Squandering Its Way to Superpowerdom

“Squandering”: Did the US Secretary of State Grasp the Russian Approach to Budget Spending?
The Kremlin Accused the State Department of Tactlessness and Unprofessionalism, Yet Pompeo’s Remarks Were on the Mark
Yevgeny Karasyuk
Republic
December 13, 2018

padrino.jpgVenezuelan Defence Minister Vladimir Padrino gives his thumb up as he sits on the cockpit of a Russian Tupolev Tu-160 strategic long-range heavy supersonic bomber after it landed at Maiquetia International Airport, north of Caracas, on December 10, 2018. Courtesy of Federico Parra/AFP/Getty Images

Russian’s decision to send strategic bombers on a junket to an airport near Caracas elicited a curious reaction from US Secretary of State Mike Pompeo, who publicly expressed his pity for Russian taxpapers, whose money the Kremlin, habitually disregarding the costs, has been spending on its geopolitical moves.

“The Russian and Venezuelan people should see this for what it is: two corrupt governments squandering public funds, and squelching liberty and freedom while their people suffer,” Pompeo wrote.

The Russian Foreign Ministry responded by calling Pompeo’s statement “utterly unprofessional” and even “villainous.” Pompeo’s remarks, which the Kremlin, in turn, dubbed “inappropriate” and “undiplomatic,” were apparently really lacking in nuance: the hardships of Russians, fortunately, cannot yet be compared with the suffering of Venezuelans. But, hand on heart, was Pompeo so wrong when he talked about the losses to the Russian federal budget and lack of oversight?

Russian society has an extremely vague notion about how much the Kremlin’s expansionism has ultimately cost the country. According to calculations made by IHS Jane’s at the outset of Russia’s operations in Syria in autumn 2015, Russia could have been spending as much as $4 million a day. Later, the Yabloko Democratic Party, which is not seated in the Russian parliament, estimated the Kremlin had spent a total of 108–140 billion rubles [between $1.6 and $2.1 billion] on Syria. A more accurate assessment would be difficult to make. Experts doubt that anyone, including the Finance Ministry, keeps tabs on such expenditures. Thus, nobody knows the real cost of Russia’s involvement in the Syrian conflict, argues the Gaidar Institute’s Military Economics Laboratory.

The budget’s fading transparency has been a trend in recent years. In 2016, secret and top-secret allocations accounted for 22% of total federal budget expenditures, a record for the entire post-Soviet period, and much higher than secret allocations in comparable countries, according to RANEPA’s March 2015 report on the Russian economy.

Quite naturally, this state of affairs has not improved the quality of the state’s financial decisions. In terms of effective state spending, Russia ranked nineteenth in a new rating of twenty-five countries, compiled by the Higher School of Economics using data from the World Bank and OECD. Since they are not priorities for the current regime, problems with child mortality and life expectancy were among the reasons Russia ranked so low in the survey: the government spends more on the army than on healthcare—4.3% of GDP versus 3.8% of GDP, respectively. In these circumstances, the chances the Kremlin’s strategic projects in the Middle East and Africa (e.g., the Central African Republic, Burkina Faso, the Democratic Republic of the Congo, and Mozambique) will be decently funded are always much greater than the national healthcare project, which stipulated increased government spending on cancer treatment. The government nixed the plan over summer.

Since it remains largely Soviet in spirit, Russia’s foreign policy has been categorically blind to history’s lessons. The Soviet Union’s exorbitant geopolitical ambitions and support for fringe regimes around the world left the country with a legacy of mostly toxic multi-billion-dollar debts. The process of writing them off has been disguised as a form of international charity or, speaking diplomatically, official development assistance (ODA). According to RANEPA, writing off the debts of developing countries accounted for 35% of all such “international aid” last year or $425 million. It has been the Russian government’s usual way of doing business. Previously, the Russian government wrote off the debts of Nicaragua ($6.3 billion), Iraq ($21.5 billion), North Korea ($10.9 billion), Syria ($9.8 billion), Afghanistan ($11 billion), and Cuba ($29 billion), among other countries. Venezuela risks joining this sad list. Over the past twelve years, Russia has invested a total of $17 billion in the country.

Russia’s Expenditures on Official Development Assistance (Excluding Humanitarian Aid), 2005–2017, in Millions of Dollars. Sources: OECD, Russian Finance Ministry. Courtesy of Republic

Since it was paid for by the Russian federal budget, which has been running a deficit for the last seven years, Russian officials probably did not see the transatlantic flight of its strategic bombers as too expensive. On the contrary, they saw it as a flashy display of Russia’s military prowess and proof of its influence in the region. However, the government of Nicolás Maduro signed off on the stunt. Subject to growing pressure from creditors and an angry, desperate population, it lives day by day. In all likelihood, it will soon collapse, leaving behind a mountain of unpaid bills and unfulfilled obligations to its allies. If this is the case, can we evaluate the Russian government’s action better than the tactless Mike Pompeo did? Probably not.

