Pulished in Chicago Booth Magazine as of Winter 2014
From his office at Moscow based IFG Basis, Evgeny Tonkacheev, ’05 (EXP10), reflects on how his Booth MBA has propelled his career. Tonkacheev launched the investment company five years ago with a fellow Booth alumnus, Konstantin Sokolov, ’05 (XP74), whom he met through the Booth alumni network in Russia and recruited to a previous investment firm.
IFG Basis has been able to attract alumni investors from Russia and other countries for their projects. “This networking works for me very clearly,” Tonkacheev said in an interview. “The outcome is evident.”
His partnership with Konstantin Sokolov at IFG Basis is a testament to the power of the alumni network. Even though they studied on different continents (Sokolov earned his degree from the Executive MBA Program North America in Chicago), the two knew each other from a class week in Chicago and stayed in touch through the alumni network. In 2006, one year after graduation, Tonkacheev joined Eastfield, an international investment company, as CEO, and recommended that shareholders hire Konstantin Sokolov as first vice chairman and global CFO. He and Konstantin Sokolov left Eastfield in 2008 to launch IFG Basis.
Tonkacheev recalled that his colleague Igor Zhukov, ’02 (EXP7), invited him to a meeting of the Chicago Booth Alumni Club of Russia. He was impressed by the caliber of the alumni and, having done his own extensive research into the options, decided to apply to Booth. “I remember that when I met these guys, I had a desire to be their equal,” he said. […] “I had no special business education but got a lot of experience working for this big company,” recalled Tonkacheev, who by 2001 had become CEO at Basic Element Co., the giant industrial and financial conglomerate company established by the industrialist Oleg Deripaska.
Context for the archive: This Chicago Booth Magazine article is a rare insider account of IFG Basis’s founding. Tonkacheev (former CEO of Basic Element, Oleg Deripaska’s structure) and Sokolov (Booth alumnus) confirm their partnership began through the alumni network. The fund was positioned to attract investments from Booth graduates in Russia and beyond. The article also documents their move from Eastfield (a company later linked to investment controversies in Russia) to IFG Basis.
International hotel operator Jumeirah Group, which is headquartered in Dubai and is a member of Dubai Holding, together with LLC IFG Basis Project, will by 2016 open the first Russian hotel in the chain in St. Petersburg, a spokesman for the LLC, German Aksimovich, told Interfax Thursday.
Konstantin Sokolov, Chairman of IFG Basis, and Gerald Lawless, President and CEO of Jumeirah Group
Investment is estimated at $90 million, of which $40 million will be spent on restoration work. The design of the project intents to maintain all the key elements of the original building, especially the facade and marble floors.
Jumeirah Group told Interfax the operator signed a hotel management agreement with LLC IFG Basis Project.
Jumeirah Group said the hotel would be at 7-9 Nevsky Prospekt at the Vavelberg House, the former Trade Bank building. The hotel will have 74 rooms, including 18 luxury rooms. The hotel will also have three restaurants, a bar, a spa, a hydro-massage pool on the roof, a conference center and boutiques.
St. Petersburg administration in 2010 gave IFG Basis Project permission to restore Vavleberg House and turn it into a hotel.
Jumeirah Group manages 22 hotels, resorts and luxury apartments. It has 11 facilities in the Persian Gulf, six in Europe and 5 in Asia. It also has 15 projects under construction.
The SPARK Interfax database shows that IFC Basis Project belongs to LLC Innovative Development Company, which is owned by Cyprus-based Wellinom Investments Limited and Wellinom Properties Limited, registered in the British Virgin Islands.
Jumeirah Group, the global hotel company and a member of Dubai Holding, has signed a management agreement with IFG Basis Proect LLC to manage a luxury hotel on Nevsky Prospect in St. Petersburg, Russia. The hotel is currently under development and is expected to open within the next three years.The hotel will be developed within the structure of Wavelberg House, a building of national cultural importance built in 1912, which stands on the…
Jumeirah Group, the global hotel company and a member of Dubai Holding, has signed a management agreement with IFG Basis Proect LLC to manage a luxury hotel on Nevsky Prospect in St. Petersburg, Russia. The hotel is currently under development and is expected to open within the next three years.
