DONETSK FINANCIAL INDUSTRIAL GROUPS CONSOLIDATION AT THE TURN OF THE XXI CENTURY
Keywords:Donbass, regional elites, financial industrial groups, oligarchs, privatization, Rinat Akhmetov, Serhii Taruta, Borys Kolesnikov
AbstractThe article investigates the processes of the powerful financial industrial groups emerging in the Donbass region throughout the 1990-ies. It is stated that Donbass regional significance drastically raised with Ukraine’s gaining independence due to fuel resources concentrated in the region and critically important for state fuel and energy supplies. The research specifically focuses upon the miner unions movement, its role in gaining Ukraine's independence, its further evolution and impact it had upon the regional elite formation. The first Donetsk elite’s representative to ever acquire a top position in Kyiv was Yuhym Zviahilskiy, the Zasiadko mine’s former director. What boosted his rapid promotion was his cooperation with the Ukraine’s President Leonid Kuchma seeking allies for his fight with the Dniepropetrovsk clan. The whole variety of the turn-of-the-century financial industrial groups is arguably divided into the following categories: 1) source-based groups (emerging mostly around coal mining and ore extraction industries typical for the Donbass region); 2) defense industry-based groups with former Komsomol and Party leaders in charge; 3) groups based on legal and secretive agencies (mostly known for Victor Medvedchuk and Surkis brothers’ activities); 4) Pavlo Lazarenko’s proto-agrarian clan. The establishment of System Capital Management, Donbass Industrial Union, Altcom corporations is described with direct reference to Rinat Akhmetov, Serhii Taruta, Vitalii Haiduk, Borys Kolesnikov's roles in this process. The genesis of the groups under consideration is specified through their key industrial assets, affiliated banks, legal status, transregional and international expansion. The "old elite" (mostly related to the criminal syndicates) to the "new elite" (based on income legalization through financial industrial groups and international business) generational shift is explored. Three basic stages of Donetsk clan establishment have been identified: 1) the "mafiosi wars" of the first half of the 1990-ies; 2) consolidation and driving the "old guards" out of regional political and economic field (1995 - 1999); 3) the ultimate establishment of financial industrial groups pursuing their own economical and political interests (early 2000-ies). The author argues that continuous fights between the regional mafiosi groups searching for a common spokesman was one of the reasons for “the Donetsk gang’s” belated engagement into struggle for political influence and Ukraine’s finance and economic markets reallocation.
Adamovich, S.V. (2007) Dіalog mіzh Galichinoju і Donbasom u perіod rozpadu SRSR. Stosunki Skhodu ta Zakhodu Ukraine: subjekty, іnteresy, tsіnnostі. Lugansk: Znannja, 10-20. (in Ukrainian)
Adamovich, S.V. (2009) Dіjalnіst Narodnogo Ruhu Ukraїni v Donbasі v umovah zdobuttia Ukrainoyu nezalezhnostі. Narodniij Rukh Ukrainy: mіstse v іstorіi ta polіtitsі (Proceed-ing Papers). Odesa: Astroprint, 12-16 (in Ukrainian)
Golovko, V. (2012a). Oligarkhi iz goroda roz. Stanovlenie i razvitie krupnogo kapitala Donbassa (1991-2014 gg.). Kyiv: Instytut istorii Ukrainy NAN Ukrainy (in Russian)
Golovko, V. (2012b) Ukrainskі fіnansovo-promislovі grupy v modernіzatsіynykh protsesah 1991–2009 rr. Kyiv: Іnstitut іstorіi Ukrainy NAN Ukrainy (in Ukrainian)
Gusev, G., Lashhuk, T. (2019, Julay, 11 Z parlamentu yde Yukhym Zvyahilskyy — stariyshyna «donetskoho klanu» i deputat vosmy sklykan Verkhovnoyi Rady. Babel. Retrieved from: https://babel.ua/?utm_source=page&utm_medium=main
Guzhva, I. (2004) Deti gaza i stali Jekspert ONLINE. Retrieved from: https://expert.ru/expert/2004/38/38ex-fpg_28421
Kazanskii, Denis (2015). Chorna lykhomanka: nelegalnyi vydobutok vugіllia na Donbasі. Kyiv: Tempora. (in Ukrainian)
Kononov, I.F., Kononova, N.B., Denshhik, V.A. (2001). Krizis i samoorganizaciya: Shakhterskiye goroda Donbassa v period restrukturizacii ugolnoj promyshlennosti: socialnoye i ekologicheskoye izmerenija. Lugansk: Alma-mater. (in Russian)
Kulchitskii, S.V. (2001). Zakonomіrnostі derzhavotvorchogo procesu u nezalezhnіj Ukrainy. Kyiv: Іn-t іstorії Ukraїni NAN Ukrainy.
