A deepening political scandal involving New York City Mayor Eric Adams has taken a new turn as an investigation uncovers links between one of his alleged “straw donors” and a billionaire Uzbek energy tycoon with extensive past connections to Russia’s state-run financial and energy institutions. This revelation sheds further light on the intricate web of foreign influence that may have played a role in Adams’ 2021 mayoral campaign, now the subject of intense legal and political scrutiny.

At the heart of the case is Tolib Mansurov, a prominent Uzbek national and luxury real estate developer in New York City, who has been identified as one of the alleged straw donors in the criminal case against Adams. Mansurov owns two New York State-registered companies with millions of dollars in Brooklyn real estate holdings. However, a closer examination of his business ties reveals that his property firms were, until 2020, majority-owned by a Cyprus-registered entity with direct links to the Uzbek energy and construction tycoon Bakhtiyor Fazilov.

Fazilov, an influential figure in Uzbekistan’s energy sector, has a history of significant business dealings with Russian companies, including entities once controlled by the Kremlin. This new finding has intensified scrutiny over Adams’ campaign finances and raised concerns over the broader implications of foreign influence in local US politics.

In a dramatic turn of events, the Justice Department, under the Trump administration, ordered federal prosecutors to drop all charges against Adams. This decision triggered the resignations of top Justice Department officials in Washington and the acting US attorney in Manhattan. The move came amid a federal grand jury indictment in September, which accused Adams of bribery, conspiracy, and soliciting campaign contributions from straw donors-individuals who illegally funnel money into political campaigns on behalf of foreign entities or anonymous backers.

Following the Justice Department’s intervention, four of Adams’ deputy mayors resigned, while New York Governor Kathy Hochul announced that she was considering whether to remove Adams from office. The high-profile nature of the case, combined with Adams’ ongoing legal and political battles, has made it one of the most significant corruption scandals in recent New York history.

Investigations by the International Consortium of Investigative Journalists (ICIJ), Radio Free Europe/Radio Liberty’s Uzbek Service, and UzInvestigations have provided new insights into the financial networks surrounding Mansurov’s business dealings. The inquiry revealed that Mansurov’s New York real estate business was 51% owned by Saltamo Ltd., a Cyprus-registered firm controlled by a Cyprus offshore services provider specializing in “nominees,” or individuals who serve as stand-ins to mask the identities of the true owners.

Further investigation uncovered that a related company, Erillico, pledged securities to a bank to secure loans for Saltamo. Documents show that Erillico is fully owned by Fazilov, raising serious questions about the true financial backers of Mansurov’s real estate empire and their influence on Adams’ political campaign.

Fazilov, 49, is the chairman and sole owner of Eriell Group, an Uzbek energy giant previously headquartered in Moscow. The company has secured billions of dollars in contracts related to Uzbekistan’s massive natural gas sector. Additionally, Fazilov owns Enter Engineering, a construction firm responsible for industrial infrastructure projects worth hundreds of millions of dollars, including oil and gas facilities and a state-funded ice hockey arena in Tashkent.

Between 2015 and 2017, Fazilov’s energy empire had extensive business dealings with Russian state-linked entities. His company, Eriell, was at one point 39% owned by Gazprombank, a financial institution controlled by the Russian government. Eriell also collaborated with Lukoil, one of Russia’s largest oil companies, to carry out drilling operations in Iraq, Uzbekistan, and the Arctic. Furthermore, Eriell maintained partnerships with Gazprom, Russia’s state-owned gas giant, for natural gas development projects in Uzbekistan.

As part of an effort to distance his company from Russian connections following the 2022 invasion of Ukraine, Eriell underwent a corporate restructuring. Nevertheless, past financial records and offshore filings suggest a prolonged entanglement with Russian state-controlled industries, adding another layer of controversy to the scandal engulfing Adams.

Fazilov’s deep-rooted political connections extend beyond Russian corporate partnerships. Investigative findings reveal that members of Uzbekistan’s powerful security apparatus are among his business associates. Notably, Sharif Inoyatov, the son of former Uzbek security chief Rustam Inoyatov, has financial ties to Fazilov. Rustam Inoyatov has long been regarded as one of Uzbekistan’s most influential behind-the-scenes power players and is believed to have close links to the Kremlin.

Fazilov’s spokesperson has strongly denied any allegations of wrongdoing, dismissing claims of improper business dealings as “misleading” and suggesting that they are an attempt to create a false narrative of Russian involvement.

Financial records reviewed by ICIJ indicate that Saltamo, the offshore entity with a majority stake in Mansurov’s New York property ventures, received substantial loans from Credit Suisse. In 2019, a Cyprus loan document revealed that Erillico Limited, a Fazilov-owned entity, pledged its accounts to Credit Suisse to secure financing for Saltamo.

By the end of 2020, Saltamo had drawn nearly $21 million in loans from Credit Suisse. Around the same time, financial transfers suggest that funds linked to Fazilov’s offshore structure were funneled into Mansurov’s Global Industries LLC, which owns Brooklyn real estate. Neither Fazilov nor Mansurov has responded to inquiries about whether Credit Suisse loans were used to purchase property in New York.

Saltamo’s beneficial ownership structure also shifted in 2019, when a Belize-registered entity transferred its shares to Bahodir Gafurov, the head of a Cyprus-based corporate services firm. Notably, Gafurov has served as a director at Eriell and co-founded a new Uzbek airline, Sam Air, with Fazilov. These findings further illustrate the intricate corporate network linking Fazilov, offshore financial structures, and real estate investments in New York.

Mansurov’s alleged influence in Adams’ administration is evident through his active involvement in Uzbek community events in New York. After Adams’ 2021 election victory, Mansurov sought the mayor’s assistance in securing city sponsorship for events celebrating Uzbek culture. Reports show that Adams attended at least four Silk Road Foundation events in 2023 and 2024, publicly endorsing Mansurov as “a leader” and “my brother.” At one event, Adams even referred to himself as “the first Uzbek mayor” of New York, while proclaiming New York to be “the Tashkent of America.”

Adams has vehemently denied all allegations, insisting that he “never broke the law.” His attorney, Alex Spiro, welcomed the Justice Department’s decision to drop the charges, stating that “the mayor is innocent – and he would prevail.”

Despite the legal reprieve, the scandal remains far from over. With ongoing investigative reporting and mounting political pressure, Adams’ ties to controversial donors and international financial networks will likely continue to be a major flashpoint in New York City’s political landscape.

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Source: Weekly Blitz :: Writings