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Russia to Reportedly Use Confiscated American Firm to Supply Military Rations

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Amira Barkhush
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Russia to Reportedly Use Confiscated American Firm to Supply Military Rations
Russian army’s conscripts, wait for the dispatch at the military registration and enlistment office in the southern Russian city Stavropol, on April 21, 2011. (Source: Getty Images)

The Kremlin plans to use a confiscated US company to supply food to the Russian military, Reuters reported on April 17, citing a document seen by the agency.

A letter from the new management of “Glavprodukt,” reviewed by the outlet, states that the takeover was necessary to stabilize production, particularly for upcoming deliveries to Russia’s National Guard and the Ministry of Defense.

“Glavprodukt” is currently under the control of Russia’s Federal Agency for State Property Management (Rosimushchestvo), after the company was seized from its founder, Los Angeles-based Leonid Smirnov.

According to a March report by RBC, Russian prosecutors accuse Smirnov and his affiliated companies of transferring approximately 1.38 billion rubles (around $17 million) out of Russia between 2022 and 2024.

On March 12, the Moscow Arbitration Court froze Glavprodukt’s assets at the request of the Prosecutor General’s Office. A hearing in the case is scheduled for April 18. Smirnov denies any wrongdoing and describes the lawsuit as a “Russian-style corporate raid” aimed at expropriating his business.

According to Reuters, around a dozen European companies have also lost their Russian subsidiaries as a result of decrees issued by Russian leader Vladimir Putin. Among them are Danish brewer Carlsberg and Finnish energy giant Fortum.

A notice published in the US Federal Register on April 10 confirms that US President Donald Trump has extended the national emergency and related sanctions against the Russian government for one year, originally enacted under Executive Order 14024.

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