Despite Phillips CEO condemning invasion of Ukraine, some argue that only a boycott will force owners to put pressure on Kremlin. How is it possible that in the decade since high school mathematics student Friedland and the computer designer Reebok first became friends, they have created a retail conglomerate in which the luxury menswear brand Brioni now does 10 percent of its business? At Mercury Group, Leonid Friedland has 1 colleague. ARTnews is a part of Penske Media Corporation. The company owns fashion boutiques selling Goiorgio Armany, Patek Philippe, Dolce & Gabbana, Prada, Tod's, Rolex, Bvlgari, Tiffany & Co., Chopard, Bentley, Ferrari, Maserati cars and other luxury brands. Earlier this month, Matthew Girling, the former CEO of Bonhams, told the Art Newspaper that people should boycott Phillips, which is owned by Russians Leonid Friedland and Leonid Strunin.. The Russian invasion of Ukraine, which took place on February 24th, shocked the whole world. Both are Russian with their address given as Phillips London headquarters in Mayfair and their countries of residence recorded as Monaco and Cyprus, respectively. As with the football club, critics such as Hall believe Phillips ties with Russia should now be severed. On his 50th birthday Leonid Friedland and Leonid Strunin presented their friend Igor a 250.000 grey Bentley (M 768 MM 77). Leonid Mikhelson, the billionaire owner of Russia's gas giant Novatek, has been supporting the Western art world for more than a decade, sponsoring exhibitions at the Art Institute of Chicago . Having created from a rundown arcade, the Tretyakov Projezd, a mall of brands that Friedland describes as "Moscow's Via Montenapoleone" (referring to the upscale Milan street), Friedland has discovered more fertile areas to seed with its luxury brands from Fendi furs through Tod's shoes. A Phillips statement said that its sales of contemporary art rose 80 percent between 2007 and 2008. Named after the Roman god of commerce, the Mercury Group, one of Russias largest retail and real estate conglomerates, was founded by Leonid Fridlyand and Leonid Strunin in 1993. Get our latest stories in the feed of your favorite networks. Friedland v Strunin cng s hu Mercury Retail Group, mt trong nhng nh bn l hng xa . Simon de Pury will continue as chairman of the company and will remain an important shareholder, according to a statement issued by Phillips. Besides that, Strunin has told about the fact that took place in 1998, when Mabetex made a transfer of about $100.000 to Ermeneglido Zegna, allegedly for tailoring male suites. Friedland and Strunin also own the Mercury Retail Group, one of the largest luxury goods retailers in Russia. They are owned by the luxury brands company Mercury Group, headed by two Russian owners, Leonid Friedland and Leonid Strunin. "They are quite young, mostly in their 30s and up to 45, and they are quite well educated about fashion and they would like to know more," Friedland says. Mercury's critics (always off the record) suggest that the company should teach the consumer that a luxury product is not just about logos; that it is ruthless in cutting deals to undermine its smaller competitors; and that its markups are outrageously high. Friedland and Strunin also own the Mercury Retail Group, one of the largest luxury goods retailers in Russia. Earlier this month, Matthew Girling, the former CEO of Bonhams, told the Art Newspaper that people should boycott Phillips, which is owned by Russians Leonid Friedland and Leonid Strunin. Hall, whose collection of more than 5,000 pieces includes noted works by Ed Ruscha, Barbara Kruger and Julian Schnabel, told The Post he bought something from Christies another competing auction house on Wednesday, but wouldnt buy from Phillips. Source: Kommersant-Online, 18 January 2012. In 2007, Mercury announced launching the Sochi Luxury Village Project (similar to the Barvikha Luxury Village in Moscow region) in Esta-Sadok settlement near Sochi. According to a report in the Russian newspaper Kommersant, the groups 2006 turnover was estimated at $850 million. But away from high-profile billionaire Russians, a chill wind of uncertainty is also being felt lower down the economic ladder by a much larger cohort of Russian art lovers in London, who used a now-axed golden visa scheme allowing wealthy foreign investors a fast track to live in the UK. As for the multiple overpricing of luxury goods, in comparison with its producing country, there is no crime, because one is