Translated by the Russian Reader

Making Life Easier for Vegans in Petersburg

Анастасия Емельянова, основатель VegCode
Anastasia Yemelyanova, VegCode founder. Photo courtesy of Sergei Yermokhin and Delovoi Peterburg

A Barcode for Vegans: Petersburgers Develop App for Identifying Vegan Products Through Barcode
Inna Reikhard
Delovoi Peterburg
December 12, 2018

App Interests a Thousand Users in Single Woeek
Petersburgers Anastasia Yemelyanova, Alyona Kabardinova, and Nikolai Dubrovsky have developed the mobile VegCode app (Vegan IT LLC). Made available to users in early December, the app is designed for vegans. It lets shoppers use barcodes to figure out whether or not items in stores contain animal products and have been animal tested. The app currently has a database of 26,000 items marked “vegan” and “non-vegan.” Most of the items are edibles and cosmetics. Household cleaning products will soon be added to the list.

A Growing Segment
As the designers explained, there is a demand for the app, since the number of vegans in Russia has been growing at a rate of fifty percent annually. There are now approximately 150,000 vegans in Russia.

The team has been preparing to expand the app’s functionality by adding a map of vegan shops, cafes, and producers. The app, which operates in Russia and the CIS, will earn money by advertising the services of these businesses.

Attracting Investors
“Unlike Western Europe and the US, the problem of identifying vegan goods is much gnarlier in Russia, because there is not a well-defined system for labeling goods and far fewer speciality magazines,” Yemelyanova explains.

For example, you might find a retail item labeled “Lenten,” but it might not be appropriate for vegans. On the other hand, producers sometimes have no clue their product lines include ethical products.

The startuppers commenced work on the app in early 2018. They raised money on the crowdfunding website Planeta. They also made it to the finals of Philtech Accelerator, winning a 100,000-ruble prize from the Higher School of Economics. The team got another 300,000 rubles from venture investor Alexander Rumyantsev.

Yemelyanova says the hardest thing was compiling the database of retail items marked “vegan.”

“We get information about the content of products from open sources. Our users can also add items via the app. After they are moderated, the new items are listed in the database,” a spokesperson for the company said.

In a week’s time, the nearly thousand users who downloaded the app have suggested 4,000 more items for inclusion in the database.

Prospects
The market for vegan products in Petersburg has been growing rapidly. In 2015, sales were estimated at 80 million rubles [approx. 1 million euros]. In 2017, this figure climbed to 400 million rubles [approx. 5.3 million euros].

Petersburg has several dozen fast food outlets and shops catering to vegans, including Bunker and B12 Vegan Shop.

Petersburg is also home to a small number of vegan producers. Businessman Ivan Ivanov, for example, makes lactose-free dairy products, wheat steaks, and other edibles under the Primal Soymilk brand. Verde produces cheese and curd. Veganov makes soy and vegetable sausages, while Soymik produces soy-based products.

“Petersburg has the most thriving vegan movement in Russia. The city also has a growing number of vegan producers. Mainly, however, these are small businesses in which not a lot of money has been invested. Their products are usually not sold in retail chains, but I think the day when they’ll be sold there is not far off,” says Ivanov.

Ivanov says he had thought himself about making an app for identifying vegan products.

Translated by the Russian Reader

Macaroni Is a Vegetable

“3,500 rubles.” Graphic courtesy of Vedomosti. At the current exchange rate, 3,500 rubles is worth approximately 46 euros.

Some Can Only Afford Macaroni, But Some Cannot Even Afford That
Saratov Official’s Suggestion to Spend 3,500 Rubles on Food a Month Is a Reality for Millions of Russians
Tatyana Lomskaya
Vedomosti
October 19, 2018

The statement by Natalya Sokolova, minister for labor and employment in Saratov Region, that 3,500 rubles a month was enough for the “minimum physiological needs” of Saratov pensioners so angered the public that she was made an ex-minister in a matter of days. Ms. Sokolova had insisted it was not worth raising the monthly minimum cost of living for unemployed pensioners by 500 rubles: an increase of 288 rubles would be enough.

“Macaroni always costs the same,” she said.

Ms. Sokolova, however, refused to go on such a diet by way of an experiment. Her status supposedly did not allow it.

But is it only Saratov pensioners who subsit on such a meager diet? Let’s compare them with other regions.

The authorities calculate the amount of the mountly minimum cost of living on the basis of the cost of the monthly minimum food basket. They add to its cost (which is 3,500 rubles in the case of Saratov pensioners) the exact same amount of money for paying for non-food items and services, for example, clothing, housing, and utilities. The monthly minimum cost of living for pensioners in Saratov Region was therefore 7,176 rubles (95 euros) in the second quarter of 2018. It was 9,354 rubles (124 euros) for the region’s able-bodied residents, and 9,022 rubles (120 euros) for its children.

