Russian Oligarchs Flee To UAE Evading Sanctions

Plus: The "Butcher of Syria" will lead Russian troops in Ukraine, Turkey's defense exports to Ukraine soared in the first quarter of 2022, Iran smuggles weapons to Russia through Iraq, and much more.

Apr 14

Hello readers. Welcome back to Inshallah, your newsletter about news from the Middle East delivered to your inbox every week.

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Before we jump into the news, I suggest reading my latest article published on Middle East Eye, where I investigate the increased judicial scrutiny over Lebanon's banking system.

The increased scrutiny in recent weeks has raised speculations around the timing behind the judicial drive. Some experts linked it to the European investigations. However, others believe it is politically motivated.

Read the full article

Egypt

On Monday, April 11, Italy suspended the trial of four Egyptian security officers accused of the 2016 killing of Giulio Regeni, a doctoral student, citing Egypt's lack of cooperation in the case.

Local media reported that there had been a lack of cooperation from authorities in Egypt, who failed to locate the four personnel to give them notice that they had been indicted.

The Italian judge described the excuse given by the Cairo prosecutor general as "specious" and said that Egypt's refusal to cooperate on the case was now "a proven fact."

The trial of the four men was dropped in October by an Italian court, which said that they could not be tried in absentia because prosecutors had been unable to inform them of the judicial process against them officially.

Russian oligarchs in the United Arab Emirates

Sanctioned Russian oligarchs are fleeing to countries that have adopted a neutral stance on the Ukraine war. They could also gain long-term residence visas in the United Arab Emirates (UAE).

Brokers explained that they are house hunting, and they are also interested in full residence as they are looking for bigger investments because they're scared to keep their assets in European countries.

The UAE offers long-term residence visas through its "golden visa" program. This enables foreigners to live, work, and study in the UAE without the need for a national sponsor and with 100% ownership of their business.

To be granted golden visas, which are issued for five or ten years and renewed automatically, applicants must be investors, entrepreneurs, specialized talents and researchers in various fields of science and knowledge, or bright students with promising scientific capabilities.

The Russian oligarchs could get golden visas if they invest at least 10 million dirhams ($2.7 million) in a local company or investment fund.

Turkey

Turkey's defense exports to Ukraine soared in the first quarter of 2022, with most sales taking place the month before Russia's invasion, according to figures released by the Turkish Exporters' Assembly on April 6.

According to the industry association, exports totaled $59.8m for the first three months of this year compared with $1.9m during the same period in 2021, which did not specify which weapons were bought.

Ukraine ordered 16 TB2 drones in January this year. It had previously bought at least 20, some of which were deployed last year amid the simmering war in the eastern region of Donbas between Ukrainian forces and Russian-backed separatists.

The drones are designed and produced by the private Turkish defense company Baykar, the chief technology officer of which is Selcuk Bayraktar, Erdogan's son-in-law.

Renowned for being affordable yet sophisticated, they have played a vital role in the Ukrainian military's defense against the Russian invasion.

Middle Eastern countries and the Ukraine-Russia war

On Thursday, April 7, all six Gulf Arab countries abstained in a vote to suspend Russia from the U.N. Human Rights Council, as much of the international community rushed to condemn Moscow over its invasion of its smaller neighbor Ukraine.

The US-led push garnered 93 votes in favor. In contrast, 24 countries, including Algeria, Iran, and Syria, voted no, and 58 countries, including Gulf countries and Egypt, Iraq, Jordan, Sudan, Tunisia, and Yemen, abstained.

According to a U.N. tally, Israel, Libya and Turkey were the only three Middle East countries to support the resolution. Lebanon, Mauritania, and Morocco did not turn up to vote.

Iran

Russia is receiving munitions and military hardware sourced from Iraq for its war effort in Ukraine with the help of Iranian weapons smuggling networks, according to members of Iranian-backed Iraqi militias and regional intelligence services with knowledge of the process.

RPGs, anti-tank missiles, and Brazilian-designed rocket launcher systems have been dispatched to Russia from Iraq as Moscow's campaign faltered last month.

Using the weapons-trafficking underworld would signal a dramatic shift in Russian strategy, as Moscow is forced to lean on Iran, its military ally in Syria, following new sanctions triggered by the invasion of Ukraine.

The “Butcher of Syria”

Russia has appointed Gen. Alexander Dvornikov to take over operations in Ukraine.

Dvornikov is known to oversee Russian troops in Syria and had a history of targeting civilians. Dvornikov is known as the "Butcher of Syria." Dvornikov led a Russian air campaign in Syria that flew more than 9,000 bombing raids.

Lebanon

The International Monetary Fund (IMF) said on Thursday, April 7, it had reached a draft funding agreement with Lebanon - but that Beirut needed to enact a batch of economic reforms first before its board decided whether to approve the deal.

The staff-level agreement covers a 46-month extended fund facility, under which Lebanon has requested access to the equivalent of around $3 billion, the IMF said in a statement.

Tunisia

Hundreds of Tunisians took to the streets on Sunday, April 10, protesting against an ongoing power grab by President Kais Saied and his proposed constitutional reforms.

Amid rising public anger against the political class last year, on July 25, Saied sacked the government, froze the parliament, and seized wide-ranging powers.

He later gave himself powers to rule and legislate by decree and seized control over the judiciary.

Protesters accused Saied of imposing one-man rule in the North African country when he dissolved parliament last month after more than half of the members of parliament held an online session to revoke his decrees.

Saudi Arabia – Kuwait gas field development

Saudi Arabia and Kuwait will develop a disputed gas field despite Iranian objections while urging Tehran to engage in boundary negotiations, a statement said on Wednesday, April 13.

The two countries also issued a new invitation for Iran to negotiate over the boundary of the gas field, the subject of a dispute which goes back decades.

Tehran said in late March that the deal contravened "previously held negotiations," adding that it "reserves its right to exploit" the field. The dispute comes as energy prices remain high in the wake of Russia's invasion of Ukraine.

Algeria

Italian Prime Minister Mario Draghi announced a deal on Monday, April 11, to boost gas deliveries from Algeria as he steps up efforts to reduce Rome's heavy reliance on Russian imports.

The Ukraine war has sparked a Western push for sanctions against Moscow, including moves to cut purchases of Russian gas drastically.

Italy buys the vast majority of its natural gas from overseas. It is one of the most Russia-reliant gas importers in Europe, with over 40 percent of its imports coming from the country.

About me

My name is Dario Sabaghi, a freelance journalist. I am interested in human rights and international news focusing on the MENA region.

Check out my work at dariosabaghi.com.

You can follow me on Twitter: @DarioSabaghi

Did I miss any important news from the Middle East? DM me on Twitter.

Cover photo: google.com