US auditors inside Russian business and state

New Insight  1,916
  
669 views
Published on Jan 24, 2016
Thousand of Western advisors operate within the Russian economic and political structures since their arrival in 1992, immediately after the defeat of the Soviet Union.

NOD believes that their activities benefit foreign powers at the expense of the Russian people and is calling for their removal, as explained here by Information Coordinator, Roman Zuikov.

English subtitles. Transcript in the comments.
Unsubtitled originals:
* Main interview by NOD: http://www.youtube.com/watch?v=vx_WU5...
* Final clip from Ri 24 (Rossiya info): https://www.youtube.com/watch?v=g_B3K...

Related links:

Moscow court deemed that PwC aided Yukos in perpetrating tax evasion (2007).
http://www.kommersant.com/p751697/r_1...

PwC loses appeal in Yukos affair (2008).
http://www.wsj.com/articles/SB1201537...

Résumé of Leonid Schmeidman, Ministry of Finance, formerly of PricewaterhouseCoopers.
http://www.minfin.ru/ru/ministry/stru...

Yegor Gaidar, Prime Minister in 1992, introduced the foreign advisors.
(machine translation): http://www.translate.ru/siteTranslati...
(Russian original): http://rusnod.info/kak-sovetniki-ssha...

COMMENTS • 10

 
Add a public comment...
Think Again 
Think Again2 months ago
Greetings from ROMANIA! Thanks for English Translation! THE PURGE MUST START IMMEDIATELY otherwise USA will colapse RUSSIA economy at once.....10 US FED dollars for a oil barell and 300 Russian RUBLA for 1 US FED Dollars its easy for them to set....ENTIRE PLANET WAIT the momentof NATIONALIZATION of RUSSIA CENTRAL BANK....we supoort NOD (Russia National Liberation Movement) from all EASTERN EUROPE...
6  
Ned Herbert 
Ned Herbert2 months ago
Kick the bastards out. Please.
3  
neo nero 
neo nero2 months ago
Fire and Kick all the Zionists out of Russia; only then can you secure sensitive materials to a greater extent.
4  
ResistCom 
ResistCom1 month ago
+neo nero ... Unfortunately, the outlanders have been invited back in!
1  
yolol 
yolol2 months ago
putin surely must have a plan, he is a very clever man and is perhaps the timing is not right at the moment until he gets his allies to help out if it gets tough because that would be a very big transition
  
Lennart Mogren 
Lennart Mogren2 months ago
Sounds like a good plan!
  
