Deloitte falsified documents to evade tax on Abramovich's wealth

A joint probe of leaked offshore files reveals that Deloitte’s Cyprus arm helped prepare, review and sign off backdated paperwork that removed hundreds of millions and even billions from Roman Abramovich’s Cypriot company accounts to hide assets and avoid tax. In one case, Amiscan Investments’ 2003 accounts were rewritten so $672m of property, yachts and aircraft vanished when Deloitte signed the 2003 accounts in 2006. Similar backdating was used for Kravin Investments to disguise nearly $2bn in bank balances and interest income as belonging to a British Virgin Islands parent, and for Electus Investments to make a $10bn fortune appear owned by a BVI company since 2003, leaving the Cypriot entity with just $145,000 on its books.

Internal emails show MeritServus, which administered Abramovich’s offshore network, discussed the changes after meetings with Deloitte and asked associates to approve altered financial statements; Deloitte then advised on and implemented account changes. Legal experts called the maneuvers “straightforward” tax evasion and a breach of statutory duty. Abramovich denies evading tax or authorising falsification and Deloitte Cyprus says it complies with law. The disclosures, emerging amid frozen assets in Jersey and a multi-year criminal inquiry, raise serious questions about the role of major advisers and the use of Cyprus/BVI structures to conceal wealth.