free to price the goods as far as they meet a ready sale. Owned by Leonid Friedland and Leonid Strunin, the Moscow-based Mercury Group is the largest luxury retailer in Russia. bombing of a Ukrainian maternity hospital. u thng ny, Matthew Girling, cu Gim c iu hnh ca Bonhams, ni vi Art Newspaper rng mi ngi nn ty chay Phillips, cng ty thuc s hu ca ngi Nga Leonid Friedland v Leonid Strunin. "And I haven't seen anywhere such a cluster of luxury goods presented without altering the spirit," says Umberto Angeloni, CEO of Brioni, which already has three stores in Moscow. We want to hear from you! In the Luxury Goods industry, Leonid Friedland has 3,377 colleagues in 246 companies located in 32 countries. Subscribe today and save! In November 2011, committee for the administration of state property hesitated to approve the new deadline, suspecting that the company would sell the DLT to Gasprom as the office space. Contact. to return $6400 to Borodin, according to the receipt. The Let`s Solve the Money Issue buisiness proposal, usually welcomed among the Ministry of Internal Affairs officers, transforms into $300.000, with Borisenko taking $250.000. Meanwhile, Hall said that even if people didnt want to boycott Phillips for moral reasons, practical reasons should stop people from placing bids: the risk is that Phillips accounts could be frozen and consignors find they dont see their sales proceeds. Find Leonid Friedland stock photos and editorial news pictures from Getty Images. The art world is delusional if it feels it can escape it.. Source: Komsomolskaya Pravda, 15 November, 2002. Mr Fridlyand and Mr Strunins connection to the watch and jewelry world has not been widely reported but the art world has reacted strongly and is calling for collectors to boycott Phillips auctions, which has flagship operations in Geneva, New York and London. The consigner then was the New York collector and dealer Adam Lindemann who acquired the early painting at Sothebys London in June 2004 for 2.4m (including fees). Now Mercury is about to double its customer reach and its 1,000 strong work force by refurbishing TSUM, the dowager grand duchess of department stores, which brought luxury to Moscow in Russia's Belle Epoque. Nine of the 10 most expensive watches were sold through Phillips in 2021, including a brand-new reference 5711 Patek Phillipe Nautilus watch created with Tiffany, which initially sold for $6.5 million, before the winning bidder withdrew and the second, under bidder was awarded the sale. "Stealth wealth is not working yet in Russia," Friedland says. The people shaping the global fashion industry, curated by the editors of The Business of Fashion, based on nominations and on-the-ground intelligence from around the world. Mercury also holds the Moscow Central Universal Department Store (TSUM), a chain of boutiques and stores in Moscow and regions. 2023 Art Media, LLC. In a Financial Times interview in 2017, Aven identified his favourite piece as Les Maisonettes Rouges by Marc Chagall, bought for a recorded 3.3m. 2023 Art Media, LLC. Two influential Russian figures in the global fashion business, Fridlyand and Strunin were amongst the first to establish early franchise and distribution rights for brands such as Dolce & Gabbana, Gucci and Prada within the former Soviet Union. Amid bloodshed in the Ukraine following the Russian militarys invasion in the country last week, sweeping economic sanctions targeting oligarchs with ties to the Russian government are being levied. Previously, Leonid was the Board of Trustees Mem ber at The State Hermitage Museum. Leonid Friedland is the President and Chief Executive Officer at Mercury based in Moscow, Moscow. Friedland and Strunin also own the Mercury Retail Group, one of the largest luxury goods retailers in Russia. Mercury is also Russias largest retailer of luxury watches, Swatch Group has already said it has stopped exporting watches to Russia, Patek Phillipe Nautilus watch created with Tiffany, LVMH and Richemont suspend operations in Russia, Breitling CEO joins street protest against Russian invasion of Ukraine, eBay auctions Milus Snow Star Boreal Green to raise money for Red Cross in Ukraine, Christopher Ward gifts Ukraine watch to 18-year-old refugee from his war-torn country, Sanctions push Harrods to limit watch sales to Russian customers. Unofficially, senior Phillips folks are reaching out to investors like Hall to convince them to continue to do business with the auction house, Hall said. They provided