Paul Smith 
Paul Smith2 months ago
The US auditors are notoriously corrupt , ban them.
3  
New Insight 
New Insight2 months ago
TRANSCRIPT in 2 parts.
2  
New Insight 
New Insight2 months ago
[PART 1] [National Liberation Movement (NOD) Presents .. Consultants or Economic Hit Men? Is the US engaged in industrial espionage and subversion in Russia? Who in the Russian government is overseeing it?] What is an ‘Audit’ and how does it differ from ‘Consulting’? An audit is essentially an inspection which all corporations have to go through once a year. Why is it needed? Firstly, it’s for the senior management to report to the owners of the organization – usually different people. Secondly, it’s a certain independent assessment of the activities of the senior management to ensure that the owners don’t take out too much of the money but leave more for bonuses. But don’t forget that it’s also a certain instrument, a bridge between different organizations: If your organization got a good assessment from a large well-known accounting firm, it means that people can have confidence in you – foreign banks, foreign companies. You might get leasing deals at cheaper rates. You might get credit from abroad on more beneficial, attractive terms, because the company that audited you has confidence in you. At the same time, if the audit found certain complications, inaccuracies, maybe some clear transgressions in your activities, or there might be some opportunities to modernize your production or update your processes – in such a case the auditor will offer consultancy services, for which the organization may enter into a contract with them. The auditors will indicate what needs to be done in order to successfully pass the audit next time and raise one’s rating, so that a foreign bank will have confidence in you. This seems like normal financial practices. How does it concern the National Liberation Movement (NOD)? Recall, the National Liberation Movement is engaged with those issues, those types of business and industry, where there is some foreign financing, foreign interest – moreover, an interest which could potentially damage Russia. So what’s this all about? In Russia there are six large Accounting and Consulting firms, including: PricewaterhouseCoopers, Oliver Wyman, McKinsey, Deloitte & Touche and a few others. They are all Western companies – either US or European. Moreover, some of our co-fighters who are working within these organizations report that all information that they enter into the computer immediately goes off to overseas servers – to Europe, and later to America. Absolutely all of it – all significant documents. Again, what has NOD to do with this? So the information goes off to Americans, who know the accounts of our organizations. Well, remember an interesting case from the 1990s. You know the public figure Khodorkovsky and his Yukos affair. It turns out that PricewaterhouseCoopers were consultants for Yukos Holdings. They were the ones explaining how best to export taxes out of the country, how best to avoid paying them here. They proposed a scheme, whereby firstly the oil extraction company should be registered offshore. But that’s not all. The company should have a bunch of contractors. The holding company was broken up into a multitude of small outfits. One of them pumps the oil. Another sells it. A third cleans up. A fourth one does the food. A fifth does HR for the personnel in the fourth. And so on. For what purpose? To conceal tax obligations. But that’s not all. All of the main profits of these companies, of the holding company, were to be donated to a foundation established by this same company and registered overseas. A foundation’s donations are not taxable. It turns out that Khodorkovsky was making donations from one pocket to another pocket in order to not pay tax to Russia. Moreover, a criminal case was opened, during the course of which participated PricewaterhouseCoopers. Why does this organization continue to operate in Russia after that? That’s the question – why? There was a criminal case, persons of interest, certain clearly negative aspects. Meanwhile the organization had a great rating. Is there a question here? Yes. Let’s look at something else, just to make sense of things. A corporation doesn’t simply mean the oligarchs of the 1990s who are sitting in Europe – in Germany or elsewhere. Never mind them. Forget Khodorkovsky. Let’s look around us. Nizhny Novgorod soccer club “Volga”. Pulkovo Airport in St.Petersburg. Strigino Airport – Nizhny Novgorod. The Moscow airports. How are the tenders conducted? Why is it that US companies, and not Russian ones, win the tenders? Are our auditors worse, or what? No, the auditors are the same. Moreover, even in the American companies there are our Russian citizens working, Russian auditors. So why is it the US companies win? It’s all very simple. Information has come out about the contract prices. It turns out that the Nizhny Novgorod soccer club “Volga” pays about 1.2 million roubles annually for an audit. 1.2 million – nice money. How much do you think an airport pays for the very same activities – at least an international airport serving as a back-up for Moscow. Only 0.2 million. An airport where military aircraft land, having a whopping runway, pays about 6 times less for an audit than a soccer club – and not the largest one by a long way. It’s nonsense. Of course, I understand these Accounting and Consulting firms could say that it’s a key client for them, an airport is attractive from a marketing perspective, they’re willing to go without profit, in order to have such a client to boast about and attract new clients. Let’s look at things differently. Workers in these organizations – our co-fighters, who are dissatisfied that they are working in these organizations by necessity – report that practically all secrets, practically all data immediately goes off to an overseas server. Supposedly, “the best consultants are over there, they can process the information better”. But we well understand that classified information about strategic installations can essentially get out in this way. They are performing audits in Gazprom and various other organizations. But aside from organizations involved in enterprise, they are also auditing defense companies. Let’s understand this. Why do they win contracts for defense companies? What’s going on here? An audit of our Russian defense companies should be conducted by our Russian organizations. Right? Yes. In reality it’s all done differently.
1  
New Insight 
New Insight2 months ago
