Farkhad Akhmedov

Akhmedov, who always lived in Moscow; started to expand his business to England in the early 1980s and began trading Russian-sourced Sable-skins on the London Commodities Exchange. In 1987 he founded Tansley Trading Ltd, which sourced and supplied both new western and second-hand Russian equipment to Russian gas producers.

After establishing a business relationship by supplying them with equipment, in 1993 Akhmedov bought a 5% share in Northgas, an oil & natural gas field founded by US engineering company Bechtel, which is based in Siberia and has a field in the Arctic Circle. In 1998, he bought Bechtel's remaining share in the company because Bechtel did not see any future value in developing the field for oil and natural gas production.

In 2005, threatened with the loss of his license to produce gas by the Russian state, Akhmedov agreed to give Gazprom 51% of his shares, in return for not pursuing any claims against Akhmedov.[4][5]

In 2012 Akhmedov threatened to claim against Gazprom in the London Court of International Arbitrage for failing to abide by the 2005 settlement agreement signed by Akhmedov and the then-CEO of Gazprom, now Prime Minister of Russia Dmitry Medvedev,[6] by increasing tariffs on gas production and reducing the quotas which Northgas was permitted to produced.[7]

Gazprom, threatened with the potential claim and with the highest-official signature from the Prime Minister of Russia at the time, decided to withdraw from placing the highest tariff on gas production and increased the quotas for Northgas.

Akhmedov sold his 49% remaining stake to Novatek in 2012[8][9] for an undisclosed and confidential sum – reports ranging from $2 – US$6 billion. Northgas was the most efficient natural gas company in Russia under Akhmedov's leadership, at one time outputting up to 30% of Gazprom's gas with only 350 employees. Northgas' achievements in the gas sector propel the case for privatization in Russia.

AzNar is the natural beverages manufacturer established in 2007 by Farkhad in honor of his father Teymur, who was a director of the plant located in Goycay, Azerbaijan. AzNar's specialty is pomegranate juice, otherwise known as Nar juice in Azerbaijan (branded as Grante). It is sold as far afield as the United States, New Zealand, Japan and Europe. Akhmedov has invested more than $125m USD into AzNar and is continually seeking expansion in the fresh juices market. Akhmedov maintains that he runs AzNar as a hobby, as well as a tribute to his father – in a similar way to his friend Eugene Shvidler's Chateau Thenac venture.

In December 2004, Akhmedov became the first Azerbaijani-Russian senator in history; representing the Krasnodar region in the Russian Federation Council.

Akhmedov was Chairman of the Committee on Legal and Judicial Affairs in the Russian Federation Council from 2004 – 2009. He helped push through several laws regarding child protection, animal rights, and also in favor of decreasing bureaucracy within the state and increasing transparency for Russian officials.[10]

2007–2010 – Elected Senator representing the Yamalo-Nenets Autonomous Okrug region in the Russian Federation Council.

2007–2010 Member of the Parliamentary Assembly of the Council of Europe representing Russia.

In 2016, Akhmedov was credited by Mevlüt Çavuşoğlu – the Minister of Foreign Affairs (Turkey) for helping to improve relations between Russia and Turkey. Notably, Mevlüt Çavuşoğlu stated that I also have a friend Farkhad Ahmedov, a former Russian senator, whom I know since my work in PACEParliamentary Assembly of the Council of Europe. Farkhad grew up in Russia, grew stronger in economic terms and even was a senator. Then he returned to Azerbaijan. He very much loves Azerbaijan, Turkey and Russia. He was also in close contact with Putin and knows him well. Farkhad Akhmedov offered our president to write a letter to Vladimir Putin. He said that a letter will be more effective than numerous meetings of Turkish and Russian delegations. If we look at the contents of the letter, we will see that it reflects what Farkhad Akhmedov said. Proposals by Farkhad Akhmedov as a man, who knew Putin as a close friend, were very valuable.[11]

Akhmedov is on the list of Russian "oligarchs" named in the CAATSA unclassified report to the U.S. Congress.[12]