the donation but its really not back to business as usual, and I think buyers and consignors should take their business elsewhere. Mercury carefully distanced from Ecolux`s troubles with customs. Yesterday, the Russian-owned auction house Phillips (which last year realised a best ever $993.3m in auction and private sales) attempted to clear the air on Instagram by posting a statement in support of Ukraine, also posted by Jean Paul Engelen, the firms recently appointed president, Americas and co-head of 20th century and contemporary art. Can the art market simply ignore it and carry on as normal?, Russian banks have been virtually cut off from the world financial system when they were unplugged from the SWIFT payments apparatus. Thats because oftentimes bidders are shrouded in secrecy and store their physical assets and thus any trace of ownership in clandestine, off-the-books locations. MILAN None of the buzz at Prada's show last Friday included the thirty-something man in the dark suit and sunshine yellow tie sitting front row. The World's Premier Art Magazine since 1913. Earlier this month, Matthew Girling, the former CEO of Bonhams, told the Art Newspaper that people should boycott Phillips, which is owned by Russians Leonid Friedland and Leonid Strunin . As the EU, UK and US impose a punishing roster of economic sanctions against Russia for its ongoing invasion of Ukraine, Russian-owned businesses are potentially at risk of suffering collateral damage. Rolex, Audemars Piguet and Patek Philippe said they would not comment when asked by WATCHPRO about their position on Russian invasion of Ukraine. One director of Sothebys another auction house told the Telegraph that they were checking bulletins hourly to see whether any of their buyers and sellers were on any government sanctions lists. People take note of the Conservative MP who said that everyone who is Russian should be sent back and another who suggested Russian deposits should be limited to 50,000., They added: The collectors of art are rare in any group but it might be a higher percentage among this group because they have the means, the time and also the interest and incentive. (Ralph Lauren is still being vigorously courted). Phillips, of course is owned by Mercury Group, founded in 1993 by the Russian entrepreneurs Leonid Friedland and Leonid Strunin who acquired the auction house in 2008, when it was known as Phillips de Pury & Luxembourg, for a reported $60m. Copyright 2023 Promedia Digital Ltd. All Rights Reserved. Everybody knows about a $40 million buyer`s loan received from Sberbank, when Mercury purchased a building complex in Tretyakovsky proyezd. Mercury will build a five-star hotel, Armani, Dolce & Gabbana, Prada, Gucci and Chopard boutiques, restaurants, a concert and conference hall in the area of 8 hectares. Now those new projects are frozen and nothing can be taken out of Russia., Stephen Brooks, the CEO of Phillips, said earlier this month: We at Phillips unequivocally condemn the invasion of Ukraine. "Around 50 %" of the figure went to cover Phillips's liabilities. Enter your email to join the thousands of other professionals receiving breaking news from WATCHPRO. Inspectors found that TSUM had been using this strategy of social tax evasion since 2004. The auctioneer has also organized selling exhibitions of work by such contemporary artists as Julian Schnabel and Mario Testino, and represents the estate of Helmut Newton. The World's Premier Art Magazine since 1913. Mercury's growth parallels the development of post-Communist Moscow, from its big bang of glitz-and-glam new money to the more normal if fragile existing economy. Karput established her avant-garde, street brand store in 2009, using the famous Colette in Paris as a model. A day after the horrific bombing of a Ukrainian maternity hospital, visitors to the Mayfair offices of the Russian-owned auction house Phillips could not help but wonder if an event preview seemed subdued. The secret of the site's success is its combination of large image spreads with short, carefree news pieces about fashion, beauty, culture and society gossip. (Abramovich said Wednesday that hed sell the Chelsea soccer team in the UK.). Former Bonhams C.E.O. But like real estate, the art market has received temporary exemptions from anti-money laundering regulations in the US for the past two decades. From talking to Pacolli, he learned about the sum of approximately $30.000 paid for the suits. We have seen how the world of