Kushch, L. (2013). Donbass 90-kh: raspredelenie biznesa i krovavye posledstvija [Elektronnij resurs] / Lina Kushh. BBC News. Ukraine. Retrieved from: https://www.bbc.com/ukrainian/ukraine_in_russian/-2013/01/130124_ru_s_donbass_shcherban_business_90_years.
Kuzin, S. (2006). Donetskaya mafiya. Antologiya. Kiev: Poligrafkniga. (in Russian)
Kuzio, T. (2014). Crime, politics and business in 1990s Ukraine. Communist and Post-Communist Studies. 47: 195-210. DOI: https://doi.org/10.1016/j.postcomstud.2014.04.011
Kuzio, T. (2015). Rise and Fall of the Party of Regions Political Machine. Problems of Post-Communism. 62(3): 174-186 DOI: https://doi.org/10.1080/10758216.2015.1020127
Leshchenko, S. (2011, December, 11). Ubyvstvo Єvgena Shherbanja. Ofіcіyna versіya. Ukrainska pravda. https://www.pravda.com.ua/rus/articles/2011/12/9/6826576/ (in Ukrainian)
Leshchenko, S., Nayyem, M. (2013, February, 8). Sergej Taruta: Kogda ubili Shherbanja, u nas ne bylo problem s EjeSU. Ukrainskaja pravda. Retrieved from: https://www.pravda.com.ua/rus/articles/2013/02/8/6983135/ (in Russian)
Mostovaja, Ju. (2013, January, 25). Prikazano: vyzhat! Zerkalo nedeli. Retrieved from: https://zn.ua/internal/prikazano-vyzhat.html (in Russian)
Nosareva, L. (2000, April, 7). Stepan Davymuka: “Legalnaja privatizacija – eto realnyi put borby s korrupciej”. Zerkalo nedeli. Retrieved from: https://zn.ua/property/stepan_davymuka_legalnaya_privatizatsiya__eto_realnyy_put_borby_s_korruptsiey.html. (in Russian)
Orlov, A. (2003, January, 13). Parni iz doneckoy gruppirovki. Chast 1. Ukraina kriminalnaja. Retrieved from: https://cripo.com.ua/investigations/p-1150/ (in Russian)
Pro orendu derzhavnogo ta komunalnogo majna: Zakon Ukrainy. (1992). Vіdomostі Verhovnoyi Rady Ukrainy, № 30, st.416. Retrieved from: https://zakon.rada.gov.ua/laws/show/2269-12#Text (in Ukrainian)
Pro zahody shhodo rozvytku bazovih galuzej ekonomіki v Dnіpropetrovskyi ta Doneckui oblasiakh. Ukaz Presidenta Ukrainy vіd 27.01.2000. Retrieved from: https://zakon.rada.gov.ua/laws/show/100/2000#Text
Shvets, E. (2015). Sergіj Taruta: "Rіnat bіlshe ne olіgarh. A ja – bankrut. Lb.ua. Retrieved from: https://lb.ua/news/-2015/01/05/290927_sergey_taruta_rinat_bolshe.html (in Ukrainian)
Zimmer, K. (2006) Machteliten im ukrainischen Donbass. Bedingungen und Konsequenzen der Transformation einer alten Industrieregion. Münster: LIT, 237 s. (in German)
Copyright (c) 2020 Vadym Denysenko
This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License.
1. Authors bear responsibility for the accuracy of facts, quotations, numbers and names used.
2. Manuscripts are not sent back.
3. The publisher does not always agree with the authors' opinion.
4. The authors reserve the right to authorship of the work and pass the first publication right of this work to the journal under the terms of a Creative Commons Attribution Non-Commercial License, which allows others to freely distribute the published research with the obligatory reference to the authors of the original work and the first publication of the work in this journal.
5. The authors have the right to conclude separate supplement agreements that relate to non-exclusive work distribution in the form in which it has been published by the journal (for example, to upload the work to the online storage of the journal or publish it as part of a monograph), provided that the reference to the first publication of the work in this journal is included.