Akhmedov was a monitor from the Parliamentary Assembly of the Council of Europe in the 2010 Azerbaijani parliamentary election. Some say that Akhmedov's role was biased because he was born in Azerbaijan. However, Akhmedov did produce recommendations on future elections and the public noted that Ilham Aliyev's father, Heydar Aliyev ordered the execution of Akhmedov's father, Teymur. This could have made Akhmedov's position biased against the current president at that time, hence the Parliamentary Assembly of the Council of Europe continued allowing Akhmedov to be a monitor and even allowed him to have the final decision in whether to accept and recognize the elections, which Aliyev won. Many political analysts see this as being the most important decision, which was in Akhmedov's hands, in deciding whether to allow the Aliyev legacy to continue.[13]

To date, Akhmedov does not have any political roles and spends most of his time in Baku, where his late mother lived – according to Azerbaijani media. Akhmedov's late Father, Teymur, was buried near Akhmedov's residence in Baku. His corpse was found in 2012 following extensive searches and a personal intervention by Ilham Aliyev.

In 2003, Akhmedov's wife, Tatiana Akhmedova, to whom he was married since 1993, filed for a divorce in the UK, where she resided with their two children. During the proceedings, Farkhad Akhmedov claimed the marriage had already been dissolved due to her disloyalty in 2000 by a Russian decree granted in the Moscow Court. However, no official records of the proceedings have been found by Russian lawyers or the UK court. As a result, the UK court determined that "The inference to be drawn [...]is that the 2000 Moscow divorce documents [...] were, at all material times, forged.[14][15][16] Akhmedov applied to the Moscow court in July 2018 to reinstate the alleged divorce, but his application was dismissed there too.[17] He went on to apply to a higher Moscow court, attempting once more to prove the marriage was dissolved 16 years ago. But in mid-October 2018 his claims were dismissed again as the court decided to uphold the lower court's ruling that Akhmedov failed to submit credible evidence of an earlier divorce.[18]

In 2008 the divorce petition filed in 2003 was dismissed after an official reconciliation.[19] Farkhad Akhmedov maintained that the relationship from this point on was not a real marriage, that he visited the UK only to see his two children, however, the court determined that the marriage was real based on photos taken of the children with their mother and father.[20] The couple finally divorced in the UK in 2015 after Tatiana petitioned for a divorce in 2013.[21] In December 2016, the UK High Court awarded Tatyana £453 million, a 41.5% share of the Akhmedovs' marital assets[22] and one of the largest divorce payouts in UK history. Despite Mr. Akhmedov's claims of "special contribution", the judge did not depart from the equality principle, and ruled that due to both parties' equal contribution to the marriage, the assets obtained during the marriage are to be split equally.[23] Akhmedov referred to this judgement as "toilet paper" and has not paid his ex-wife the judgement awarded to date.[24][25] Due to Akhmedov's lack of cooperation, the court placed a world-wide freezing order on all his assets.[26] In addition, in October 2017, Akhmedov's yacht "LUNA" was impounded in Dubai[27] by UK court order, in collaboration with the UK and the Dubai International Financial Centre (DIFC) court in Dubai.[28][29] In mid-April 2018 the UK Court ruled that ownership of the yacht is to be transferred to Tatiana.[30]

On 6 May 2018, it emerged that Akhmedov's ex-wife hired Burford Capital, a finance litigation company quoted on the London Stock Exchange, to help her fund her legal actions[31] Buford is chaired by Sir Peter Middleton, a former senior civil servant in the UK Treasury and an ex-chairman of Barclays bank.