That is not much, but there are even poorer regions in Russia. For example, in Belgorod Region, an able-bodied resident should be able to live on 8,995 rubles (120 euros) a month, while a pensioner should be able to survive on 6,951 rubles (92 euros) a month. In Mordovia, the corresponding figures are 9,132 rubles (121 euros) and 6,975 rubles (93 euros) a month; in Chuvashia, 9,248 rubles (123 euros) and 7,101 rubles (94 euros). The federal monthly minimum cost of living is 11,280 rubles (150 euros) for an able-bodied person, 8,583 rubles (114 euros) for a pensioner, and 10,390 rubles (138 euros) for a child. Meaning that, on average, the monthly diet in Russia as a whole is only a little more expensive than the Saratov diet: between 4,000 rubles (53 euros) and 5,500 rubles (73 rubles).

The monthly minimum food basket includes the cheapest groceries. It is meant to provide an individual with the necessary amount of protein, fats, and carbohydrates for a month, explains Liliya Ovcharova, director of the Institute for Social Policy at the Higher School of Economics. The basket mainly contains baked goods, a few eggs, lots of porridge, milk, and an altogether small amount of meat. According to Ms. Ovcharova, the diet will keep a person alive. It is another matter that it is “tasteless” and below rational norms of consumption, flagrantly lacking in meat, vegetables, and fruit. It is not surprising people find this diet unacceptable.

In 2017, however, the incomes of 13.2% of Russians were below the minimum cost of living, meaning that 18.9 million people in Russia could not afford even the macaroni snubbed by the ex-minister in Saratov. This figure includes children: one in five Russian children lives in family whose per capita income is below the minimum cost of living. Among old-age pensioners, however, there is practically no one who is officially poor. If their incomes are below the minimum cost of living for pensioners, they receive an additional payment to help them top up to the minimum. Children in large families are not eligible for these additional payments.

The question is what is now the more realistic approach: making the diet more humane or reducing the number of people who cannot afford even an inhumane diet. For example, the government could first reduce the number of children in need to 5%, and then improve the diet. Vladimir Putin ordered the government to reduce the number of needy people by half by 2024. If we now increased the minimum cost of living by 50%, the number of poor people would, on the contrary, double, Ms. Ovcharova estimates.

But the number of poor people can be measured not only on the basis of the minimum grocery basket, a standard that was introduced back in the 1990s. In European countries, for example, people with incomes of 50% of the median have been considered poor since the 1950s. At the same time, the Europeans base their calculations not on minimal but on rational norms of food consumption, Ms. Ovcharova notes. They compute how many specific vitamins, minerals, iron, and calcium a person needs. This food basket is much pricier and presupposes a completely different level of consumption and well-being.

It is probably best not to count how many Saratov pensioners can afford this food basket until 2024.

Translated by the Russian Reader

Our Own Private Romania

ilieni-dinu-lazar

Wages in Russia Catch Up to Wages in Romania
Anastasia Manuylova
Kommersant
July 23, 2018

Wages in Russia are higher than those in the other CIS (Commonwealth of Independent States) countries and comparable with those in Central and Eastern European countries. Those are the findings of the experts at the Higher School of Economics (HSE) who have issued the report “Wage Comparisons among Countries in 2011–2017.” They used purchasing power parity (PPP) indicators to do their calculations.

As 2017 came to a close, Russia was the leader in terms of wages among the CIS countries. Taking PPP into account, the average monthly wage in Russia last year amounted to $671. Kazakhstan lagged behind this benchmark less than the other CIS countries. Its average monthly wage in 2016–2017 was $459 and thus lower than the average wage in Russia by 30–40%. Tajikistan was the farthest behind, with an average monthly wage of $147. The study’s authors note the wage gap between Russia and the other CIS countries has continued to widen since 2011. In particular, this has been due to a deterioration of economic conditions in Azerbaijan, Belarus, and Kazakhstan in  2015–2017.

However, Russia’s position looks less attractive when compared with other groups of countries. Thus, among the countries of Central Europe, the level of wages in Russia is comparable only with Romania ($678 a month) and Bulgaria ($602 a month). The average monthly wages in Czech Republic and Croatia, for example, are considerably higher than the average monthly wage in Russia (by 80–90%), despite a downward trend in wages that has been observed since 2011. There is also a considerable gap between wages in Russia and wages in Poland and Hungary. In 2017, they outpaced Russia by 60–70%.

Among the BRICS countries, Russia exceeds the same indicator for Brazil by 5%. This gap has been narrowing in recent years, however. Wages in China outpaced wages in Russia as early as 2014, and the gap between the two countries is now almost 30%. In the long term, as the HSE’s Svetlana Biryukova, the report’s co-author, explains, if the current wage trends in all the countries, including Russia, continue, Russia would retain its leadership only among the CIS countries, but would find itself in last place among Central and Eastern European countries.

Translated by the Russian Reader. Photo courtesy of romaniatourism.com

The New Serfs

kozyrev-muscovitesPhoto by Yuri Kozyrev for the project Muscovites. Courtesy of Novaya Gazeta

The New Serfs
On July 9, Millions of Migrant Workers and Foreign Students Will Be Stripped of the Right to Freedom of Movement in Russia in a Single Bound. What Has Happened?
Vyacheslav Polovinko and Tatyana Vasilchuk
Novaya Gazeta
July 6, 2018

On June 28, Vladimir Putin signed Federal Law No. 163-FZ, which clarifies the guidelines for immigration registration in Russia. According to the amended law, such notions as a foreign national’s place of residence and the party hosting the foreign national have been defined more precisely. The majority of media outlets have described the new law as making the lives of migrant workers less burdensome, since the new law says foreign workers can be registered as dwelling in construction site trailers. This has provoked grumbling among “tolerant” Russians, who have complained migrant workers will arrive in even greater numbers and occupy all the country’s trailers.

