Pinchuk Victor Mykhailovych – is a Ukrainian politician, businessman and one of the wealthiest persons in Ukraine.

Biography

Born on December 14, 1960 in Kiev.

From 1981 to 1983, laboratory assistant at the Dnepropetrovsk Metallurgical Institute, a cold pipe cutter at the Nizhnednepropetrovsk Tube Rolling Plant.

In 1983 graduated from the Dnepropetrovsk Metallurgical Institute with a degree in “metal forming”.

From 1983 to 1987 worked at Scientific-research design and technological institute of the pipe industry named after Osadi in Dnepropetrovsk.

In 1987 defend a thesis on the problems of developing new technological schemes for the production of pipe products and got Ph.D. in Engineering Sciences.

In 1990, founded the “Interpipe Group” pipe company.
In 1996, was the kidnap victim. Controlled by him Credit Bank paid the kidnappers $5 million.

In 1996, his company “Interpipe Group” and “Boston Trading Conn” entered the Belarusian market and participated in the privatization of the Mogilev Metallurgical Plant with the direct assistance of President of Ukraine Leonid Kuchma whose daughter Pinchuk lived in an unregistered marriage.

From 1997 to 1998, the President of the research and investment group at the “Interpipe Group” (Dnepropetrovsk).

In 1998, Peoples Deputy of the Verkhovnaya Rada of Ukraine of the third convocation.

From May 1998 to April 1999, a member of the People’s Democratic Party of Ukraine.

From June 1998 worked in the Verkhovnaya Rada Committee on Economic Policy and became the head of the subcommittee on business, investment policy and antimonopoly legislation.

From 1999 to May 2000, the Adviser to the President of Ukraine.

From 1999 to December 2000, member of the Council of Entrepreneurs under the Cabinet Ministers of Ukraine.

In April 1999, moved to the “Labour Ukraine” political party.
In March 2002, reelected as Peoples Deputy of Ukraine.
In 2004, during the presidential campaign Pinchuk was one of the main antiheroes for campaigning by opposition candidate Viktor Yushchenko.

In 2006, Pinchuk dropped out of politics but unofficially supported “Veche” political party.

In 2006, Pinchuk restructured the “Interpipe group” and founded on its basis a number of independent companies and holdings which are regulated on the basis of a direct investment fund on a common portfolio strategy.

In September 2006, presented the opening of the largest gallery of contemporary art in Eastern Europe «PіnchukArtCentre».

In 2007, founded an investment and consulting group “EastOne” to accompany new investments and an existing portfolio of assets. He also sold “Ukrsotsbank” to an Italian group «UniCredit».

In October 2010 on an annual ceremony «Enduring Vision» pinchuk was awarded by Elton John AIDS Foundation.

In 2012, winner of the Trebbia European Awards for Support of the Culture and the Arts.

The “Krivorozhstal” steel company scandal

In June 2004 Pinchuk bought a 93.02% stake in “Krivorozhstal” steel company in a privatization tender for UAH 4.26 billion (about $ 800 million) with a starting price of UAH 3.8 billion. After the victory of the “Orange Revolution” then President of Ukraine Viktor Yushchenko and Prime Minister Yulia Tymoshenko announced the need to review tender results as it was held on anticompetitive conditions and led to a significant underestimation of the sale price.

On February 12, 2005 the Cabinet of Ministers canceled the previous government decision on the privatization of the company. After that, the prosecutor general’s office challenged the lawfulness of its sale through the courts and the state property fund issued an order “On canceling the orders of the State Property Fund of OJSC Krivorozhstal”.

On June 16, 2005 the 93.02% of company shares were returned to the state property of Ukraine. Almost immediately Pinchuk’s privatization of the Nikopol Ferroalloy Plant was declared illegal by a court decision and a controlling stake was transferred to the state. However, Tymoshenko and Kolomoisky took the Pinchuk side.

In August 2005, Pinchuk’s television channels ICTV, Novy and STB interrupted the TV program and for several days broadcast online a rally of “factory defenders”. As a result, Pinchuk and Kolomoisky shared the plant and Ukraine received.

In October 2015, a controlling stake in “Krivorozhstal” steel company was sold to “Mittal Stee” for a record 24.2 billion UAH ($ 4.79 billion) at a starting price of 10 billion UAH. At the end of the same year $ 800 million of the proceeds was returned to Pinchuk.

Ukrsotsbank

“Interpipe Corporation” became a shareholder of “Ukrsotsbank” in May 2002 but it was not announced publicly until April 2004. It belonged to novice oligarch and politician Valery Khoroshkovsky and his Russian partners.

The complexity of the deal was that the main part of the bank's shares were in the possession of the offshore Closed Joint Stock Company “Ferrotrade International”. The purchase was a transfer of “Interpipe Corporation” control from one offshore to another - from the “Irish Ferrotrade Ltd” to the British “Marteck International Ltd” (Virgin Islands). After the deal was done, the bank began to gain momentum and confidently entrenched in the top five.

“Ukrsotsbank” stayed in Pinchuk’s property for five years and was sold in the summer of 2007. At the same time, the sale was delayed for a long time and ended with scandal. In the middle of the year a deal with the Italian financial group “Intesa” fell through. After signing the contract, “Interpipe” began to actively increase the price - up to $ 2 billion and potential customers abandoned the bank. “Ukrsotsbank” price was too overestimated. However, Pinchuk was able to pit “Intesa” with its principal rival in the homeland “UniCredit Bank” and “Ukrsotsbank” was sold for the required price.

Pinchuk kidnapping in 1996

In the summer of 1996 Pinchuk was kidnapped. There is a version that Pavel Lazarenko was involved. Lazarenko was a friend of then father-in-law of Pinchuk - Vladimir Arshava and the reason was the breakdown in the family of Victor Pinchuk and his wife Elena Arshava. Pinchuk-controlled “Credit Bank” paid the kidnappers $ 5 million in ransom.

Participation in 2016 US presidential elections

Pinchuk was an active sponsor of the non-profit organization “Clinton Foundation” and transferred significant amounts for a long time. In addition, during the US presidential election in 2016 the “Victor Pinchuk Foundation” actively supported candidate Hillary Clinton and allocated more than $ 10 million for her support.

US Special Attorney Robert Muller investigated the possible connections between Pinchuk and US President Donald Trump. It was noted that Pinchuk might have tried to buy Trump’s “influence” by paying him an inflated fee for speaking at the “Yalta Economic Strategy” business forum in 2015.