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A joint BBC Panorama and Bureau of Investigative Journalism investigation reports that Deloitte Cyprus signed off accounts that removed $672 million in assets from a company linked to Roman Abramovich, using documents the investigation says were backdated. It also found evidence of a separate alleged tax-evasion scheme; Abramovich denies evading tax or concealing wealth, and Deloitte Cyprus says it complies with applicable laws.
A joint BBC Panorama and Bureau of Investigative Journalism investigation reports that Deloitte Cyprus signed accounts for a company linked to Roman Abramovich after assets worth $672 million were removed using documents the investigation says were backdated. The reporting also describes evidence that Deloitte appeared to advise on a separate scheme to avoid tax on interest earned by another Abramovich-linked company. Abramovich denies tax evasion; Deloitte Cyprus said it acts in compliance with applicable laws.
The reporting is based on a leak of thousands of documents concerning Abramovich’s finances and offshore companies administered from Cyprus between 1995 and 2022. In one case, draft 2003 accounts for Amiscan Investments listed luxury properties, aircraft, helicopters and boats worth $672 million. The investigation says associates planned to transfer those assets to Amiscan’s parent company in the British Virgin Islands and backdate the transfer to 2003.
According to the investigation, Deloitte Cyprus reviewed the paperwork and described it as “adequate” to remove the assets from Amiscan’s accounts. Deloitte later signed off the 2003 accounts in 2006, when just $75,000 in assets remained on the company’s books. The reporting says the firm knew the accounts did not show the assets. These findings are based on the leaked records and the journalists’ examination of them; the supplied material does not describe a court finding on the alleged conduct.
A second case involved Kravin Investments, which held almost $2 billion in 2003 and earned interest that, according to the report, would have been taxable in Cyprus. An August 2005 email from MeritServus to Abramovich’s Russian associates referred to a plan developed after a meeting with Deloitte and said the financial statements and accounting records for 2003 and 2004 would need to be changed. The source material ends before detailing the full scheme or its outcome.
The Stakes for Financial Reporting
The allegations concern the reliability of company accounts and the role of professional advisers in cross-border financial structures. If documents were deliberately backdated and accounts materially understated assets, the issue would extend beyond the tax position of one wealthy business figure to the standards expected of auditors and firms that prepare or review corporate records. The investigation’s account is serious, but it should not be treated as a legal determination.
The report also puts renewed attention on the network of offshore companies used to manage Abramovich’s fortune and on whether regulators or law enforcement will examine the records. It does not establish what tax, if any, was ultimately assessed or recovered, or whether any authority has concluded that Deloitte or Abramovich broke the law.
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How the Cyprus Accounts Were Changed
Deloitte owned MeritServus, the Cyprus corporate-services firm involved in administering Abramovich-linked companies, until the two businesses separated in 2005. The investigation says they continued to work closely with Abramovich’s associates after the split. Cyprus introduced a law requiring company accounts to be made public, prompting the 2006 effort described in the report to move assets out of Amiscan’s accounts.
The BBC and its reporting partners previously covered Abramovich’s business dealings in Russia and his wealth. He bought Chelsea Football Club in 2003 and sold it after the UK sanctioned him following Russia’s 2022 full-scale invasion of Ukraine. Separately, the source material says £5.4 billion of his assets remain frozen in Jersey, where a criminal investigation has been under way for four years. Those developments are distinct from the findings about the Cyprus accounts.
““Acts in compliance with applicable laws.””
— Deloitte Cyprus
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Key Questions About Responsibility
The supplied reporting does not establish whether Abramovich knew about, approved or directed any falsification. His lawyers deny that he did. It is also unclear from the material provided what the full Kravin Investments arrangement involved, whether any tax was avoided or recovered, and whether Deloitte disputes the specific account of its role beyond its general statement that it follows applicable law.
No court judgment or regulatory finding addressing these allegations is described in the source material. The existence and meaning of leaked documents, the journalists’ interpretation of them, the parties’ responses and any formal legal conclusions are separate matters.
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Scrutiny of Records and Responses
The immediate next developments will depend on whether Deloitte, Abramovich’s representatives, Cyprus authorities or other relevant agencies provide further responses or open formal inquiries. The source material does not announce a new investigation or enforcement action connected to the BBC report, so no outcome should be assumed.
The Jersey criminal investigation into Abramovich’s assets is a separate process, described in the source as ongoing for four years. Any future reporting should distinguish its progress from the newly reported evidence concerning Cyprus company accounts and alleged tax arrangements.
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Key Questions
What does the investigation say Deloitte did?
It says Deloitte Cyprus reviewed documents used to remove $672 million in assets from Amiscan Investments’ 2003 accounts and later signed off those accounts. The investigation also reports that Deloitte appeared to advise on a separate alleged tax-evasion scheme.
Has a court found that Deloitte or Abramovich broke the law?
The supplied source material does not report a court finding on these allegations. The investigation’s conclusions and the comments of legal experts are not the same as a judicial ruling.
What is Abramovich’s response?
His lawyers say he denies evading tax or concealing his wealth. They said the reporting provided no evidence he knew of, authorised or directed the falsification of documents and that it was legitimate to rely on professional advice.
What did Deloitte Cyprus say?
Deloitte Cyprus said it “acts in compliance with applicable laws.” The source material does not provide a detailed response from the firm to each document cited.
What remains unresolved?
The extent of Abramovich’s knowledge, the full details and outcome of the alleged Kravin tax arrangement, and whether authorities will take formal action are not established in the material provided.
Source: hn
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