachtWatch after spotting some significant yachts in her neighbourhood, such as Russian business magnate  Alisher Usmanov's Dilbar , valued at $600 million US ($765 Cdn).

"These are really big, glimmering, sleek, technologically-advanced machines," Finley told As It Happens guest host Gillian Findlay. 

She described how the enormous boats "have all the toys" and look more like buildings and private cruise ships from afar.

Here is part of that conversation.

You've been tracking [the Russian superyachts] and I understand there's a community that's now tracking them. How does this work?

I happened to have an encounter with Solaris one day. 

She had been in the shipyard here in Barcelona and I went down to the port really just to take an afternoon off on a beautiful, sunny day…. I tweeted about it and next thing I know, there was a whole bunch of people interested in oligarch yachts and wanting to know what yachts were where. 

Yacht watching here in Barcelona is fantastic because a lot of yachts from all over the world come in. I think just as people started watching the sanctions and started realizing that the yachts were going to be part of this, people wanted to participate. 

You mentioned Solaris. Who does that belong to?

That one belongs to reportedly Roman Abramovich, who is not currently under sanctions. He is the one who also is the owner of the football club Chelsea in the U.K. and who is trying to sell it very quickly, it looks like.

[Editor's Note: After this interview was recorded, Abramovich  was hit with sanctions including asset freezes and travel bans . As for Chelsea FC, the team cannot sell any more tickets or merchandise — and it cannot buy or sell players on the transfer market.]

And what have you been able to track in terms of Solaris? Where is it now?

The last that I checked a couple of hours ago, she was just south of Sardinia.

A lot of these yachts that we've been looking at are heading towards the Maldives or the Seychelles. A few are in Montenegro, but they look like they're probably going to be on the move.

Ok, SOLARIS is pinging again, as many of you have pointed out. She is just south of Sardinia. 8/ <a href="https://t.co/OtfRAqFuSW">pic.twitter.com/OtfRAqFuSW</a> &mdash; @alexzfinley

Why are they heading there?

Neither the Maldives nor the Seychelles are part of the EU or U.S. sanctions that are on these oligarchs.... Maybe that's just a holding place for them.

One of the things I've been trying to figure out is: where do they go [next]? These are very advanced technological machines…. They require infrastructure and crews and people who would know how to take care of them. And my understanding at this point is that the only places in the world that offer that level of knowledge, that level of service and infrastructure, they're all in Europe or the United States. 

How many of these oligarch-owned yachts have been seized so far?

Only four. 

Dilbar was in Hamburg, and there's actually some questions now about whether it was seized or what the status is.

People are starting not to use the word "seized" because the idea isn't that the government takes it and then owns it or can sell it or repossess it in some way. It's just that the beneficial owners cannot access it. Nobody can do service on it, the crews can't access it. It's like a frozen bank account in that sense.

French authorities in La Ciotat have done the same with Amore Vero and then the Italians have taken two … Lady M and Lena .

With all the talk of sanctions and all the talk of wanting to put pressure on the oligarchs, four doesn't seem a very big number. What's the impediment here?

Not all of these oligarchs are under sanction, so that's part of it. 

I think one of the hardest parts for the governments is going to be proving beneficial ownership…. These oligarchs themselves go out of their way to make sure it's very unclear who the owner is. These are very opaque ownership structures that use offshore companies and all kinds of shell companies to layer back and sort of hide who the beneficial owner is. 

Some have been [confirmed] with the Pandora Papers, with the Panama Papers … but in a lot of the cases, that has not happened. Any government officials who might want to try to arrest or stop these yachts need to really be able to make sure they can confirm who the beneficial owners are, and that takes time.

Beyond the obvious — I guess, the pleasure and the status of owning such a yacht — what is it that the oligarchs are doing? Why do they have these yachts?

For me, these mega-yachts are a symbol of the hypocrisy of a number of these oligarchs. They have supported and propped up a dictator — and in some cases aided him in his efforts to destabilize Western democracies.

At the same time, they take their money out of Russia and they spend it here in the West and enjoy all of the benefits and take advantage of all of the wonderful things that Western democratic societies can offer — namely rule of law, meaning you can invest in something, own a villa, own a yacht, and it's not going to just get stolen from you. 

• Rotterdam may dismantle historic bridge for $637M superyacht linked to Jeff Bezos

If the idea is [that] by going after the oligarchs, that pressure is, in fact, put on Putin and somehow changes his behaviour, why would seizing a yacht actually make a difference?

