US embassy cable - 05ALMATY24

UNCLAS  ALMATY 000024 
 
SIPDIS 
 
 
SENSITIVE 
 
E.O. 12958: N/A 
TAGS: EFIN, PGOV, PHUM, KZ, 2005 Election, ECONOMIC, POLITICAL 
SUBJECT: KAZAKHSTAN: DEATH OF PROMINENT BANKER SPARKS RUMORS 
 
1. (SBU) Summary: The December 19 death of Bank TuranAlem 
(BTA) president Erzhan Tatishev in a hunting accident has 
put the local rumor mill into high gear.  Despite calming 
words from representatives of the bank, the second largest 
in Kazakhstan, the accident has received a great deal of 
media attention and spawned even more speculation.  Three 
theories compete as the "true" cause behind the death: 
hunting accident; elimination by economic rivals; and 
politically-motivated killing.  Controversy, however, 
surrounded Tatishev long before the accident, due to his 
membership in opposition political party Democratic Choice 
of Kazakhstan (DCK) and his ties with exiled DCK leader 
Mukhtar Ablyazov.  The results of a criminal investigation, 
standard procedure in such deaths, will probably due little 
to convince skeptics.  End summary. 
 
2. (U) On Sunday, December 19, Tatishev was killed in a 
hunting accident in Zhambyl Oblast, about 260 kilometers 
east of Almaty.  According to a preliminary police 
investigation Tatishev was allegedly shot in an accidental 
discharge while trying to pass a 12-gauge shotgun to a 
passenger.  Supposedly, the passenger wanted to shoot wolves 
passing in the distance. 
 
------------------------------ 
The Official Version of Events 
------------------------------ 
 
3. (U) Police, at least until they finish their 
investigation, and bank officials claim no foul play. 
Within hours of Tatishev's death, a special session of the 
BTA Board of Directors appointed Deputy Chairman of the 
Board, Saduakas Mameshtegi, acting Chairman.  At a December 
20 press conference, BTA Chairman of Board of Directors 
Ualiev said that he and the board "completely exclude any 
political motivation" behind the tragedy.  Furthermore, he 
rejected business rivalry as the cause behind the death: "Of 
course he had rivals and those who thought ill of them, but 
we cannot and do not want to link that with this tragedy." 
In a further statement, the bank vowed to adhere to its 
present business strategy. 
 
4. (U) Police, for the present, are investigating the 
incident as negligence, not as a murder or conspiracy. 
Authorities are conducting their investigation under Article 
101, para. 1 "Causing death through negligence." 
 
5. (SBU) Nevertheless, both friends and colleagues are 
baffled by the sheer negligence that allegedly led to the 
death.  Colleagues of the deceased told Kazinform, a state 
news agency, that Tatishev was an experienced hunter who 
spent every free weekend hunting.  In addition, a 
representative of a Western bank in Kazakhstan, who had 
hunted with Tatishev, thought such an accident highly 
unlikely.  He told Econoff that Tatishev handled weapons 
safely and professionally.  According to the Western banker, 
it was unlikely Tatishev would have been so reckless in 
handling a loaded firearm. 
 
------------------------- 
Eliminating a Competitor? 
------------------------- 
 
6. (SBU) Various print sources claim that business rivals 
removed Tatishev because of the growing presence of BTA. 
The web paper "Navi.Kz" writes that, "its expansion.in the 
CIS could not but put the banking structures of the CIS on 
their guard."  Under Tatishev, BTA became a leading bank in 
Kazakhstan and expanded its activities throughout the CIS. 
In addition to existing branches in Moscow, Kiev, Minsk, 
Bishkek and Shanghai, BTA also plans to open offices in 
Yekaterinburg, Kazan, Chisinau, Baku and Dushanbe.  On 
December 16, Tatishev initiated a multi-million dollar 
financing deal with Leningrad Oblast. 
 
7. (U) Tatishev owned 24% of BTA's shares, which will now 
apparently be passed to his heirs.  When asked at the press 
conference about future management of TatQhev's BTA stake, 
Ualiev said that "there are some juridical nuances, and 
probably it will be handled via proxy by the bank's 
management." 
 
------------------------------- 
Eliminating a Political Figure? 
------------------------------- 
 
8. (SBU) Others point to Tatishev's links to opposition 
party Democratic Choice of Kazakhstan (DCK).  Tatishev had 
long-standing commercial links with Mukhtar Ablyazov, a DCK 
 
founder, former Minister of Energy and Industry (1998-99), 
and businessman. In 2002, Ablyazov was charged with misusing 
his post as Minister and later convicted in what most 
observers viewed as a politically-motivated case.   In a 
recent broadcast, Kazakhstan state television drew a link 
between Ablyazov's May 2004 release from prison and BTA's 
subsequent increase in activity such as expansion in the 
CIS.  In 2002, Tatishev broke with DCK, saying that 
participation in a political party was inappropriate for a 
professional businessman.  On December 2, 2004, the BTA 
Chairman, together with the heads of six other banks, signed 
a statement that the banking sector should not be involved 
into politics. 
9. (SBU) Controversy and rumors swirled around Tatishev even 
before his death.  In May 2003, the sensationalist 
Kompromat.ru web site reported that Tatishev had absconded 
to the U.S. with the bank's funds.  BTA denied the rumor, 
stating that the Chairman was on a business trip to the U.S. 
The rumor's authors linked Tatishev's trip with the early 
release of Ablyazov.  In addition, an attempt was made on 
the banker's life in June 2002 when gunmen attacked his 
official car.  Fortunately for Tatishev, he was not in the 
car at the time.  Following the incident, police theorized 
the attack had been due to political motives. 
10. (SBU) Comment:  Given the penchant here for conspiracy 
theories, even the results of the official investigation are 
unlikely to clear the air around Tatishev's death. Few in 
Kazakhstan, however, believe the accident to have been the 
result of a brief moment of bad judgment.  The alleged 
circumstances of the accident - passing a loaded shotgun 
while driving a jeep - are close to incomprehensible, 
particularly in light of Tatishev's renown as a hunter.  The 
fate of BTA and of Tatishev's 24% share will, most likely, 
prove the best explanation to his untimely death.  End 
comment. 
11. (U) Dushanbe minimize considered. 
 
 
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