On 9 May 2018, Akhmedov secured a favorable ruling in Dubai's commercial court in the legal battle over Luna. The DIFC court ruled that the freezing order on the Luna, which was obtained against Straight Establishment in February 2018, would remain in place but also ruled that the lower court had no jurisdiction over the Trust.[32]

In July 2018 it was reported that the case had been removed from the DIFC courts by Dubai's Joint Judicial Commission (JJC). It ruled the case must be heard by the local sharia courts on the grounds that it is a matrimonial dispute not a commercial or maritime matter. The case is expected to begin in October 2018.[33]

Akhmedov maintains that the UK divorce was politically motivated and continues to dispute the ruling in Tatiana's favour. On 2 August 2018, Mr. Justice Haddon-Cave ruled that Mr. Akhmedov was in contempt of court and warned that he faced a possible jail term if he entered UK.[34]

On 12 August Dubai's civil courts considered an application made jointly by Akhmedov and the family trust which owns Luna to have the freezing order placed on the yacht lifted.[35] This appeal was rejected by the Dubai courts and Mr Akhmedov was forced to pay Ms Akhmedova's costs.[36] It was also reported in August that the British embassy had intervened to ensure members of the 50-strong crew of Luna had their UK passports returned to them after they were confiscated by the UAE authorities.[37]

In August 2018, A Dubai court has rejected an appeal filed by Farkhad Akhmedov to lift a freezing order on Luna[38] Akhmedov and the family trust have lodged an appeal against this ruling, with a hearing set for the end of October 2018.

In October 2018, it was reported that Akhmedov had earlier made two multi-million pound settlement offers to Tatiana without prejudice – in 2014 and 2015 – in an attempt to ensure current and future generations benefit from the family's financial legacy. Both offers were rejected.[39]

In a landmark ruling in November 2018, the court of first instance at the Dubai civil courts dismissed Tatiana Akhmedova's case against Akhmedov and the Akhmedov family trust and ordered her pay to legal and administration costs. The Dubai and UK media reported the ruling as a major blow for Tatiana and her backers Burford Capital.[40] The court ruled that the freezing order granted by the English High Court, under whose terms Luna was impounded, could not be enforced. Tatiana is believed to be considering an appeal.[41]

In March 2019, the Dubai court of appeal ruled that the Dubai lower courts' order to impound the yacht was wrong. The ruling was widely reported as a major blow to Tatiana Akhmedova and her backers, Burford Capital, and there was speculation that Luna could leave the port where she had been docked for over a year.[42] That was followed in April 2019 by a claim submitted in the Dubai courts for damages totalling $85m issued by Straight Trust, the Akhmedov family trust that owns Luna, against Akhmedova and Burford. Amongst other things, the claim stated that the wrongful arrest of Luna had resulted in damages to the vessel. .[43] The UK media noted that Neil Woodford, one of the City's most renowned fund managers, is an investor in Burford through his fund Woodford Equity Income. A second $115m claim for damages was filed against Burford by Farkhad Akhmedov, taking the total damages faced by the company over the wrongful arrest of Luna to $200m.

In October 2019 an independent expert appointed by the Dubai courts to assess the amount of damages incurred as a result of Luna's wrongful arrest filed his report. It found that Farkhad Akhmedov will be owed nearly £50m in lost rental income – covering the period when Luna was under arrest – if the damages claim is decided in his favour.[44]

A January 2020 High Court hearing in London considered an application from Tatiana Akhmedov and her financial backers Burford Capital to join the couple's son Temur, a commodities trader, to the legal claim against his father. Akhmedov demanded details of Tatiana's financial arrangement with Burford, arguing it is unlawful.

[45]

He also asked the court to order the disclosure of confidential documents provided to Tatiana and her legal team by Ross Henderson, a British banker based in Switzerland. Henderson is a former employee of Akhmedov's who passed financial information to his ex-wife in breach of a confidentiality agreement signed when he worked for the oil and gas tycoon . [46]

In an earlier High Court judgement Mrs Justice Knowles ruled those documents were admissible as evidence despite the existence of the confidentiality agreement.

• Official website Closed as of late 2013
• AzNar Charity Foundation
• Council of Europe profile
• Reuters| Northgas stake seller sees $1.5 bln Inter RAO bid
• Kommersant | «Интер РАО» может стать партнером «Газпрома»
• AzNar
• Bloomberg
• DeGolyer & MacNaughton Report 2011
• Farkhad Akhmedov with Farkhad Khalilov and friends
• Akhmedov paid $46.5m for Mark Rothko
• Khalilov's works at the Saatchi Gallery