Russia's a great place to make money, but these guys like to spend it in the West and they put their families in the West. Their children go to schools in the West. 

They take advantage of all of the benefits of democracy, and [so] they're not going to be happy to have that taken away. 

They have been willing to support Putin because they were benefiting from it. And I think as those benefits start to disappear, they will grow more and more unhappy and it will eventually be an untenable situation.

Written by Mehek Mazhar. Interview with Alex Finley produced by Ashley Fraser and Sarah Jackson. Q&A edited for length and clarity.

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Russian Superyachts Find Safe Haven in Turkey, Raising Concerns in Washington

Turkey’s welcoming ports are symptoms of a much larger problem: evasion of U.S. sanctions against Russia.

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By Elif Ince Michael Forsythe and Carlotta Gall

PORT AZURE, Turkey — On a hot August evening at a marina on Turkey’s southern coast, the crew of the Flying Fox was hard at work, keeping the 446-foot superyacht immaculate for future guests willing to pay $3 million a week. One crew member leaned over the railing at the stern, wiping the highly polished surface next to the ship’s nameplate. Another was busy with a squeegee, cleaning glass.

The Flying Fox, the world’s biggest yacht available for charter, played host last year to Beyoncé and Jay-Z, who skipped the Met Gala in New York to cruise the Mediterranean and enjoy the vessel’s over-the-top amenities: a 4,300-square-foot wellness center with a Turkish bath and a fully equipped beauty spa, among many others.

Then Russia invaded Ukraine. Since then, the Flying Fox has been caught up in the dragnet of international sanctions designed to hobble the lifestyles of the oligarchs who help sustain President Vladimir V. Putin’s rule.

Yet, while some superyachts owned by or linked to Russian oligarchs facing sanctions have been seized in ports around the world, the Flying Fox and others caught up in the broader Russia penalties have found safe haven in Turkey, the only NATO member not to impose sanctions on Russia.

The flotilla of Russian superyachts in Turkish waters is raising tensions with the United States, which sees Turkey’s welcoming of the vessels as a symptom of the much larger problem: Russia’s access to Turkey’s financial system, potentially undermining Western sanctions.

Turkey’s strongman leader, President Recep Tayyip Erdogan, who has criticized Western sanctions against Russia, said in March that Turkey could not impose sanctions because of its energy needs and industry deals. “There is nothing to be done there,” he said.

In all, at least 32 yachts tied to oligarchs and sanctioned entities have sheltered in the country’s waters in recent months, able to move about or moor in its picturesque coves and bays without fear of seizure, according to a New York Times analysis. Ownership records of superyachts for the ultrawealthy are notorious for being hidden behind layers of shell companies. The Times analysis was constructed with news accounts linking Russian oligarchs to particular yachts that were then matched with vessel positions available on commercial sites such as MarineTraffic . In many instances, the yachts were spotted in Turkish waters by a Times reporter.

On Aug. 19, the Treasury Department issued a statement saying that the deputy treasury secretary, Wally Adeyemo, had told a Turkish official that the United States was concerned about Russians using Turkey to evade sanctions.

Three days later, Mr. Adeyemo sent a letter to Turkish business groups warning of penalties if they worked with Russian individuals or entities facing sanctions. Turkish banks, he added, risked losing vital correspondent relationships with global banks — and even access to the U.S. dollar — if they did business with sanctioned Russian banks.

In September, several Turkish banks stopped accepting the Mir payment system — the Russian equivalent of Visa or MasterCard. Their actions came after the United States warned that financial institutions expanding the use of Mir or entering into new agreements risked running afoul of American sanctions against Russia.

Nevertheless, Turkish marinas continue to service sanctioned Russians and their superyachts.

The warm turquoise waters, secluded beaches and trendy establishments of Turkey’s Mediterranean coast have long made it a popular and convenient destination for Russian yacht owners and charterers during the summer. Local restaurant menus are printed in three languages: Turkish, English and Russian.

In June, the Flying Fox was singled out by the United States as “ blocked property ” and its management company, Imperial Yachts, was also sanctioned. Nevertheless, the Flying Fox has been moored since at least May at Port Azure, a marina in the posh resort town of Göcek. Other superyachts there owned by or linked to sanctioned Russians have been cruising from one postcard-worthy cove to another in the area.

