Chelsea chief quits governor's post

Published on Thursday 3 July 2008 22:11

ROMAN Abramovich, the Russian billionaire and owner of Chelsea Football Club, has quit as governor of a remote Arctic region, ending what was effectively a deal with former president Vladimir Putin to give something back to the country that made him rich.

The man ranked as Russia's second richest businessman by Forbes magazine is reported to have promised Mr Putin that he would take on some civic responsibility after earning a fortune in the chaotic 1990s.

Mr Abramovich, 41, invested hundreds of millions of dollars in the desolate region of Chukotka after his election as governor in 2000.

He tried to step down in 2006, but Mr Putin insisted he stay on. However, the Kremlin said the new president, Dmitry Medvedev, had approved his resignation yesterday after a request from Mr Abramovich.

His spokesman insisted the decision did not mean the Chelsea chief was cutting his links to Russia. "His main home is here. Mr Abramovich is still very much involved not only in Chukotka but in Russia in general; he has major investments here," he said.

Mr Abramovich has a reputed wealth of 11.6 billion, mainly held through his private investment vehicle Millhouse Capital. His business interests include steel plants and coal mines in Russia and the United States.

Dmitry Badovsky, the deputy director of social science at Moscow State University, said: "He came to the post of governor (of Chukotka] to take on some sort of social responsibility.

"It was a sort of contract. In my opinion, this contract was agreed to for the duration of Putin's rule, and now he has fulfilled it and it hasn't been prolonged."