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. Last Updated: 07/27/2016

Former Yukos Executives Jailed for 11 and 12 Years

Itar-TassPereverzin, left, and Malakhovsky being led out of the courthouse Monday.
A Moscow court convicted two former officials of the bankrupt Yukos oil company on Monday of stealing and laundering billions of dollars and sentenced them to more than a decade in prison, news agencies reported.

The Basmanny District Court agreed with prosecutors' claims that Vladimir Malakhovsky, former director of Yukos subsidiary Ratibor, and Vladimir Pereverzin, former deputy director of Yukos' external debt division, siphoned $13 billion out of Yukos, RIA-Novosti, Itar-Tass and Interfax reported.

Prosecutors said the defendants purchased crude oil from Yukos' three main production subsidiaries at an artificially depressed price and sold it at a profit, the reports said. Malakhovsky was sentenced to 12 years in prison and Pereverzin to 11 years, said the reports, which added that they planned to appeal.

Court clerk Yekaterina Khasyanova said she was unable to confirm the sentence by telephone and had not received a copy of the judge's decision.

Multibillion-dollar tax claims against Yukos and the imprisonment of former officials, including its former owner, Mikhail Khodorkovsky, have been seen as a step by the Kremlin to rein in a politically disobedient billionaire and cement control of the strategic oil sector.

A third defendant in the case, Antonio Valdes Garcia, was due to have been sentenced along with Malakhovsky and Pereverzin. But Valdes Garcia, who has dual Spanish and Russian citizenship and ran a now-defunct Yukos trading subsidiary, escaped from house arrest in Moscow in January after reportedly locking his police guards inside his apartment.