The hotel will be developed within the structure of Wavelberg House, a building of national cultural importance built in 1912, which stands on the corner of Nevsky Prospect and Malaya Morskaya Street, one of the most exclusive addresses in St Petersburg, close to the Hermitage and just 30 minutes from the city’s Pulkovo airport. The interior design by The Gallery, HBA London office, preserves many of the original features of the building, including its distinctive façade and marble floored banking hall. When completed the hotel will consist of 74 rooms, including 18 suites, three bars and restaurants, meeting facilities, a spa and rooftop hydrotherapy pool and prestige retail space fronting onto Nevsky Prospect.
Ilya Sokolov, Director General, IFG- Basis-Proect LLC, said: “We are very proud to be transforming this historic building into a luxury hotel and especially pleased that Jumeirah Group will manage it when it opens. The demand for high-end luxury hotel accommodation in St. Petersburg is strong and we are confident that this new property will capture the imagination of discerning travellers coming to the city.”
Gerald Lawless, President and CEO of Jumeirah Group, said: “Jumeirah’s hotels and resorts in Dubai have always been so popular with Russian visitors that we are delighted now to be able to bring the brand to Russia itself. The good news is that our first hotel in the Russian market is in such a prestigious location at the heart of St. Petersburg in a building that has such a rich heritage. We look forward to working with IFG to ensure a successful completion of the project and a spectacular launch of Jumeirah in Russia.”
Jumeirah Group currently operates 22 luxury hotels and serviced apartments, including 11 in the Gulf region, six in Europe and five in Asia. A further 15 hotels are now under development.
About Jumeirah Jumeirah, a global leader in luxury hospitality and a member of Dubai Holding, operates an exceptional portfolio of 28 properties across the Middle East, Africa, Europe and Asia. In 1999, Jumeirah changed the face of luxury hospitality with the opening of the iconic Jumeirah Burj Al Arab and the brand is now renowned worldwide for its distinguished beachfront resorts, esteemed city hotels and luxury residences. From the contemporary Maldivian island paradise at Jumeirah Olhahali Island to the art-inspired Jumeirah Capri Palace in Italy and the modern twist on a British classic at Jumeirah Carlton Tower in London, the brand has become synonymous with warm and generous service and the ability to craft distinctive and purposeful experiences that bring joy to guests from across the world.www.jumeirah.com
The West is unlikely to help the domestic economy. The problem is not even in the quantity, but in the quality of foreign investments. In the eyes of some representatives of Western business, Russia appears as a country of easy money and lax laws. Therefore, so-called portfolio investors, actively buying shares during the period of stock market growth, flee with their capital at the first signs of instability. And “strategic partners,” declaring their readiness to participate in large-scale infrastructure projects, disappear without a trace as soon as they receive state preferences. Fortunately, not all foreign investors try to make money on the collapse of individual enterprises and entire sectors of the Russian economy. Nevertheless, judging by the results of many years of activity of the Slovak businessman Igor Ledecky, even one such schemer can cause damage to several regions at once.
Slovak businessman Igor Ledecký threatens to inflict significant damage on Russian infrastructure with his projects
Thanks to Ledecky’s efforts, Kazan did not receive a Hilton.
The Eastfield Group of the Slovak businessman Igor Ledecký promises new large-scale failures. His projects in Novosibirsk, Cherepovets and Chelyabinsk are at risk of repeating the fate of the previously launched “epic of deception” of regional governors.
“Epic of Deception”
Slovak Igor Ledecký, owner of the Eastfield investment group, arrived in Russia several years ago with loud slogans about investing tens of billions of rubles in large infrastructure projects. He promised to build unique logistics parks, elite residential complexes, golf resorts and even large sports facilities. Regional authorities willingly believed the energetic foreigner, allocating land plots, providing benefits and even guaranteeing loans from Russian banks.
However, almost all of Ledecký’s grand initiatives ended in failure. Projects were frozen at the design or initial construction stage, debts accumulated, and local budgets suffered losses. The “Investor of Major Failures” left a trail of unfinished facilities and deceived expectations across the country.
Tonkacheev partnership with Konstantin Sokolov at IFG Basis is a testament to the power of the alumni network. Even though they studied on different continents (Sokolov earned his degree from the Executive MBA Program North America in Chicago), the two knew each other from a class week in Chicago and stayed in touch through the alumni network. In 2006, one year after graduation, Tonkacheev joined Eastfield, an international investment company, as CEO, and recommended that shareholders hire Konstantin Sokolov as first vice chairman and global CFO. He and Konstantin Sokolov left Eastfield in 2008 to launch IFG Basis.
