By John Helmer, Moscow
@bears_with
It was Aristophanes who said you can’t teach a crab to walk straight. Lenin wasn’t talking about crabs when he recommended taking one step forward, two steps back.
This summer, when President Vladimir Putin last talked to Gennady Timchenko about his family’s crab business, he said he was revising the old Lenin tract. Two steps sideways, and one step forward, Putin advised. By sideways he meant that investigations under way in April by the General Prosecutor’s office, the Kremlin Control Directorate, and the Accounting Chamber of the Russian Fishing Company, controlled by Timchenko’s son-in-law Gleb Frank, have been called off. The federal minister in charge, Yury Trutnev, has also been advised to move sideways until after the first government auction of crab quotas start on October 7.
On that day, Rosrybolovtsvo (Rosryb), the federal Russian Fishery Agency, which is a branch of the Ministry of Agriculture. will start auctioning catch quotas for 15-year terms in 41 lots of 1,000 tonnes each; the estimated state price will be about Rb125 billion ($1.9 billion). Bidding for the fareast crab quotas will run from October 7 to 11; the northern Barents Sea crab auction will take place on October 14-15; the official results will then be issued by Rosryb and contracts with the winning companies should be signed on October 28.
The Russian Fishing Company (RRPC) is expected to take at least a third of the offer, probably more since lack of cash and state bank financing to meet Rosryb’s terms prevent industry rivals from bidding. An additional cost requirement for the winning bidders is that they must commit to building new crabbing vessels at local shipyards. In support of its quota bid, RRPC is reported to have committed to paying $500 million for 22 vessels.
“All attempts at investigating or allowing competition in the crab business are now dead,” an industry source said last week. “This is now the fashion. Timchenko got the blessing from Putin.” (more…)






