In fact, the situation is quite different. The new rules are a blow to all law-abiding migrant workers and nearly all foreign students. Any legal entity that attempts to hire foreign nationals to work or study in Russia could find itself in violation of the law.

Even people who have all the papers and permissions for staying in Russia could be deemed lawbreakers.

The July Eighth Law
When a foreign national arrives in Russia, she is obliged to present herself to the immigration authorities and register her place of residence. However, she cannot register herself: the people or entities who invited her are obliged to do this. If she has come on a private visit, this would be the owner of the flat she has rented or the hotel where she is staying. If she has come to Russia to study, the university where she will be studying is obliged to register her. If she has come to Russia to work, the company in which she is employed must register her. (The last instance is more flexible, because her company is obliged to register her with the immigration authorities, but they may or may not register her place of residence as they wish, apparently.) Private landlords are a separate topic, but legal entities would take the easy way out. The law used to permit them to register the university or the company’s main address as a student’s or employee’s domicile. However, the foreign national could actually live somewhere else. It was understood, however, that if the police or other competent authorities were looking for her, they could do so at the address where she was officially registered.

The old system had its advantages and its shortcomings.

“There are companies that have five or six thousand foreign nationals on staff. It is convenient for them to register people at their business address to oversee whether their employees are paying for work permits and extending their residence permits on time,” says migration expert Svetlana Salamova.

The other side of the coin has to do with the poor living conditions of some foreign workers. This is most often the case among migrant workers from Central Asia.

“Employers would sometimes accommodate fifteen people at a time in trailers, in which the living conditions were rough. Besides, finding people via their legally registered domicile was often quite complicated,” explains human rights defender Andrei Babushkin.

To solve these problems, the definitions of key notions in the immigration laws have been amended. Actually, however the circumstances of migrant workers and their Russian employers have been considerably worsened, not improved. The amendments signed into law on June 28 stipulate that the place where the foreign national stays cannot be a normal domicile, but it can be other premises where the foreign national or stateless person actually resides, i.e., regularly uses for sleep and relaxation. If she is registered by a Russian organization, the foreigner must live for all intents and purposes in premises belonging to the organization. However, the premises must be equipped as a dwelling space.

In other words, if a foreign worker wants her company to register her with the authorities, she is obliged to reside full time in the company’s living accommodations.

The catch is that most legal entities simply do not having living accommodations. Construction companies will have the easiest time of it. They will now actually be able to register workers as legally residing in trailers and makeshift barracks at construction sites. All other companies have nowhere to accommodate their employees from other countries. A sofa and a microwave are not sufficient conditions for turning a room into a legal residence.

“Legally speaking, a domicile is a place that has been registered as such,” says Salamova. “An office with a sofa in it is not a domicile, but if your company lets you keep your suitcases there and install a stove and refrigerator, theoretically you could be registered as dwelling there. In this case, however, the employee from the personnel department who registers you with the Russian Interior Ministry [i.e., the police] will have to supply the immigration authorities with paperwork showing the room has been registered as a domicile.”

Will Russian companies be willing to turn their offices into bedrooms? The answer is obviously no.

Large auditing and consulting agencies, a field in which many foreign nationals are employed in Russia (not only expatriates but also graduates of Russian universities who are nationals of the former Soviet republics) have started to warn their employees about the need to look for a place where they can be registered as residing. Victoria Plotinskaya, marketing and public relations director at AT Consulting, told us that foreign employees at her company must register at their actual addresses before July 9. Previously, AT Consulting registered them at its business address, but now it is willing to provide them with legal assistance. Plotinskaya assumes their employees will have no difficulties, since registering oneself as residing in a rented flat is not a problem,  she claims.

We, however, have learned that several employees of major companies have been thinking about quitting their jobs or transferring to their home countries because their landlords have no intention of registering them.

“Companies will lose the ability to keep track of the immigration registration of their foreign national employees, while  foreign nationals who live in rented flats will have to negotiate with their landlords about registering them,” says Roman Gusev, director of Ernst & Young’s taxation and legal services department. The company does not plan to lay off any employees.

“In practice,” Gusev continues, “we see that many landlords refuse to deal with this procedure, because they don’t want the added administrative burden. In such cases, foreign nationals will have to urgently look for new accommodations. On the other hand, landlords who agree to meet the new requirements will have to keep close watch over their foreign tenants’ arrivals in the Russian Federation, since they have to be registered with immigration authorities after each such arrival.

“There are also risks for conscientious landlords. If their foreign national tenants arrive in the Russian Federation and fail to inform them, the landlords will be breaking the law without knowing it. On the other hand, foreign nationals could also find themselves in a pickle if their landlords suddenly refuse to register them with the immigration authorities or are simply unable to do what the law requires of them because they happen to be out of town,” concludes Gusev.

