A number of Estonian nationals have been found to maintain commercial relationships with Russian companies and individuals that are under sanctions, taking advantage of the ongoing conflict in Ukraine, despite Estonia labeling Russia as a “terrorist regime,” as reported by the investigative news site The Insider on Wednesday.
The inquiry identified several prominent Russian figures, including the daughter of former Defense Minister Sergei Shoigu, billionaire businessmen Iskandar Makhmudov and Andrei Bokarev, as well as firms supplying equipment to Russian shipyards that manufacture submarines.
Much of the reported cross-border commercial activities pertain to logistics and transportation, particularly in relation to Russian Railways, the state-owned entity that remains subject to Western sanctions. Additional collaborations include sectors such as building materials, chemicals, cocoa imports, and alcoholic beverages.
One notable case is Tatjana Rose, one of Estonia’s richest individuals and the ex-wife of Moscow’s Deputy Mayor Maxim Liksutov. Reports indicate her businesses have profited significantly from rail transport contracts between Moscow and St. Petersburg, forming partnerships with Makhmudov and Bokarev, both of whom have faced accusations from Western governments regarding alleged ties to organized crime and supporting Russia’s military efforts.
Another instance involves Estonian citizen Oleg Kraus, who jointly established a Russian logistics and IT firm alongside a company previously owned by Ksenia Shoigu, the daughter of the former defense minister. It is reported that she exited the company, Capital Perform LLC, in March 2022.
The investigation by The Insider also points to Estonian-owned contractors that are linked to Russian defense enterprises, including suppliers to the Admiralty Shipyards in St. Petersburg, which produces submarines for the Russian Navy. One contractor, Dmitry Rootsi, is currently imprisoned in Estonia for treason related to alleged collaboration with Russia’s military intelligence agency, the GRU.
As outlined by The Insider, other Estonian nationals continue to gain from trade with Russia involving consumer goods and construction materials, collectively contributing millions of euros in taxes to the Russian national budget since 2022.
Following Estonia’s independence from the Soviet Union in 1991, relations with Russia have been tense, deteriorating significantly after Russia’s full-scale invasion of Ukraine.
In October 2022, Estonia classified Russia as a “terrorist regime,” joining its Baltic neighbors, Latvia and Lithuania, in this stance.