The town’s polluted waters are unsuitable for swimming, an attractive feature for superyacht owners because it keeps away crowds and unwanted publicity. And the vessels can easily steam to pristine waters nearby. If the pampered guests have any unfulfilled needs, small boats roam around the harbor, selling groceries, ice cream, Turkish crepes and even massages.

Port Azure, touted as the first “mega-yacht-only marina” in Turkey, was opened last year by STFA, one of Turkey’s biggest conglomerates. The marina , which prides itself on its website as being a “haven” that makes “problems big and small go away,” has hosted at least eight yachts linked to Russian oligarchs or sanctioned companies this past summer, the Times analysis found.

On June 1, a Turkish yacht broker posted on Instagram a video taken at Port Azure showing a lineup of five yachts collectively worth almost $1 billion, including the Flying Fox; the Lana, recently listed at $1.8 million a week for charter by Imperial; and the Galactica Super Nova, linked to Vagit Alekperov, a sanctioned Putin ally, according to news media reports.

As of Oct. 20 there were at least 13 yachts in Turkey linked to sanctions, the Times analysis found. Of those, four were owned by or linked to sanctioned individuals and nine have recently been offered for charter by Imperial, the sanctioned Monaco-based company.

A spokeswoman for Imperial Yachts said that after the firm was sanctioned in June, its clients terminated their contracts with the company and that it “no longer manages or charters” any of the yachts in Turkish waters.

But until late August, Imperial advertised yachts for charter and for sale on its website, including yachts in Turkish waters. After an inquiry by The Times, the listings were removed from Imperial’s website, which now displays only a notice announcing that the company had been sanctioned. The company spokeswoman said that it had “kept its other pages alive as a reflection of its former brand.”

“During the time that the other website pages were visible, Imperial did not engage in any business engagements,” Imperial said in response to emailed questions.

Roman Abramovich, the most visible Russian oligarch recently seen in Turkey, does not use Imperial Yachts to manage the construction of his opulent yachts or staff them after they are put to sea. Four yachts owned by or linked to Mr. Abramovich, who has been sanctioned by Britain and the European Union, the Times analysis shows, were in Turkey in August.

Should the United States choose, it has tools at its disposal to enforce its sanctions on the Russian oligarchs, even if their vessels are in Turkish waters and even if the Turkish government is unwilling to cooperate, said Daniel Tannebaum, a former sanctions official who served at the U.S. Treasury and the Federal Reserve Bank of New York.

One way, he said, would be to place sanctions on companies that service the oligarchs’ yachts in Turkey — the marinas, caterers and fueling companies. In that case, not just Russian yacht owners but also the many American yacht owners now in Turkish waters would have to take their business elsewhere, while the banks that do business with these companies might close their accounts so as to avoid becoming a target.

Superyachts are a significant source of income for the marinas, as well as other businesses in the area. In one example, Turkish news media outlets reported in April that Mr. Abramovich’s biggest yacht, the 533-foot-long Eclipse, ran up a fuel bill of $1.66 million in the port town of Marmaris. Its tanks took 22 hours to fill.

One of the four superyachts linked to Mr. Abramovich, the 460-foot Solaris, is moored in the Yalıkavak Marina in Bodrum, a trendy resort town in Turkey’s south. While lying idle, it still has 20 crew members who make trips every day to provision it, supply it with water and electricity and dispose of its waste, according to a port employee with direct knowledge of the matter, who spoke anonymously because he wasn’t authorized to speak publicly.

Solaris also receives a truckload of food every week through a catering company, he said, adding: “Twenty cases of asparagus — what would you do with so much asparagus?”

Yalıkavak is Turkey’s most luxurious marina, with stores like Prada, Louis Vuitton and Valentino on a promenade lined with palm trees overlooking the harbor. At least three yachts recently offered for charter by Imperial, the sanctioned management company, and three other yachts owned by or linked to oligarchs moored at Yalıkavak Marina this summer, the Times analysis shows.

In an emailed statement, the marina said that even though Turkey has not adopted sanctions, because it recognizes “international concerns,” the Solaris has been kept outside the marina’s boundaries. As for the vessels associated with Imperial Yachts, the marina said that it did not know, as the summer is “quite a busy time” and that it didn’t have a system in place to check whether an individual yacht might fall under international sanctions.

In August, the Eclipse, one of the yachts linked to Mr. Abramovich, was anchored in the middle of the bay off Göcek, a three-and-a-half-hour drive down the coast from Yalıkavak.

On an early morning in August, Ömer Kırpat, 56, was fishing on the shore in Göcek, sitting under a willow tree overlooking the yachts.

