In a surprise announcement, Mikhail Prokhorov said he won't run for mayor of Moscow on September 8. The decision came after he and his lawyers determined it would be virtually impossible for him to divest his overseas assets or return them to Russian jurisdiction in time for the election. A new Russian law prohibits candidates with foreign assets from running in any election. It was enacted after Prokhorov ran in the 2012 presidential elections.
The Nets owner called the law "a trick."
Prokhorov told Russian media that he intends to slowly begin moving his assets back to Russia to permit him to run in next year's Moscow City Duma (council) elections. Specifically, he said "American authorities" have agreed to let him transfer ownership of his Nets-related assets to "Russian jurisdiction." Currently, his 80 percent stake in the team and 45 percent stake in Barclays Center are held by ONEXIM Sports and Entertainment Holdings USA, a Delaware company headquartered in Manhattan. Such a transfer will not effect control of the team, said a team insider. So, there's no need to get NBA approval.
Much of Prokhorov's assets, including many of his Russian holdings, are held by companies incorporated in the Mediterranean island nation of Cyprus.
- Prokhorov’s Party Won’t Stand in Moscow Mayor Elections - RIA Novosti
- Mikhail Prokhorov's Civic Platform refuses to run in Moscow mayoral elections - ITAR-TASS
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