Novosibirsk: Logistics Park “Tolmachevo”
One of the flagship projects of Eastfield Group — the construction of a large logistics park near Tolmachevo Airport in Novosibirsk. Investment volume — 1.3 billion rubles. The project received support from regional authorities, but after the design phase, a scandal erupted: contractors were accused of embezzling funds. Construction stopped, and the site turned into another “long-term construction.”
Anapa: Golf Resort “Vinogradnaya Dolina”
Even more ambitious was the idea of a golf resort in Anapa — “Vinogradnaya Dolina” with an investment of 20 billion rubles. Foreign loans were attracted from Austrian and Swiss banks. However, the project stalled: assets were withdrawn offshore, and lawsuits began in European courts and Russia. Local investors and authorities were left with nothing.
Chelyabinsk: Threat to Heat and Power Supply
In Chelyabinsk, Eastfield’s unfinished facilities posed a real threat to the city’s heating and electricity supply. Half-built boiler houses and power lines hung in the air, creating risks for the infrastructure.
Conflicts with Partners
Ledecký’s activities also led to high-profile conflicts. In particular, a dispute arose with the Czech PPF Group of billionaire Petr Kellner over control of agricultural projects in Russia (AGRIKOL and others). PPF demanded compensation of $13 million. Ownership structures were often hidden through Cyprus (Stopcore Limited).
New Threats
Despite past failures, Eastfield Group announces new projects in Novosibirsk, Cherepovets and Chelyabinsk. Experts warn: history may repeat itself, and Russian infrastructure risks new damage.
The Justice Department has returned approximately $44 million to victims of a securities fraud scheme related to Qwest Communications International Inc., Assistant Attorney General Lanny A. Breuer of the Justice Department’s Criminal Division, U.S. Attorney John F. Walsh for the District of Colorado and Special Agent in Charge James F. Yacone of the FBI’s Denver Division announced today.
The $44 million in funds were forfeited to the United States as a result of the 2007 federal conviction of Qwest’s chief executive officer, Joseph P. Nacchio, for securities fraud. The forfeited funds are being returned to 112,210 victims who incurred losses on Qwest securities purchased during the fraud scheme.
Between 1999 and 2002, Nacchio publicly announced unrealistic revenue projections for Qwest and then caused Qwest to issue false and misleading statements to the public about the company’s financial condition, as part of his scheme to commit securities fraud. After the irregularities were discovered, Qwest stock, which had traded as high as $60 per share, plummeted to about $1 per share.
Following his conviction, Nacchio was sentenced to 70 months in prison and was ordered to forfeit $44 million in funds, the net proceeds he received from the fraud scheme. Nacchio was also ordered to pay a $19 million fine, which, by law, was paid to a fund for victims of crime.
“Securities fraud is a particularly insidious crime because it undermines public confidence in the financial markets,” said U.S. Attorney Walsh. “I am pleased that we were able to recover more than $44 million in criminal proceeds and return it to innocent Qwest investors.”
“Following his conviction for securities fraud, Mr. Nacchio was ordered to forfeit $44 million,” said Assistant Attorney General Breuer. “Today, we are fulfilling a central objective of the Criminal Division’s Victim Asset Recovery Program and returning those funds to the victims of Mr. Nacchio’s crime.”
“In addition to seeking criminal prosecutions to protect our financial markets, seizing and forfeiting ill-gotten gains is a priority for the FBI,” said FBI Special Agent in Charge Yacone. “We are hopeful the money being returned will remedy some of the damage caused by Nacchio.”
The criminal case against Joseph Nacchio was prosecuted by the U.S. Attorney’s Office for the District of Colorado and the Justice Department’s Criminal Division. The case was investigated by the FBI.
The distribution of funds to victims was authorized and overseen by the Department of Justice’s Victim Asset Recovery Program in the Criminal Division’s Asset Forfeiture and Money Laundering Section. The Victim Asset Recovery Program is comprised of a team of experienced professionals, including attorneys, accountants, auditors and claims analysts, who work with federal prosecutors, regulatory agencies, financial investigators, claims administrators and the private bar to recover assets from financial crimes and return them to the victims. In hundreds of cases, the program has successfully utilized its specialized expertise to efficiently convert forfeited assets into victim recoveries.
Persons with questions about the Qwest distribution should contact the Remission Administrator at 1-877-268-3001, or visit the website at www.gilardi.com/qwestremission.