“The bells aren’t jingling,” he said, pointing to the bells attached to his rods to alert him when the fish bite. He showed his bucket with one lone fish inside, explaining that the fish avoid the shore because of pollution and noise from the boats.

Port Azure, the Göcek marina hosting the Flying Fox, was built over the port of a state-owned paper factory where Mr. Kırpat worked for 13 years as a security guard until it was privatized in 2001. He used to go there to swim, fish and have picnics every weekend with other factory workers and their families. “It was sparkly clean,” he said. “We caught the biggest fish there.”

He tried to go into Port Azure last year but was chased away. “We’re banned,” he said. “Soon they won’t even allow us to look inside. It’s heartbreaking.”

Michael Forsythe is a reporter on the investigations team. He was previously a correspondent in Hong Kong, covering the intersection of money and politics in China. He has also worked at Bloomberg News and is a United States Navy veteran. More about Michael Forsythe

Carlotta Gall is a senior correspondent currently covering the war in Ukraine. She previously was Istanbul bureau chief, covered the aftershocks of the Arab Spring from Tunisia, and reported from the Balkans during the war in Kosovo and Serbia, and from Afghanistan and Pakistan after 2001. She was on a team that won a 2009 Pulitzer Prize for reporting from Afghanistan and Pakistan. More about Carlotta Gall

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West hits Russian oligarchs where it hurts — their mega-yachts

By Megan Cerullo

March 7, 2022 / 1:55 PM EST / MoneyWatch

The U.S. and European Union are cracking down on sanctions against Russian billionaires by taking control of their mega yachts and other valuable assets, including villas and private jets, parked in territory over which their governments have jurisdiction. 

Italy on Friday said it seized a $70 million yacht moored in Liguria, Italy, belonging to Alexey Alexandrovits Mordaschov, a steel magnate with close ties to the Kremlin. 

"Italy's police has just seized 'Lady M Yacht' - a €65 million yacht belonging to Alexey Alexandrovits Mordaschov located in Imperia (Liguria) - in compliance with the recent EU sanctions," Ferdinando Giugliano, a media adviser to Italy's prime minister, said in a tweet.

Italy’s police has just seized “Lady M Yacht” - a €65m yacht belonging to Alexey Alexandrovits Mordaschov located in Imperia (Liguria) - in compliance with the recent EU sanctions. pic.twitter.com/8NzqkXH7lE — Ferdinando Giugliano (@FerdiGiugliano) March 4, 2022

On Saturday, Italy's tax police also froze "Lena," a $54 million yacht belonging to Gennady Nikolayevich Timchenko, the founder of a Moscow, Russia-based private investment group and close friend of Russian President Vladimir Putin, whom the EU has sanctioned.

Assets that cannot be moved are even easier to take possession of, or prevent their owners from accessing. 

Italy also froze a $3.2 million property in Tuscany belonging to Oleg Savchenko, who is among the richest Russian business people. Giugliano tweeted an image of a Ministry of Economy and Finance vehicle in front of the estate, named "Villa Lazzareschi." 

Italy’s tax police also froze “Lena” - a €50m yacht belonging to Gennady Nikolayevich Timchenko located in Sanremo (Liguria) - and “Villa Lazzareschi” - a €3m property belonging to Oleg Savchenko located in the province of Lucca (Tuscany). pic.twitter.com/yc1Q2y4d0G — Ferdinando Giugliano (@FerdiGiugliano) March 5, 2022

President Biden has also said the U.S. government is homing in on Russian oligarchs' super-yachts, private planes and other conspicuous symbols of their wealth as Russian President Vladimir Putin escalates his country's attack on Ukraine.  

A new federal task force, dubbed "KleptoCapture," will take aim at what Mr. Biden described in his State of the Union address on Tuesday as "the crimes of Russian oligarchs."  

"We are joining with our European allies to find and seize your yachts, your luxury apartments, your private jets," Mr. Biden said. "We are coming for your ill-begotten gains."

More than a dozen Russian billionaires are under sanction by the U.S., European Union and the United Kingdom, and some are trying to dodge restrictions by moving assets that are mobile — including mega-yachts — into territories where sanctions don't apply and where their property cannot be seized or their assets frozen. 

The super-yacht "Graceful," believed to be owned by Vladimir Putin himself, left Germany two weeks before Russia invaded Ukraine and recently docked in Kaliningrad, near Russia's nuclear weapons operations, data form MarineTraffic, a maritime tracking website, shows. 

