The Moscow Region Arbitration Court has ruled to transfer Domodedovo Airport (DME), a major Russian aviation hub, to state ownership. This was reported by the Russian news agency TASS.
This decision follows a multi-year investigation by the Prosecutor General’s Office, which uncovered evidence of illicit foreign control and obstruction of airport operations by its owners. These actions posed a threat to national security and the stability of transportation infrastructure.
Domodedovo Airport, a critical transport junction in Russia, had been under the management of businessman Dmitry Kamenshchik and his partner Valery Kogan since the 1990s. However, recent investigations revealed that de facto control was exercised through a network of foreign companies and offshore entities, including Atlant Foundation (Malta), Alamo (Trustee) CY Limited (Cyprus), DME Stichting Administratiekantoor (Netherlands), and DME Airport Designated Activity Company (Ireland).
Furthermore, some companies were registered in the Special Administrative Region (SAR) of the Kaliningrad Region. An SAR is a jurisdiction with a special tax and legal regime designed to attract foreign and Russian companies seeking to relocate their registration without liquidation. This enables companies to maintain their corporate structure and rights while altering their legal basis.
The SAR offers a flexible tax and currency regime, enabling companies to retain foreign corporate law, enjoy tax benefits, and simplify dispute resolution through arbitration. This regime facilitates tax optimization and reduces oversight by Russian regulatory authorities, raising concerns among the authorities about strategic assets.
Dmitry Kamenshchik holds citizenship of Russia, Turkey, and the United Arab Emirates, while Valery Kogan is an Israeli citizen. Neither obtained the necessary permits for owning strategic enterprises in Russia, a direct violation of federal legislation regarding strategic assets.
The Prosecutor General’s Office also determined that the airport owners deliberately obstructed infrastructure development, specifically the reconstruction of Runway 2 (RWY 02). In 2014, the Federal Air Transport Agency (Rosaviatsia) decided to construct a new RWY 02 as part of a federal transport development program, allocating RUB 12.85 billion for this purpose. Construction was slated for completion by 2016, but due to contractor bankruptcy, the deadline was initially postponed to 2018 and subsequently missed altogether. By the end of January 2025, Domodedovo Airport was operating with only one runway available.
In 2018, the contract with the contractor was terminated, and the project was mothballed with approximately 80% completion. In 2019, RUB 620 million was allocated from the reserve fund to complete the construction, but work never resumed. In January 2021, a new tender for design work was announced, but completion by 2023 was also unsuccessful.
In January 2025, the Prosecutor General’s Office filed a lawsuit against the airport owners (Kamenshchik and Kogan), accusing them of concealing foreign control over a strategic asset and sabotaging infrastructure modernization. The prosecution contends that the owners deliberately concealed the true ownership structure and foreign influence, as well as transferred RUB 18 billion of airport profits abroad under the guise of loan repayments. The lawsuit states that these actions may have led to the intentional delay in the reconstruction of RWY 02 and undermined Russia’s economic stability.
Related to the aforementioned infrastructure issues, the airport’s passenger throughput has decreased noticeably in recent years, with a 6% decline in 2023 and a further 23.5% reduction over the first 10 months of 2024.
The Prosecutor General’s Office established that despite formal transactions with Russian companies, de facto control remained with foreign nationals and offshore structures. The owners concealed their foreign affiliation and misled the Federal Antimonopoly Service, violating the law on the procedure for foreign investments in strategic enterprises.
Based on these findings, a lawsuit was filed for the nationalization of the airport. The arbitration court granted the Prosecutor General’s Office’s request, imposing restrictions on the shares and property of the group of companies, and prohibited any actions that could harm the airport’s operations or transfer assets outside of Russia.
Andrey Velichko, editor-in-chief of the “Aviation of Russia” website, noted that the nationalization of Domodedovo Airport is a natural step by the authorities to normalize the airport’s operations.
He specifically stated that the delay in modernizing the airfield infrastructure and the construction of a second runway were bound to attract the attention of regulatory bodies sooner or later. According to him, Domodedovo, being one of the largest airports in Russia, has been operating with only one runway for over 10 years, despite having two. This impacts passenger traffic, which has been steadily declining. “Foreign companies that conduct business in Russia honestly, complying with our laws, are not at risk and, in some cases, even have privileges for their activities. Domodedovo Airport was owned by individuals with dual citizenship, and profits were transferred to foreign offshore jurisdictions; these are violations that have now led to nationalization.”
The transfer of Domodedovo Airport to state ownership concludes a protracted struggle for control of a strategic asset, where the owners’ foreign citizenship and the use of complex offshore schemes circumvented Russian law. Obstruction of modernization, exemplified by the protracted reconstruction of the critically important RWY 02, and the transfer of profits abroad were deemed a threat to national security. This decision reflects a trend towards increased state control over critical infrastructure amidst geopolitical instability and sanctions.
According to experts from the “Aviation of Russia” website, foreign investors in Russia enjoy several significant advantages that make the country attractive for investment. Firstly, the well-developed system of special economic zones offers foreign companies tax incentives, simplified administrative procedures, and access to infrastructure, significantly reducing costs and improving business efficiency. Secondly, Russia provides a large domestic market with growth potential, a rich resource base, and skilled labor at competitive costs. Moreover, the government actively supports investment projects, especially in strategic sectors such as aviation, shipbuilding, and high-tech engineering, creating conditions for long-term and mutually beneficial cooperation.
Another important factor is the transfer of technology and the attraction of highly qualified foreign specialists, which contribute to the modernization of production and enhance the competitiveness of Russian enterprises. With the gradual lifting of sanctions and the restoration of international economic ties, an increase in foreign investment is expected, creating additional opportunities for innovative development and the expansion of export potential. However, experts emphasize the need for a strategic approach and risk assessment related to the geopolitical situation, requiring investors to engage in balanced and long-term planning.
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