Unfortunately, the new rules are also retroactive, apparently, meaning everyone who is registered as residing at a business beyond July 8 will be in violation of the law come this Monday—unless, of course, they are unable to swiftly persuade their landlords to register them. In this case, however, no one can vouch that landlord will supply this service for free. Rental agreements presume that landlords pay taxes on the rent they charge. Verbal agreements to rent someone a flat and register them while not paying taxes could lead to a rise in the price of flats let to foreign nationals in Russia.

Formally, nothing has been said about the retroactive force of the amendments to the law, as signed by Putin. However, human rights activists have already been getting reports of attempts to deport migrant workers for dwelling in places where they are not registered to reside. In fact, the Interior Ministry already has the power to deport a non-Russian national if an inspector discovers him somewhere other than his registered domicile, say, at another flat in the evening.

This was what happened to Uzbek nationals in Omsk Region, says human rights activist Valentina Chupik. The Uzbeks went to a immigration center with registration papers obtained from a middleman, and they were sent off to be deported, allegedly because they did not live at their registered domicile.

In other words, under the new law, migrant workers no longer have the right to spend the night somewhere other than their legally registered, actual residence.

Under Article 54 of the Russian Constitution, laws cannot be applied retroactively. This was underscored by the specialists at Alliance Legal Migration, a firm based in Petersburg. In theory, then, all registrations issued before July 8 should be valid for their full terms. This can be proven only in court, however. Yet Russian courts rarely side with migrant workers.

Dormitory Hostages
Foreign nationals employed by Russian companies are only half of the problem. If push comes to shove, they can pay landlords extra money to register them. All foreign students in Russia are now at risk as well. Previously, universities would register their main buildings as the legal domiciles of their foreign students, but now they will be obliged to register all of them in university dormitories. However, the number of rooms in the dorms does not match the number of foreign students, and out-of-town Russian students have to live in dorms as well. Besides, there are students who do not want to live in dorms and can rent flats, students who have children, for example. Previously, they could count on their universities registering them, but now they will have to take care of their own registration.

The new law also applies to students who left for summer holidays not knowing they would return to Russia in the autumn on new terms. In addition, students who are registered in dorms are virtually their hostages.

Any violation of university regulations or, for example, attendance at an opposition rally gives university deans the chance to opportunity to revoke the registration of “troublesome” foreign students, which automatically means they are in violation of immigration laws and can be deported. Considering the fact that many international students have never experienced serfdom, they behave like free women and men. Their freedom will now be harshly restricted by the hours when the dorm’s main entrance closes.

Universities themselves seemingly have not yet figured out yet what they are going to do. The new rules have been a big surprise to most of them. The main issue they face is how they will now enroll international students if registering all of them legally has become impossible.

The Peoples’ Friendship University of Russia (RUDN) refused to comment on the amended rules. We were told by a spokesperson at the Higher School of Economics (HSE) that they were in the process of working out a way of dealing with the new rules. However, we have in our possession correspondence between students and the HSE’s immigration department, who categorically informed the students they could be registered only at their actual places of residence.

At Moscow State University (MGU), we were told, “The issues of timely migration registration and visa extensions for foreign students residing in rented flats is currently being examined by university management in order to find the optimal solution.”

“The university has not contemplated any limitations to enrolling foreign students due to the adoption of Federal Law No. 163-FZ, dated June 27, 2018,” a MGU spokesperson added.

Other universities failed to respond to our inquiries before this issue of the newspaper was sent to the presses.

“If a university does not have a dormitory or does not have enough room in its dormitories, students can ask for a written request from the university to landlords, asking them to register the students at their actual domiciles. And then the landlords can register them if they want to do so,” explains Salamova.

Closely Watched Flats
You should not imagine that all of the above is a headache for foreigners, but has nothing to do with you.

According to the new rules, Russian nationals who let flats to foreign nationals are automatically regarded as “hosts,” meaning they are obliged to register them as residing in their dwellings and are responsible for them.

“There will also be increased check-ups and fines in the case of noncompliance with the laws for people who let flats to foreigners,” predicts Salamova.

In all fairness, such fines also existed earlier, but they were almost never issued. We have been informed that as soon as the World Cup ends, the police will make an extra effort to inspect all residential buildings and search for unregistered foreigners living in them.

Moreover, Russians are currently responsible for foreign nationals, even if they have left the country but their immigration registration is still valid. A law bill, sponsored by Irina Yarovaya and on the verge of its second reading, has been tabled in the State Duma. If passed, it would make it possible to remove foreigners from the immigration registry instantly and on one’s own via the web. This means landlords would also be able to remove tenants from the registry whenever they wanted, claiming, for example, that they had lost touch with the migrant workers in question. Foreign tenants would thus be subject to the whims of landlords, who could raise their rent at the drop of a hat, threatening to remove them from the immigration registry if they failed to pay. Besides, if a migrant worker does not live in the flat where she is officially registered, she can find herself without papers at any minute because, according to yet another amendment, she can be stricken from the rolls as residing in a particular flat without her knowledge. This means that beat cops can stop her on the street and automatically fine and deport her.