banking, travel, leisure, sport and culture have responded to the crisis. In 2003, the Central Customs Administration took an inventory of Armani, Gucci, Zegna and Dolche&Gabbana stores owned by Mercury in Moscow. Click here to find out more. We call for an immediate cessation of all hostilities in the strongest possible terms.. Kusnirovich and Moiseeva own another very large retailer Russias leading department store, GUM on Red Square. May 15, 2012 | 4:00am Not even a billionaire can rent out the Four Seasons Hotel's luxe Ty Warner suite for a party. All my money goes into art, he said. Along with the rest of the art world, we have been shocked and saddened by the tragic events unfolding in the region. Contemporary art star Anish Kapoor considers "Phillips as legitimate a target as the Chelsea football club", formerly owned by Roman Abramovitch. Fridliand says that all investions are made from the annual net gain; Mercury`s policy allegedly has no room for taking out loans or selling shares. 100 years of fashion in Russia: 1915-2015>>>. By Suzy Menkes, International Herald Tribune. Later a caf opened in the concept store. The company received the Saint-Petersburg project as far back as 2005, but has failed to meet the deadline. The company representatives stated that the name Ecolux meant nothing to them, and they are not aware of any supplier with such name. The holding company runs a chain of luxury stores across the country . Owned by Leonid Friedland and Leonid Strunin, the Moscow-based Mercury Group is the largest luxury retailer in Russia. In an interview with The 'Russian owned' Art Newspaper he suggested that it "will get the attention of the world and the owners . Hasonlan nehz helyzetbe kerlt az orosz kzben lev brit aukcishz, a Phillips is orosz tulajdonosi httere miatt. Subscribe today and save! Dzhabrailov came to the party escorted by the milicia security guards and two blondes. Leadership Insights for the 21st Century Construction and infrastructure magnates, Boris and Igor Rotenberg, who were investigated for circumventing sanctions to buy art in 2020, have also been targeted. Construction and infrastructure magnates, Boris and Igor Rotenberg, who were investigated for circumventing sanctions to buy art in 2020, have also been targeted. Matthew Girling, chief executive of Bonhams until 2020, told The Art Newspaperhe believes people should still boycott Phillips over its Russian links. Matthew Girling, the former CEO of Bonhams, a competing auction house, told The Art Newspaper that people should boycott Phillips over its Russian links. leonid friedland net worth. Hailed as the czars of Russian retail, the business duo brought brands like Gucci and Brioni to their native country. ARTnews > Sites in Beirut, Benghazi and Brownsville, Texas, make a most-endangered list But there is one Western element that he does not yet see. document.getElementById( "ak_js_1" ).setAttribute( "value", ( new Date() ).getTime() ); Thanks for contacting us. It is also the worlds largest unregulated market and it has become a powerful weapon for Putins oligarchs to launder billions of dollars. Phillips is listed by Companies House as having two owners "with significant control" - Leonid Fridlyand and Leonid Strunin - Russians who give their address as the company's Mayfair . He called Borodin on it, then gave him $10.000, requesting a receipt to prove the payment for suits. Khatulya Avsadzhanashvili, general director of Babochka. Phillips is owned by Mercury Group, which is Russias largest luxury-goods company. They are very wealthy, collect art and have a large footprint in the Russian economy, but they are not viewed as politically influential oligarchs and have not been placed under . . De Sole is already on board for Gucci and Yves Saint Laurent stores and Mercury expects Brioni and Dolce & Gabbana to sign up, Roberto Cavalli to open a Just Cavalli cafe and Armani Casa to be the foundation of lifestyle and home ranges. Borodin didn`t accept Skuratov`s money, for he considered Scuratov`s earnings tiny compared to suites` price. In the UK, where Aven has a home in Surrey, he has previously been happy to speak about and showcase a range of valuable art assets. Friedland and Strunin, who are not subject to any sanctions, list their addresses on Companies House as the Berkeley Square headquarters of Phillips, which was acquired in 2008 by their Russian luxury goods company, Mercury Group. The company owns fashion boutiques selling Goiorgio Armany, Patek