Luxury Cars Reach Russian Buyers Through Kyrgyzstan Amid Sanctions

A joint investigation has revealed that luxury cars are being imported into Russia via Kyrgyzstan, circumventing international sanctions. The Moscow dealership Berg Auto Premium facilitates this process, using remote customs documentation to clear vehicles without them physically entering Kyrgyzstan. This loophole has allowed a significant influx of high-end vehicles into Russia, despite import bans and restrictions.

A new investigation has uncovered a method by which luxury vehicles in Russia are reaching buyers via Kyrgyzstan, circumventing international sanctions. Berg Auto Premium, a Moscow-based dealership, offers a variety of high-end cars, including Tesla, Rolls-Royce, and Porsche models that are no longer available in the Russian market due to import restrictions. The process involves obtaining customs documents remotely from Kyrgyzstan.

Despite the sanctions, Berg Auto Premium continues to operate by bringing vehicles into Kyrgyzstan, where customs clearance can occur without the vehicles physically being present. Journalists posing as customers learned that luxury cars can be transported from Europe to Bishkek, and subsequently to Moscow, with options for alternate routes through Georgia as well.

Customs data highlights a dramatic increase in vehicle imports into Kyrgyzstan, with a staggering $2.7 billion in imports recorded in 2023, significantly higher than previous years. Journalists have reported that this channel has allowed nearly 900 BMWs, 820 Mercedes-Benz cars, and 230 Porsches to enter Russia over the past year.

An anonymous Kyrgyz customs official disclosed that many cars receiving customs clearance never actually enter Kyrgyzstan and that fake documents can be procured for $2,000 to $3,000. Russian experts noted that vehicles imported from Kyrgyzstan do not require customs checks within Russia, thus avoiding import tariffs, making this a lucrative loophole for businesses.

Berg Auto Premium is co-founded by Mark Berg, who has also used the name Benas Gutkauskas and has links to Lithuania. He has a documented history of criminal charges in Lithuania and recently acquired Russian citizenship while retaining his original citizenship. His dealership maintains an active presence on social media, confirming their operations in vehicle importation.

Aziz Jyrgalbekov, a representative from Berg Auto Premium, acknowledged the close ties between Kyrgyz individuals and Russian buyers in the luxury market. Additionally, Syrgakbek Atyshov, a figure associated with the dealership, has shared videos showcasing luxury vehicle shipments, although he has connections to the family of the Kyrgyz president, which raises further concerns about corruption.

The inquiry into Berg Auto Premium originated with Bolot Temirov of Temirov Life, who faced expulsion and loss of citizenship in 2022 for his reporting. Despite this, his team persisted, leading to the detention of several colleagues, highlighting the risks faced by journalists investigating these illicit networks.

In summary, the investigation revealed that Berg Auto Premium effectively operates a smuggling network, leveraging Kyrgyzstan’s customs processes to import luxury vehicles to Russia, in blatant disregard of international sanctions. By utilizing virtual customs documentation, the dealership significantly profits from Russian consumers seeking high-end cars. The investigation highlights the intricate relationships between local businesses and governmental authorities, suggesting systemic corruption. Further, the crackdown on journalists investigating these operations indicates a growing challenge to press freedom in Kyrgyzstan, as authorities seek to suppress the exposure of such unlawful activities and their implications.

Original Source: meduza.io