In mid June, the State Duma approved yet another law bill in its second reading. If passed, it would make organizations that invite foreigners to Russia wholly responsible for their actions. For example, if a foreign national works somewhere else than the organization that invited him or “is up to no good,” as MP Viktor Karamyshev has put it, the authorities will pay a call to the foreigner’s primary host organization. In addition, companies would have to make sure that when an employment contract ends, the migrant worker leaves the country instantly. Otherwise, the companies would be fined.

At the same time, the State Duma approved a new list of fines for noncompliance with all these rules on the part of organizations and ordinary Russians.

Under the new regulations in the Administrative Offenses Code, individuals will pay fines of up to 4,000 rubles for violations involving migrant workers, while officials will pays up to 50,000 rubles, and legal entities will pay up to 500,000 rubles [approx. 6,700 euros].

Beneficiaries  
By and large, the batch of laws that have been adopted or are still under consideration (the Interior Ministry, for example, has launched an expert group to draft a Migration Code) should at least be sent back to the relevant committee for revision, since, as Babushkin says, “The harm they do outweighs the good.” But the way the new rules have been drafted and adopted behind the scenes—they did not warrant a single public hearing nor, as far we have ascertained, did their authors consult with independent migration lawyers—suggests their oppressiveness is advantageous as they currently stand.

Who stands to gain, however? MP Irina Yarovaya, for example, argues that certain changes, such as the ability to remove migrant workers from the registration rolls on one’s own, are in the interests of ordinary Russians. She states her case in a clarification to the law bill that the MP’s aides sent to us in reply to a request for comments. On the contrary, human rights activists argue the Interior Ministry, which now has complete oversight over immigration, has received yet another tool for extorting bribes. Any migrant worker can be stopped on the street by the police and threatened with deportation: he will find it easier to pay them off. Any landlord can be intimidated with fines.

The threat of deportation is a convenient tool for dealing with troublesome individuals.

Our newspaper published the story of Gulchekhra Aliyeva and her family. She and her son were locked up for five days without food and water at the Ramenki District Police Station in Moscow. They were let out of their cells twice a day to go to the toilet. According to the Aliyevs and human rights advocates, the police tried to extort them, promising to deport them if they did not pay up. The ostensible cause was the tightening of security on the eve of the World Cup. After human right defenders intervened, the Aliyevs were released, and a criminal investigation into allegations of torture was launched.

“However, when the Aliyevs were summoned for questioning, it transpired  the police planned to deport them for being registered at their place of work rather than where they actually lived,” says Chupik.

Moreover, this happened before the new law had taken effect.

“We basically saved them by escaping the police station,” recalls Chupik.

The special services also stand to benefit from the new law. As we have learned from a source with ties to the academic world, special services officers have connections to the immigration departments in several Russian universities.

This is tantamount to reviving the Soviet system of “working” with international students at universities. Given that they inevitably violate the rules, they can be inclined to “friendship” and “cooperation” when necessary.

Besides, foreigners per se will now be unable to take the slightest step in Russia without official registration. Nationals of our allies Kyrgyzstan and Kazakhstan will also be punished, but that is collateral damage.

Finally, fly-by-night fake migration registrars stand to gain from the law, since their entire business will disappear into the shadow economy. Even now, migrant workers who travel to the Multi-Purpose Migration Center (MMTs) in Sakharovo, in the far southern outskirts of Moscow, cannot have their domiciles registered while other papers are being processed, including their work permits. Human rights activists say the MMTs has lost this right due to the new law.

“Everyone mobs Kazan Station, getting registered by people who give them counterfeit papers,” claims Chupik.

As far as we know, the neighborhood around the Kazan Railway Station, in central Moscow, has the largest number of people offering such dubious services. Moreover, these deals are made more or less in plain view of law enforcement officers, who do nothing about them: maybe they know something important we do not know or know more thane we. The price of counterfeit registration papers is between seven and eight thousand rubles [approx. 95 to 110 euros], a hefty sum of money for migrant workers.

The Interior Ministry stubbornly persists in saying nothing about how the new law will be enforced: it has not published any official clarifications. We have sent the ministry a request to comment, but when this newspaper went to the print, the ministry had not yet responded.

Thanks to Sergey Abashin for the heads-up. Translated by the Russian Reader

How Rosstat Stopped People’s Incomes from Falling by Fudging the Stats

1024px-Centrosoyuz_Moscow_-_Ak_Sakharova_viewThe Tsentrosoyuz Building, on Sakharov Avenue in Moscow, was designed in 1933 by Le Corbusier and Nikolai Kolli. Originally built as headquarters of the Central Union of Consumer Cooperatives, it now houses Rosstat and the Russian Federal Financial Monitoring Service. Photo courtesy of Wikipedia

Rosstat “Stopped” Populace’s Incomes from Falling
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Yelizaveta Bazanova and Filipp Sterkin
Vedomosti
February 19, 2019