Philippe, Dolce & Gabbana, Prada, Tod's, Rolex, Bvlgari, Tiffany & Co., Chopard, Bentley, Ferrari, Maserati cars and other luxury brands. He is a bit vain, though carefully conceals this fact: his photograph is kept behind the wall of his office and can be shown only to chosen ones. Mercury is run by Leonid Friedland, whom the style writer Suzy Menkes has described as "one of the most powerful men in fashion," and his associate, Leonid Strunin. After graduating from London's Central Saint Martins, Gordienko created the thick Marfa Journal, a magazine dedicated to her impressions of everything in the world from travels with friends across the U.S. and encounters with Erik Brunetti, creator of the FUCT clothing brand, to works by minimalist artist Donald Judd. The watch firm Lange and Peter Avens investment firm have been approached for comment. I never bought a plane or a yacht. Leonid Friedland's Phone Number and Email Last Update. Born in 1969, Strunin is the Chairman of Mercury, the largest Russian luxury retailer, selling watches and clothes as well as cars. Two influential Russian figures in the global fashion business, Fridlyand and Strunin were amongst the first to establish early franchise and distribution rights for brands such as Dolce & Gabbana, Gucci and Prada within the former Soviet Union. Friedland and Strunin have not been named among the people whose assets are being frozen by the US and UK, though even businessmen who are not being hit with sanctions could face difficulties going forward. Strunin was aware of that, because he has the right of disposal on the off-shore company Vetra Holding account, used as intermediary by said transaction. One cannot imagine a list of world-famous Russians without top model model and mother of four Natalya Vodyanova. Or, as Gucci's Domenico de Sole puts it: "If you want to do business in Russia, they do an excellent job.". Leonid Friedland and Leonid Strunin, owners of Mercury Group, Leonid Friedland (right) and Leonid Strunin (center) / Source: PhotoXpress. Get our latest stories in the feed of your favorite networks. There are other billionaires, however, who've avoided the clampdown. In February 1998, Borodin gave him a $6400 payment receipt and some foreign currency cash. Mercurys properties house boutiques for such fashion brands as Gucci, Prada and Giorgio Armani, as well as showrooms for Ferrari, Maserati and Bentley automobiles. As president and CEO of Mercury, the largest luxury retail group in Russia, Friedland and his associate, Leonid Strunin,. All companies operating in the UK have to file accounts annually at Companies House with details of their finances and ownership. All bets are off now. Earlier this month, Matthew Girling, the former CEO of Bonhams, told the Art Newspaper that people should boycott Phillips, which is owned by Russians Leonid Friedland and Leonid Strunin.. Soon the brand closed and Volkova moved to Paris, where she started working as a stylist. Br a szankcis listn egyikk sincs rajta, s a cg Instagramra kitett posztja alapjn . Their retail network has almost 200 mono-brand boutiques all over Russia, among which are Armani Collezioni, Etro, Gucci, Max Mara, Audemars Piguet and Blancpain. Matthew Girling has also urged collectors to boycott Phillips. We at Phillips unequivocally condemn the invasion of Ukraine. She also designs advertising campaigns and photo shoots. At the time of the major private deal, Russia had recently emerged as a key art market player. Russia is so centralised and repressed that anyone who is in the economic and cultural elite in that country is, in a way, complicit with the current regime, he added, likening the situation to firms based in Nazi Germany and the boycotts that sought to freeze out South African-controlled businesses in the Apartheid era. The list includes a number of Russians but who are they? Aside from its owners referred to in the art world as the two Leonids the other most visible Russian in the British art world is Peter Aven, a UK-based oligarch who stepped down from a London-based investment conglomerate and a prestigious Royal Academy position after he and other oligarchs were hit by EU sanctions. Most people think Simon de Pury is still the owner., However, Matthew Girling, the former chief executive of Bonhams (he left in 2020) and now an independent consultant, tells The Art Newspaper he believes people should still boycott Phillips over its Russian links. 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