Putin ally Roman Abramovich, who made his fortune in the energy business, is not currently on any government sanction lists, but is making moves to unload valuable assets, including Chelsea Football Club. Among those assets is a super-yacht named "Eclipse" that is the third largest pleasure vessel in the world, measuring more than 540 feet long and 72 feet wide, according to Marine Vessel Traffic, a website that tracks the location of ships and other vessels, including privately owned yachts. It recently set sail from St. Barts to Philipsburg, the capital of Sint Maarten — the Dutch side of the Caribbean island Saint Martin.

"Le Grand Bleu," owned by Russian oil titan Eugene Shvidler, is also anchored off the island of St. Martin, where EU sanctions can be enforced. 

Too big to hide

Some oligarchs on sanction lists, who are alleged to have built their wealth in Russia through political corruption, have already been cut off from their own valuable assets. 

The EU's sanctions on Russian oligarchs on Wednesday led to Germany's freezing of a yacht owned by Alisher Usmanov, one of the wealthiest Russians, according to a Forbes report . According to Marine Traffic, the 512-foot yacht, named "Dilbar," had been stationed in Hamburg, Germany, since October 29 for repairs. 

The French Ministry of Economy and Finance on Thursday said its customs agents seized the "Amore Vero" yacht belonging to a company owned by Igor Setchine, director of Russian oil company Rosneft. The yacht had been stationed for repairs in La Ciotat in Southern France's Cote d'Azur region. 

While the crew's intention was to "sail urgently, without having completed the planned work," it was seized before it could depart, the agency said. 

Fleeing hotspots

In hopes of avoiding the same fate, some yacht owners are "hightailing it on the high seas," financier and anti-corruption activist Bill Browder told CBS News senior investigative correspondent Catherine Herridge. 

They are mooring their mega-yachts, some with 100-member-crews, in places like Dubai and the Maldives — a nation of tiny islands in the Indian Ocean, which does not have an extradition treaty with the U.S. "They're parking their assets where they cannot be seized," Browder told CBS MoneyWatch. 

The problem is that ships of this size can't stay indefinitely in a place like the Maldives, which can generate significant income through docking fees, given their need to refuel and stock provisions. 

"There are a number of these yachts in the Maldives, and unless those countries put sanctions in place they're probably safer there," Alasdair Milroy, a maritime accountant and owner of Breaking the Mould Accounting, told CBS MoneyWatch. "But you can only spend so long in someplace like the Maldives on a yacht of that size without needing provisions, or to refuel, so I don't know how well that will last for a longer period. I don't think they'll be able to do that for that long."

Deputy Attorney General Lisa Monaco, who is in charge of the new U.S. task force targeting Russian oligarchs, issued a stark warning: "We will use every tool to freeze and seize your criminal proceeds," she said in a statement.

Confiscating Russian oligarchs' wealth could be an effective tactic, Browder told CBS MoneyWatch. "It's hugely symbolic, and part of this thing is psychological war. This really has an impact — if not financially, then psychologically."

At least 10 of the 100 largest super-yachts in the world belong to Russian oligarchs, according to Marine Vessel Traffic .

Websites tracking maritime activity show that other oligarchs' yachts are on the move as their owners attempt to shield their assets from seizure. The "Galactica Super Nova," a 230-foot long, $80 million vessel owned by Vagit Alekperov, president of Russian oil company Lukoil, recently left its mooring in Barcelona, Spain, where EU sanctions apply, and set sail for Tivat, Montenegro, in the Balkans, according to VesselFinder.com.  

"Clio," a super-yacht owned by Russian industrialist Oleg Deripaska, is currently anchored off of the Maldives, according to MarineTraffic.com . A handful of other oligarch-owned mega-yachts are also moored in the Maldives, including Alexander Abramov's "Titan," Viktor Rashnikov's "Ocean Victory" and Vladimir Potanin's "Nirvana." 

How sanctions work

Placing an individual or their assets under official sanction does not give another government the legal authority to seize their assets — only to freeze or cut off their owner's access. 

"Generally speaking, sanctions are the authority that allow us to freeze assets. They are most easily understood in context of a bank account — it's literally put into a frozen account that still exists and collects interest and you own it, but you can't get any money from it," said Adam M. Smith, a partner at law firm Gibson Dunn. 

Tangible property must also be under the jurisdiction of the U.S. for any sanctions to work, or for the government to cut off their owner's ability to use an asset like a private yacht or jet. 