Evgeny Shtorn: How the FSB Tried to Recruit Me

“I Had a Night to Say Goodbye to My Whole Life”
Sociologist Evgeny Shtorn Left Russia Because the FSB Tried to Recruit Him
Elena Racheva
Novaya Gazeta
January 20, 2018

On January 5, sociologist Evgeny Shtorn, an employee at the Centre for Independent Sociological Research (CISR) in St. Petersburg, left Russia for Ireland. In December, his application for Russian citizenship was rejected, and immediately afterwards he was summoned to the Russian Federal Security Service (FSB), according to Shtorn, where he was interrogated about CISR’s financing and the foreign organizations it collaborates with. (Since 2015, the CISR has been classified as a “foreign agent.”) According to CISR director Viktor Voronkov, Shtorn is at least the fourth CISR employee whom the FSB has attempted to recruit.

Shtorn was born in the Kazakh Soviet Socialist Republic, but in 2000 he left the country to study in Petersburg. In 2004, he was granted Russian citizenship at a Russian consulate in Kazakhstan. He lived for eight years on his Russian passport, but in 2011 he was told by authorities the passport had been issued groundlessly, and he was not a Russian citizen.

Shtorn’s Kazakhstani citizenship had been annulled long before, but he found himself a stateless person after living in Russia for eleven years. The only paper the authorities would issue him was a residence permit for a stateless person, which allowed him to live and work in Russia. After five years, one can apply for Russian citizenship on this basis. This was what Shtorn did in July 2017, after passing the obligatory Russian language exam, assembling a whole dossier of paperwork, and standing in endless queues.

During this time, Shtorn, who is thirty-five, enrolled in the Higher School of Economics MA program and continued working as manager for development at CISR, one of the oldest and most respected independent sociological research institutes in Russia.

“I went to the local Federal Migration Service (FMS) office in late November to pick up my passport,” Shtorn recounts. “I was told my citizenship application had been rejected because I had provided false information about myself. The FMS had decided I did not lived at my registered address, because they had come checking in the afternoon, when I was not home, and I had not listed all the addresses where I had lived in Russia, although in the application I filled out there was a footnote saying I was not obliged to list all of them.”

The rejection meant Shtorn could resubmit his application for citizenship only in a year. Two weeks after his application was rejected, Shtorn was telephoned by a person who identified himself as an FMS employee. He said he was handling Shtorn’s application and asked him to stop by their office.

On December 7, Shtorn went to the FMS office that handles the registration of statelesss persons.

“I was met by a person my age. We went up to the second floor and walked into an office with no plaque on the door,” Shtorn recounts. “I caught sight of a picture of Andropov on the wall, an old-fashioned, insipid, Soviet-era portrait. I immediately understood everything.”

The man showed Shtorn a FSB officer’s ID. Shtorn did not remember his rank, but he did memorize his name and surname, but he is afraid of identifying him publicly.

“He quickly got down to business,” recalls Shtorn. “He said when the FSB reviewed my application, they were quite surprised I worked for a ‘foreign agent’ and at the Higher School of Economics, although I am actually a student there. He asked me what I did at CISR. He was polite, but his vocabulary was bizarre. ‘Who is your patron?’ he asked. I explained we did not have patrons, that researchers operate differently. There are things a person wants to research, and he or she tries to research them. To have something to say, I told him about Max Weber, and the difference between quantitative and qualitative sociology.”

Evgeny Shtorn. Photo from his personal archives

Then, according to Shtorn, the FSB officer asked him where the “foreign agent” got its money and what western foundations CISR worked with.

“I said, ‘What, do foreign agents have money? The American foundations you declared undesirables are gone, and we have big problems with financing.’

“‘So people transport cash from abroad, right?’ he asked.

“I explained I didn’t have a passport, I hadn’t been abroad for many years, and I didn’t have access to those realms, but I didn’t think anyone was transporting cash in their underwear. Then he asked whether I had met with foreign intelligence officers as part of my job.”

According to Shtorn, the FSB officer was well informed about the work of Shtorn, CISR, and related organizations. He knew about academic conferences and listed the surnames of foreign foundation directors, asking whether Shtorn was acquainted with them. He asked what Shtorn was researching at the Higher School of Economics, although he clearly knew Shtorn was researching hate crimes against LGBT. He asked what foreign languages Shtorn spoke.

“Is English your working language?” he asked.

According to Shtorn, the FSB officer was not aggressive, but twice during their ninety-minute conversation he quoted the articles in the Russian Criminal Code covering espionage and treason, commenting they applied to everyone who flirted with foreign special services and foreign organizations.

In the middle of the conversation, the FSB officer asked him whether he had read Zbigniew Brzezinski’s book The Grand Chessboard.

“He said that, way back in the nineties, Brzezinki had written Ukraine would go over to the US in 2012, and this was what had happened. He advised me to read the book.

“At the end of the conversation, he said, ‘How unlucky you were with your citizenship application.’ He explained he was unable to help me in any way. ‘Many believe we are an all-seeing eye, but it’s not like that at all. We also have a tough time obtaining information.’