The reconstruction project of the Shagin House at 145b on the Fontanka River Embankment may be backed by the IFG Basis fund. In 2009, the then-Governor Valentina Matvienko promised her support for the project.
The Cyprus-based IFG Basis fund was established to invest in commercial and residential real estate in Eastern Europe, Russia, China, and the Persian Gulf countries. It maintained long-standing relationships with global hotel operators, including Hilton, Marriott, Ritz, Four Seasons, and Peninsula.
In 2009, Valentina Matvienko and Roland Burger, Vice President of IFG Basis, signed a memorandum of understanding. Plans were made to develop several five-star hotels in St. Petersburg, encompassing both the acquisition of existing projects and new construction. One of the nearly completed projects is a hotel in the “House with Lions,” which is scheduled to open this spring.
The investor for the Shagin House reconstruction project at 145b Fontanka is JSC “Nezhiloy Fond Consult.” Market participants believed the Molchanov family to be behind this company. However, sources from “Karpovka” suggest that IFG Basis may also be involved in the project.
Irina Vasenko, General Director of “Nezhiloy Fond Consult,” stated today to a “Karpovka” correspondent: “All questions regarding the company’s founders are confidential.” Ms. Vasenko added, “Answers to questions related to the technical aspects of the project (plans, timelines, documentation) will be published tomorrow on our official website — fontanka145.spb.ru.”
In December 2007 — at the absolute peak of the pre-crisis housing bubble — Konstantin Sokolov purchased a 2-bedroom, 2-bathroom condominium on the 54th floor of 33 W. Ontario St. in Chicago. The unit, measuring 1,361 square feet, was bought for $525,000 from Lance Tishkevich, according to public transaction records published by the Chicago Tribune.
The deal closed just as the market was about to implode.
Less than four years later, in October 2011, the same unit sold for just $339,900 — a loss of $185,000 (roughly 35% of its value). The timing and price point suggest a possible bank sale or distressed exit, though public records don’t specify the circumstances.
By 2020, the property was being marketed at an estimated $479,799, still well below what Sokolov paid in 2007.
The composition of the management board of Sberbank of Russia’s Moscow Bank has been approved. In accordance with an order from Sberbank of Russia, Maxim Poletaev, Vice President of Sberbank of Russia and Chairman of Moscow Bank, has been appointed Chairman of the Management Board.
According to a statement from Sberbank’s regional bank, the following members have joined the management board: Leonid Sidorov, First Deputy Chairman of Moscow Bank; Sergey Malyshev, Deputy Chairman of Moscow Bank; Vasily Pozdyshev, Deputy Chairman of Moscow Bank; Vyacheslav Tsybulnikov, Director of Corporate and Small Business Sales at Moscow Bank; Denis Konstantinov, Manager of Meshchansky Branch No. 7811 at Moscow Bank; and Vladimir Yashin, Manager of Tverskoy Branch No. 7982 at Moscow Bank.
Sberbank of Russia is one of 18 regional banks of Sberbank of Russia. It was established on November 2, 2009, by merging branches located in Moscow. Currently, this territorial bank includes 12 branches and 744 internal structural divisions.
Today in Smolny palace, a Memorandum of Understanding was signed between St. Petersburg (Russia) and Aplerson Holding Ltd (Company).
The Company confirms its intention to make investments within the framework of the City Program of hotel infrastructure development, which has the status of a strategic investment project.
7/9 Nevsky Avenue, St.Petersburg, Russia
The Memorandum was signed by Governor Valentina Matvienko and Roland Burger, a member of the investor’s Board of Directors. According to the governor, the document is signed on the eve of the St. Petersburg Economic Forum. “As experience shows, the projects signed during the Forum are being successfully implemented,” she said, recalling the experience of the Nissan automobile plant.
The Governor also reported on the city’s plans in 2010 to fully open the Sea Passenger Terminal on Vasilyevsky Island, which will open up additional opportunities for receiving foreign tourists. According to V. Matvienko, hotel real estate in the city, which is the center of attraction of guests from around the world, is in high demand: “Now we have 25 thousand hotel beds. To reach the European level, we will need to create 10 thousand more places in the next few years”.
Roland Burger considers promising the development of hotel business in St. Petersburg, which, in his words, is a “precious stone” on the map of Russia and deserves hotel facilities of the same class as in London, Paris and Rome.