Daniel P. Ahn, a sanctions and economic warfare expert at the Woodrow Wilson International Center for Scholars and former chief economist for the U.S. State Department, said that targeting an individual's yacht can limit its use even it isn't seized.

"If it arrives in the West, any port that can refuel is not allowed to do that anymore. So maybe the yacht itself doesn't get seized, but it's a lot less useful thing to have," he said. 

For this reason, sanctioned individuals may choose to try to sell assets like yachts at a loss, rather than risk losing use of them indefinitely. 

"If I was an oligarch, the first thing I would do is I would protest and say I shouldn't be blacklisted. Second would be to see if I can liquidate these assets and claw back something, knowing that otherwise it may rot at the pier without proper maintenance and the like," Ahn said.

As far as their impact goes, the sanctions are more than merely symbolic, he added. "The ultimate objective is to make life very difficult for these oligarchs, and it has been achieved," Ahn said. 

Megan Cerullo is a New York-based reporter for CBS MoneyWatch covering small business, workplace, health care, consumer spending and personal finance topics. She regularly appears on CBS News 24/7 to discuss her reporting.

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5 superyachts owned by Russian oligarchs have docked in Turkey, safe from Western sanctions

• Five luxury yachts owned by Russian oligarchs have sailed to Turkey, avoiding Western sanctions.
• The $400 million Flying Fox arrived on Sunday after leaving the Dominican Republic on April 22.
• Turkey has avoided sanctioning Russia, but a lawyer said the yachts could still be seized.

Five superyachts owned by Russian oligarchs are now docked in Turkey in a bid to avoid Western sanctions triggered by the invasion of Ukraine.

Oligarchs have sought to move their assets, such as luxury vessels and private jets, across the world over the possibility of being placed on sanctions lists. Many chose Turkey because it is yet to sanction Russia for its aggression.

Dmitry Kamenshchik, chairman of Moscow's Domodedovo airport, owns a $400 million yacht called the Flying Fox that arrived in Bodrum, Turkey, on Sunday morning, according to ship-tracking site Marine Traffic .

The vessel left the Dominican Republic on April 22 after being investigated by the US over accusations of money laundering and arms trafficking, local newspapers reported.

The Flying Fox's destination port was "not recognized," but it was heading in the direction of Turkey, according to Marine Traffic.

Ragnar , a $85 million superyacht owned by former KGB agent Vladimir Strzhalkovsky, has remained in Turkish waters since May 6, when it docked in the resort of Marmaris, Marine Traffic data shows.

The 224-foot vessel departed on March 30 from a port in Norway, where it had been stuck because local suppliers refused to refuel it or do business with its owner, Norwegian public broadcaster NRK  reported at the time.

Meanwhile, Alexander Abramov's $100 million superyacht, Titan, set sail from Dubai on April 22 and made its way through the Suez Canal, Insider previously reported.

Titan arrived in Fethiye, Turkey, but departed on May 5 and has been "cruising" in Turkish waters since then, according to Marine Traffic . It is now near the resort of Güvercinlik, tracking data indicates.

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Solaris , a $600 million yacht owned by sanctioned billionaire Roman Abramovich, docked in Bodrum on March 21, Insider previously reported. A day later, his other superyacht - the $700 million Eclipse - arrived in Marmaris.

Since then, both yachts have remained in Turkish waters, with the Solaris anchored off the coast of Yalikavak, while Eclipse is "cruising" near Göcek, Marine Traffic data shows .

These five superyachts are at less risk of being seized because the Turkish government has previously criticized the sanctions imposed on Russia by the West.

However, Benjamin Maltby, a partner at Keystone Law who specializes in superyachts, told Insider that the vessels are "not automatically immune" in Turkey, given that the US was able to seize an oligarch's yacht in Fiji .

"Ultimately, the fate of the new Turkish fleet depends on the beneficial owners' relationship with the Turkish government," he said. "The EU and the US will just have to wait for the political winds to change, and that wait may be a very long one."

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Trying to sell Russian oligarch's seized luxury assets is running into trouble

Jackie Northam

After Western governments seized millions in assets from Russian oligarchs, a question remains: What should be done with their yachts?

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Countries try to sell yachts seized from Russian oligarchs

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• Jackie Northam, NPR

After Western governments seized millions in assets from Russian oligarchs, a question remains: What should be done with their yachts?

NPR’s Jackie Northam reports.

This segment aired on August 21, 2024.

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