“He insisted I tell no one about our conversation. When I was getting ready to leave, he said, ‘If I call you again, you won’t be scared? Because some people get scared and change their telephone numbers.’ I said, ‘Of course not. You’re a polite person. What do I have be afraid of?’

“‘And you are such an interesting person, and educated. It’s interesting to chat with you. Thank you for your time,’ he said.

“We left the office, and that was when I caught sight of a bust of Felix Dzerzhinsky behind the coat rack, a life-sized bust.

“‘And here is Felix,’ the FSB officer said.

“I left.”

The FSB officer telephoned Shtorn the very next day. According to him, the FSB officer suggested meeting for coffee.

“I realized that was that. They were going to try and recruit me,” says Shtorn.

He believes if he had refused to work for the FSB, as a stateless person he would have been sent to the Temporary Detention Center for Migrants.

“I felt paranoid,” says Shtorn. “I imagined the FSB had access to all my channels of communication, that they could see all my emails. They realized I had nowhere to go, that without papers I was caged. I realized I had to make a run for it, so I turned to Team 29, LGBT Network, and Civic Control. I got a lot of help from human rights activist Jennifer Gaspar. In 2014, she was also invited to have a chat with the FSB, who stripped her of her residence permit and expelled her from Russia. Jennifer put me in touch with Front Line Defenders, who asked the German, Lithuanian, French, and US governments to issue me a visa. They all turned us down, saying they could not put a visa in a residence permit.”

On the evening of December 21, Front Line Defenders informed Shtorn Ireland was willing to issue him a visa. The next morning he had to fly to Moscow, apply for the visa at the Irish Embassy, and fly to Ireland without any hope of ever returning to Russia.

“I had a night to say goodbye to my whole life,” recalls Shtorn. “It felt like I was standing on the edge of an abyss and jumped off.”

In Moscow, it transpired that, due to the short working day, the Irish consular officials would not have time to draw up his visa, and he flew back to Petersburg. He obtained the visa only on January 4. The next day, he tried to board a Lufthansa flight to Dublin, but the airline refused to let him board the plane. The German Federal Police had informed the airline it would refuse to let a person with a residence permit enter the transit zone. It was clear Shtorn would not be allowed to fly via any of the EU countries. The next flight from Domodedovo Airport to Dublin had a stopover in Moldova.

“I went to the check-in counter,” recounts Shtorn. “The folks there were reasonable. They realized a person with an Irish visa would not want to stay in Chișinău. I bought a ticket. There was 45 minutes until boarding, and the whole time I sat waiting for them to come for me. When the plane took off, I started shaking.”

Shtorn is now in Dublin on a three-month short-term visa.

“Thanks to Front Line Defenders I have a place to live and money for food,” he says. “I don’t know what will happen next. I cannot go back to Russia. If my situation was bad, now I have made it worse. Initially, I wanted to keep mum, but I decided I had to warn the employees of other NGOs. When the law on ‘foreign agents’ was enacted, it stated the penalties did not apply to people who worked for such organizations. My story shows this is not the case.”

•••••

Фото: «Новая газета»

Viktor Voronkov, director, Centre for Independent Social Research (CISR), Petersburg 

Of course, the FSB is interested in CISR. Four of our employees have approached me and said, “They’re trying to recruit me. What should I do?” I think they have tried to recruit nearly everyone at CISR. Some have told me, others have turned them down and not told me, and still others, perhaps, did not turn them down. In conversation with the people they were trying to recruit, FSB officers have mentioned numerous facts they could have learned only from our employees.

It is normal. I know the practice well from the Soviet Union. When they tried to recruit me in 1981, they also asked questions that came out of left field. “Maybe you could describe your critical view of things at the institute? Maybe we could work together? You want to help the Motherland, don’t you?” They always associate themselves with the Motherland. They offered me help traveling abroad via the Soviet-East German Friendship Society. They blackmailed me.

I met with them three or four times. One time, a KGB officer tried to take me into a cubbyhole under the stairs at the institute to work me over. He looked in there, said, “Excuse me,” and closed the door. Another officer was already working someone over in the cubbyhole.

You can get rid of them. They have the right to recruit, and we have the right to turn them down. When they tried to recruit a pal of mine, he simply opened the door of his officer and shouted, “Get the hell outta here!” The KGB guy left. But I do not advise anyone to start talking with them. You cannot win against them. Nowadays, I advise my employees to give FSB guys the bum’s rush.

They tried to blackmail our other employees over trifles, but they were not as vulnerable as Evgeny was. I told him him to pay no mind to the blackmail, but it was not worth taking risks in his position. When a person is guided by fear, it is better to give into that fear.

I think we have to talk about such stories publicly. We could do a flash mob hashtagged #HowTheyTriedToRecruitMe. If there is no public oversight of the KGB, it means the KGB oversees society.

I realize this story could affect CISR, but we have been taking different measures to soften the blow. CISR is currently split. The majority of our employees argues we should disband the center and establish a new one. The minority argues we should not surrender. I have taken the most radical position. Everyone wants to find the means to survive. I want to show there is way to fight we can fight to the end. I hope to their end, not ours.

Translated by the Russian Reader