/How McKinsey Has Helped Raise the Stature of Authoritarian Governments

How McKinsey Has Helped Raise the Stature of Authoritarian Governments


There have been additionally questions on Mr. Akhmetov, who had lengthy been suspected of hyperlinks to organized crime, which he denied. One diplomat referred to as his Party of Regions a haven for “mobsters and oligarchs,” noting that it may be making an attempt to shed that picture.

Mr. Akhmetov’s monetary ties to Mr. Manafort and McKinsey went past politics. He employed each to advise elements of his company empire, which included metal, mining, power, finance, telecommunications, actual property, media, transportation, agriculture and soccer. He additionally employed former McKinsey consultants to assist run his companies, inserting them in senior positions.

Mr. Akhmetov paid Mr. Manafort by wire transfers funneled by means of a Cypriot shell firm, court docket data present. Other Party of Regions operatives paid Mr. Manafort by means of shell firms, ultimately leading to his conviction in the United States for failing to declare the cash on his tax returns.

Rinat Akhmetov, Ukraine’s richest oligarch, employed each McKinsey and Paul Manafort as consultants for Mr. Yanukovych.CreditSergei Supinsky/Agence France-Presse — Getty Images

McKinsey, in contrast, was paid by means of a Ukrainian basis financed by Mr. Akhmetov and run by a former McKinsey marketing consultant now residing in Moscow. Set as much as promote financial reform, the basis additionally sought to publicize McKinsey — and by extension, Mr. Yanukovych.

To attain its prime viewers in the United States, the basis held two boards on the Ukrainian financial system — one at the Four Seasons Hotel in New York and the different in Washington. On the entire, McKinsey’s work was nicely obtained.

But the promise of a greater future didn’t final lengthy.

Within just a few years, Ukraine careened towards financial collapse whereas Mr. Yanukovych looted the nation, residing in a palatial residence surrounded by a personal zoo, a golf course, a storage stuffed with basic vehicles and a personal restaurant in the type of a pirate ship.

If that weren’t sufficient, he was additionally quietly constructing an infinite seaside retreat, full with 40-foot ceilings and an indoor swimming pool, that eclipsed his presidential residence.



Source link Nytimes.com

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