Russia moves to control major vodka producer

The owner has also been prosecuted by Ukrainian authorities

Russian authorities have moved to seize the Russian assets of Global Spirits, a leading vodka producer founded by Ukrainian businessman Yevhen Cherniak. The Prosecutor General’s Office has filed a legal suit in the Kursk region, seeking to suspend the operations of four distilleries, Russky Sever, Standart Kachestva, Rodnik i K, and Brand Group Corporation Limited, amid allegations of “extremist activities” and links to the Ukrainian armed forces. The court wants to transfer their shares to the state. The case also names four individuals, including Cherniak and his Russian associates, as defendants, with proceedings set to take place behind closed doors.

Cherniak, who has been charged in absentia in Russia for allegedly financing the Ukrainian military with over 1 billion rubles (£8.7 million/€10 million/$12 million), denies any wrongdoing. Two of his Russian partners were detained last year on bribery charges.

Bringing industries under Russian state control

Global Spirits, known for brands such as Khortytsa and Morosha, claims it revoked its Russian licences after the 2022 invasion of Ukraine and has since launched legal action in Cyprus over misuse of its intellectual property.

The nationalisation of Global Spirits’ assets is part of a wider campaign to bring key industries under Russian state control, a trend that has expanded from defence to major civilian sectors. Similar moves have recently been made against Russia’s top winemaker and pasta producer, signalling a broader sweep targeting companies linked to “unfriendly” countries or individuals.

Ironically, Ukrainian authorities have also accused Cherniak of paying significant taxes to the Russian state, claims he also rejects.

(Michael Leahy. Source: The Moscow Times. Photo: Yan Krukov / Pexels)