Russia moves to seize ex-energy official's assets in $4.5B embezzlement case
Russian prosecutors have launched legal action to seize assets linked to Viktor Myasnik, a former energy official. The case targets his stake in Far Eastern Management Company (FEMC), which controls a major power supplier in the region. A court hearing scheduled for June will decide whether to freeze hundreds of billions of shares.
The lawsuit was filed on May 13, 2026, by the First Deputy Prosecutor of Zabaykalsky Krai. It names FEMC, Territorial Generating Company No. 14 (TGC-14), and Energopromsbyt LLC as defendants. Prosecutors are demanding the cancellation of a 2021 share deal between FEMC and Energopromsbyt, arguing it was unlawful.
An interim court order has already frozen 540.5 billion TGC-14 shares held by FEMC. The ruling also blocks any sale or transfer of these shares until the case concludes. Myasnik, who once served as vice governor of Primorsky Krai for energy, now faces potential asset forfeiture. Myasnik and Konstantin Lyulchev, FEMC’s majority owner, are accused of embezzling 4.5 billion rubles from TGC-14. Russian Railways (RZD) is listed as a third party in the proceedings, alongside both men. The preliminary hearing is set for June 11, 2026. As of late 2025, FEMC held a controlling 78% stake in TGC-14, with Lyulchev owning 78% of FEMC and Myasnik the remaining 22%. The outcome of the case could reshape ownership of one of Russia’s key regional energy providers.
The court’s decision may lead to the confiscation of Myasnik’s shares in FEMC. If successful, the ruling would invalidate the 2021 share purchase and potentially recover the alleged embezzled funds. The frozen shares remain under legal restriction until further notice.
