A freezing order on almost €100m in Irish-based assets belonging to former Russian oligarch Mikhail Khodorkovsky has been lifted by a court in Dublin.

The assets had been frozen for the past five-and-a-half years while gardaí conducted an investigation into alleged money laundering offences.

Garda fraud officers had been obtaining renewable freezing orders every 28 days, but the latest order was challenged by lawyers for Mr Khodorkovsky.

This morning Judge Timothy Lucey said that while he was satisfied that a garda investigation was ongoing, he did not believe there was reasonable grounds to maintain the latest freezing order over the assets.

The decision came following a four-day hearing at Dublin District Court.

Judge Lucey criticised the gardaí for the lack of information provided about the investigation.

“The respondents have provided almost no evidence to the court,” he said.

“They clearly have views, but they are not telling the court.”

The judge also said he was satisfied Mr Khodorkovsky was the beneficial owner of the funds.

The decision is a major victory for Mr Khodorkovsky, who plans to use part of the funds to assist his Open Russia organisation, which is campaigning for human rights and democracy.

The assets were frozen in 2011 on the application of the Garda Bureau of Fraud Investigation (GBFI) while Mr Khodorkovsky was in a prison colony in Siberia.

He was convicted in 2005 and 2009 of crimes including tax evasion, embezzlement and money laundering.

But the trials were widely regarded as lacking due process and being politically motivated, Mr Khodorkovsky has long been one of the foremost critics of Russian President Vladimir Putin.

Amnesty International described the former oil tycoon as a prisoner of conscience while he was jailed.

Mr Khodorkovsky had the remainder of his sentence pardoned by Mr Putin in 2013, following international pressure for his release.

He claimed the Irish-based funds were legitimately obtained through dividends and a share buyback scheme at his former oil firm Yukos.

However, lawyers for the GBFI had sought to continue the freezing orders, saying it was investigating whether the funds were linked to money laundering.

Mr Khodorkovsky, who now lives in London, where he was granted asylum earlier this year, retained Dublin solicitor Dara Robinson to assist the GBFI investigation.

The former oligarch claimed detailed answers were provided to questions posed by detectives.

In an affidavit given to the court he said officers were provided with “a number of volumes of materials” in respect of the funds invested in Ireland.

The questions posed were “very far beyond what might ever be considered as amounting to necessary due diligence for the purpose of satisfying anti-money laundering obligations,” he said.

However, gardaí responded with further questions, saying they wished to establish a “clear audit trail” for the funds.

Mr Khodorkovsky said the GBFI investigation was grounded on his convictions in Russia and that gardaí had shown an “absence of interest” in material showing those convictions were politically motivated.

He has claimed his life would be in danger if he ever returns to Russia because of his political views.

A statement issued by his spokesman said Mr Khodorkovsky was happy the judge found the monies invested in Ireland were not the proceeds of criminal activity.

“Mr Khodorkovsky has indicated he will use some of the funds to support the work of the Open Russia movement, which he founded in 2014,” the statement said.

“He spent over 10 years in jail, between 2003 and 2013, on politically motivated charges. In May 2011, he was declared a Prisoner of Conscience by Amnesty International.

“The organisation advocates an alternative vision for his country: a strong and just state, committed to observing human rights, free and fair elections and the rule of law.”

However, Andrey Kondakov, director general of the Russian Federation’s International Centre for Legal Protection, said it was disappointed and surprised at the ruling.

“The Irish authorities did not notify us about the proceedings and that therefore we could not participate and submit evidence despite being ready and willing,” he said.

Online Editors