Austin American-Statesman

Russian national arrested in Austin, accused of evading US sanctions

- Skye Seipp

Federal law enforcemen­t agents arrested Vadim Wolfson, a Russian businessma­n and U.S. permanent resident living in Austin, on Thursday for allegedly evading U.S. sanctions by selling a $12 million Aspen mansion to benefit a sanctioned Russian oligarch.

The U.S. Justice Department unsealed an indictment filed in the Southern District of New York on Thursday against Andrei Kostin, the CEO of the Russian state-owned VTB bank who has ties to Russian President Vladimir Putin, along with “two of his U.S.-based facilitato­rs.” Those facilitato­rs included Wolfson and Gannon Bond.

Wolfson, 56, is also known as “Vadim Belyaev,” the founder of one of the formerly largest private banks in Russia who changed his last name to Wolfson after moving to the U.S. in 2018, according to the indictment.

Starting in 2018, Kostin was listed as a “specially designated national” by the U.S. government, which meant there would have been a freeze on his assets. The indictment states that from the day that designatio­n was issued through September 2019, Kostin, Wolfson and Bond violated federal law by providing “funds, goods and services for the benefit of Kostin” despite being sanctioned by the U.S.

Wolfson and Bond are said to have “operated, maintained and improved” the home in Aspen for Kostin’s benefit, according to the indictment.

Further violations occurred in September 2019 when the three arranged to sell the home for $12 million that went to Kostin, a Justice Department news release states.

Prosecutor­s said the home was used primarily by Wolfson, who in September 2019 purchased the home from Kostin, according to the indictment.

Federal officials charged Wolfson with one count of conspiracy to violate the Internatio­nal Emergency Economic Powers Act and two counts of violating that act, each of which carries a maximum sentence of 20 years in prison if convicted, the news release said.

Travis County records show that Wolfson owns two properties in Austin. One is a home in Tarrytown with a value of $4.8 million, and the other, valued at $3.4 million, is near Bee Cave on about 4.5 acres.

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