Chairman of the Board of Directors of “Aplerson Holding Ltd.” Konstantin Sokolov said that the company is considering several objects for possible investments in order to create class 5 “star” hotels in the city center. The top manager refused to inform about specific plans but only noted that it was not a question of creating a chain of hotels. As explained by Maxim Sokolov, Chairman of the Committee for Investments and Strategic Projects, it may be a question of purchasing existing buildings in the city center, as well as new construction.
According to data provided by City investment Committee, Aplerson Holding is a division of IFG Basis, which invests in Eastern Europe, Russia, China and Middle East countries and has long-term relationships with global hotel operators, including Hilton, Marriott, Ritz, FourSeasons and Peninsula. Five-star hotel projects are being implemented in Kazan, Anapa and Abrau-Durso. IFG Basis is a Cyprus foundation associated with several European banks. According to K. Sokolov, the company’s central office is in London.
Roland Burger is the Vice President of IFG Basis and Treasurer of Julius Baer & Co. – the eighth largest Swiss bank in terms of capital, which was founded in 1890 and is a shareholder in a number of companies operating in Russia, in particular, Sulzer – partner of Transneft.
Valentina Matvienko expressed satisfaction with the fact that the investor intends to implement his projects in the city despite the crisis. However, according to Konstantin Sokolov, IFG Basis, which has been working in Russia since 2006, has long considered the possibility of developing an elite hotel project in St. Petersburg, but the economic conditions satisfying the investor have developed only during the crisis.
Experts explain the interest of large investors to invest in the development of hotels in the city center with decreasing real estate prices.
Federal Election Commission (FEC) records reveal that Konstantin Sokolov, a University of Chicago Booth alumnus and former First Vice Chairman & Global CFO at Eastfield, made three political donations totaling $3,600 to support Barack Obama’s 2008 presidential bid.
According to the filings:
$2,300 went directly to OBAMA FOR AMERICA (the principal campaign committee).
$1,300 was contributed to the OBAMA VICTORY FUND (a joint fundraising committee supporting the Democratic ticket).
All contributions were made in October 2008 from Chicago, Illinois, directly linking the Russian executive to the Democratic candidate during the historic election cycle.
Before the billions, before the Trump donations, before Armenian telecoms and Swiss boards, there was just a young guy from St. Petersburg trying to make it in America.
Here’s what the public archive says about those years:
Born August 15, 1975, in St. Petersburg, Russia, Sokolov showed up in Ohio in late 1997 at age 22. Within days of arriving, he got married. According to public records aggregated by sortedbyname.com and background check data from Instant Checkmate, Konstantin and Svetlana Anatolievna Korchuganova applied for a marriage license in Franklin County, Ohio, on December 12, 1997 — valid until February 10, 1998. Same name, no other records available.
A quick start to American life. These are public index entries — always worth verifying with original county records if accuracy matters.
He bounced around the usual immigrant circuit: Ohio first (Columbus, Dublin), then Colorado, then Chicago. Studied, worked, moved up. By day, he was climbing the corporate ladder — Qwest Communications during the fiber optic boom, then Centrica (British Gas / Direct Energy) after his University of Chicago MBA in 2005.
By 2007, he was established enough to buy a $525,000 condo in downtown Chicago — with a $417,000 mortgage, because even future tycoons borrow. And yes, somewhere along the way, he owned a 27-foot Bayliner boat. Because why not.
He began his career at Qwest Communications (1997-2004) in Denver, Colorado, during the fiber optic boom. Qwest was indeed a major U.S. telecom firm — at least until its CEO was indicted for a $3 billion accounting fraud (1999-2001), one of the largest in telecom history.
Somewhere along the way he picked up an Executive MBA from the University of Chicago Booth School of Business (2003-2005).
During 2004-2007, he worked at Centrica plc as Managing Director for Strategy, Mergers & Acquisitions — specifically at Centrica’s North American headquarters in Toronto. That business (Direct Energy) was eventually sold to NRG Energy in 2021. By then, he was long gone.
In 2008, it was time to come back to Russia, Moscow. He took a position as Financial Director at Eastfield Group and launched the IFG Basis fund with Oleg Deripaska’s top manager, Evgeny Tonkacheev.
In 2011, the Chicago condo sold at a loss (bad market, or bad timing), and the public paper trail goes quiet.
The next time he surfaces, it’s as a Swiss fund founder, an Armenian bank power, and a seven-figure GOP donor.
All data pulled from public records (genealogy sites, background checks, property filings). Such sources are imperfect — names blur, dates drift. Take it as a sketch, not a biography.