[PART 2] What is involved in conducting an audit of a defense company? The auditor comes in, sits down in a dedicated room. The auditor has access to classified information of the 1st, 2nd and 3rd degree of secrecy. He or she takes all the material – accounts, reports, directives, and sees absolutely everything: how many thermal imagers were procured by UralVagonZavod ( _ machine engineering company _ ) – how many tanks could be built from that. Is it obvious? Yes. This raises the question: why is it that only four organizations in Russia have access to 1st, 2nd or 3rd level secrecy? And all of these organizations are foreign. They are the “Big 4” – US or European companies. There is not one Russian company having access to classified information. Why is it like this? Even leaving that aside, who is in charge of the activities of these organizations? Who regulates them? Who defines, reviews and shapes the rules? It’s very simple. Here’s a print-out from the MinFin website – the Ministry of Finance. Obviously, we’re anticipating that the activities of these organizations are overseen by the Russian Ministry of Finance. There’s a specific department: Department for the State Financial Control Regulation, Accounting and Auditing. Who is its Director? Leonid Schmeidman. What is going on here? Let’s look at the facts on his résumé. From 1992 till May 2004 he was senior manager, director and partner of the Accounting and Consulting firm PricewaterhouseCoopers. There you have it – a print-out from the MinFin website. Sit down and read it. Very often our neo-liberal friends, or just representatives of what we understand as the fifth column, highlight someone’s international experience. Well, let’s look at how this particular Consulting firm operated in Ukraine, for example. The very same Western consulting firm performed audits and consulting for the Ukraine Ministry of Defense for three years. After that the Ukraine Ministry of Defense ceased to exist. We know that the Ukraine army is a fiction, it doesn’t exist. Question: do we want such a future for our army? For our organizations? Let me draw your attention to this important point. We know who is in charge of the activities of these organizations. But who is inspecting them? Recall how Evgeny Fedorov insisted that accounting firms be held responsible – at least once. With Khodorkovsky it didn’t succeed – never mind, it was long ago, the system wasn’t the right one. Recall, in the Moscow metro, when there was a horrific crash. It turned out to be a mechanical flaw – the tracks switched wrongly. Two workers were given real jail sentences. Why was the consulting firm not held responsible – a foreign one, by the way – who were consultants to the Moscow metro? They should have uncovered that something was wrong. Or they should have recommended removing it. Why was there no inspection? Or if there was, we don’t know about it. It’s a very important point, because one gets the impression that these consulting firms not only are overseen by their former colleague, but moreover are not subject to the legislation of the Russian Federation. Here I want to address the workers of the consulting firms. We are well aware that there are many NOD supporters among them, many nationally-orientated people, many patriots of their country, who are working there by necessity – in these foreign companies. Say a Russian citizen has access to classified material and, again, intends to inspect UralVagonZavod. He or she is an excellent specialist, well capable of doing that. Question: why not create the conditions for them to work not in a foreign company, but in a Russian company, likewise located in Ekaterinburg? Or in Nizhny Novgorod, or Moscow, or in St.Petersburg – do you think firms there are worse? Of course they could do it. Another question: why does the fifth column in our country believe that defense companies in our country should be audited by, say, US consulting firms? Why shouldn’t US companies get an auditor’s assessment from Russian consulting firms? Can you imagine if some Russian consultant turned up at Lockheed Martin and said, “Let me see your documentation”. That would be incomprehensible. So why is that OK here? I recall the words of our national leader, V.V.Putin, in his interview with the German Bild newspaper. He said that Russia for a long time wasn’t asserting its national interests. Maybe the time has now come to assert our national interests, to hold a series of events, protests, pickets, to tell the people that most of the problems of the social bombardments in our country all originate from consulting firms, because they are the ones consulting at UralVagonZavod, consulting for the civilian aircraft Sukhoi, which for some reason the West doesn’t buy. Maybe the consultants could advise how to get customers to buy them, rather than Boeing or Airbus? They are also consultants for Sokol in Nizhny Novgorod. This is a key aircraft manufacturing company ( _ MiG _ ). [On the eve of the glorious celebrations of Victory Day there was an extra dimension to the news of the prospective bankruptcy of the main manufacturer of Russian tanks and other military production, UralVagonZavod.] They are consultants not only to UralVagonZavod, but also to Alfa-Bank. Maybe they were the ones recommending to Alfa-Bank to bankrupt UralVagonZavod? We wouldn’t like to think so, but such a logic is clearly flashing. With that starting point, the only path we see is to now gather, to join forces with the workers of these consultancy firms and their clients – in the first instance, of course, I’m talking about defense companies. It’s time to get our heads out of the sand already. Time to come out and support the national leader, give him emergency powers for the purpose of expelling all of this fifth column out of our country, drive out this instrument of occupation, establish our own instruments for managing our own economy, power up our economy and expand it, transmit the same to other countries – to Europe, to China, and to our immediate neighbors. By not beginning this process now, by not implementing the May edicts, which he was talking about, by not beginning to implement his address in the parliament, our country is heading for collapse. Sorry, but the price of oil is approaching the same levels as during the collapse of the Soviet Union. The national currency is being devalued right before our very eyes. We are being impoverished. We have two options. Either join together into a unified fist and go out to support the national leader, and with a united front liberate our country. Or else what awaits us is a repetition of 1991. [Advisors from these companies are found in every large bank. They are the ones deciding at what interest rates credit is to be issued. They are found in every city administration. They are the ones deciding who gets discounted fares on public transportation and what the fares should be. They are in the Ministry of Construction, Housing and Utilities. No decisions are made without their participation about how much emergency housing to build. All of this is underpinned by Article 15 of our Constitution, which was promoted in 1993 by ex-Prime Minister Yegor Gaidar. But Gaidar can’t be called to account now – he died in December 2009. But something needs to be done about the Constitution and the foreign advisors. Otherwise we will never get out of the crisis that has been continuing for a full 25 years. A way out is proposed by the activists of NOD. On 30th January 2016 they intend to hold an all-Russia protest entitled, “Give the national leader V.V.Putin the power to manage the economy without Western advice”. If you think the Russian authorities should be the ones managing the country alone, without the _ very _ insistent recommendations from the CIA, come along – time and place for the protest in your city you can find out from your local headquarters of NOD.]