Transnational Repression against Barlyk Mendygaziyev

The Kazakhstani authorities are weaponising international anti-money laundering mechanisms to prosecute Barlyk Mendygaziyev, his relatives, colleagues and business, not only in Kazakhstan but also in the United States

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Introduction

The case of Barlyk Mendygaziyev, an American-Kazakhstani investor and philanthropist, is a prime example of how authoritarian regimes weaponise the international anti-money laundering (AML/CFT) mechanisms established on the basis of the recommendations of the Financial Action Task Force (FATF). Instead of fighting crime, AML/CFT mechanisms have become an effective tool for transnational repression by authoritarian regimes to achieve a direct negative impact on the financial rights and privacy of US citizens, US companies, US residents, and US allies.

The perennial prosecution of Barlyk Mendygaziyev also demonstrates how authoritarian states can abuse US financial intelligence information, financially isolate and drain the resources of US citizens through Strategic Lawsuits Against Public Participation (SLAPP) and overburdening the US judicial system. The reason for the financial reprisals against Mendygaziyev, his family, business, and colleagues was his work to protect human rights and the environment in Kazakhstan and to provide material and financial assistance to victims of political repression in Kazakhstan, as well as his refusal to pay bribes to oligarchs associated with the Nazarbayev family.

The existing global regulatory system established by the FATF, especially the mechanisms for international co-operation in the AML/CFT field:

• allows violations of the rights of US citizens, residents, businesses, and allies both domestically and internationally without effective countermeasures;
• creates conditions for financial repression and undermines the competitiveness of US companies operating under non-democratic regimes without the possibility to seek effective preventive or accountability methods for abuses.

The Kazakhstani authorities are trying to convince the international community that President Tokayev is carrying out democratic reforms in the country. However, the facts are to the contrary – Kazakhstan’s authoritarian regime is carrying out large-scale political repression against its critics both inside and outside the country, and the Mendygaziyev case is one of many examples of transnational repression.

In April 2024, Kazakhstani authorities reopened a politically motivated investigation against Mendygaziyev which had previously been closed against him. Law enforcement bodies added a charge of “money laundering” (Article 218 of the Criminal Code) to the earlier charges of “establishment of an organised criminal group” (Article 262 of the Criminal Code) and “tax evasion” (Article 245 of the Criminal Code). This was done in order to prosecute Mendygaziyev in the United States by abusing the FATF mechanisms of international cooperation.

Kazakhstan uses its own state-controlled law enforcement and judicial systems to fabricate criminal cases that are then transferred to Western jurisdictions, a practice known as “injustice laundering”. In September 2024, the Atyrau Regional Prosecutor’s Office filed a motion to seize funds from the accounts of Barlyk Mendygaziyev, his wife and two daughters from US bank accounts. The Kazakhstani court dismissed the motion until a judgment is handed down in the criminal case. However, a guilty verdict against Barlyk Mendygaziyev is only a matter of time, as the judicial system in Kazakhstan, according to the US Department of State, is not independent and is fully controlled by the executive branch. This means that there is a significant risk of denial of access to bank accounts and funds of both Barlyk and his business, his charitable organisation in the US, as well as his family members. All of them are US citizens. In 2021, the Kazakhstani authorities already tried to freeze the bank accounts of Barlyk Mendygaziyev and his family members in the United States, but the US Department of Justice rejected the request.

Another aspect of the political retaliation against Barlyk Mendygaziyev is the illegal takeover of his business in Kazakhstan. Kazakhstan’s special services and law enforcement agencies exerted pressure on the management of KSS, a company created by Mendygaziyev, to force it into bankruptcy and change ownership. The current management of the company forged accounting and financial documents and forged the signatures of shareholders in order to carry out an illegal re-registration of the company.

Moreover, Kazakhstan has used transnational tools and political pressure to achieve its goals. In early 2023, with the participation of the global energy corporation Chevron Corporation, which owns 50% of the shares of Tengizchevroil, the largest oil producing company in Kazakhstan, representatives of Tengizchevroil took over the property and equipment of KSS.

The Mendygaziyev case confirms Kazakhstan’s systematic abuse of anti-money-laundering legislation to carry out transnational repression of regime opponents. In February 2025, PACE deputies called for an investigation into these practices, including the use of legal entities such as Chevron Corporation in the politically motivated prosecution of Barlyk Mendygaziyev.

The persecution of Barlyk Mendygaziyev, his relatives and colleagues has received wide international publicity as one of the examples of transnational repression committed by the Kazakhstani regime. In particular, Mendygaziyev’s case is mentioned in the resolutions of the European Parliament dated 11 February 2021 and 20 January 2022 on the human rights situation in Kazakhstan and in the written declarations of the PACE deputies dated 27 June 2022 and 17 October 2023 and 5 February 2025. Specifically, in their recent written declaration, PACE deputies called for an investigation into the use of Chevron Corporation for the political persecution of Barlyk Mendygaziyev. The Mendygaziyev case is also mentioned in the US State Department’s annual country reports on the human rights practices in Kazakhstan for 2021, 2022 and 2023 as an example of selective justice and transnational repression committed by the Kazakhstani authorities. The case of Barlyk Mendygaziyev and his brother Bekizhan was mentioned in a parliamentary petition to the lower house of the Parliament of Canada (House of Commons) in 2022 as an example of repression against human rights defenders in Kazakhstan.

Corruption and large-scale human rights violations in Kazakhstan, including transnational repression, are detrimental not only to Kazakhstan, but also to the strategic interests of Western countries in the region. As Congressman Bennie G. Thompson rightly pointed out, corruption and kleptocracy in the implementation of large-scale infrastructure projects in Central Asia prevent Western companies from competing fairly with Chinese companies, which harms US strategic interests in the region. The Mendygaziyev case shows that any business in Kazakhstan can be destroyed if its founder falls out of favour with the authorities or oligarchs close to the authorities.

1. Ecoactivism and conflict with oligarch Kulibayev: The first takeover attack in 2013

Barlyk Mendygaziyev is known in Kazakhstan as the founder of KSS (Karachaganak Support Service), which for over 25 years has been engaged in the processing of oil sludge and oily water, cleaning of oil reservoirs, and other activities in the field of oil pollution elimination. Mendygaziyev has repeatedly stated that KSS was the only company in Kazakhstan that used the most advanced technologies to process oil waste without harming the environment. KSS worked in the Tengiz oil and gas field and was one of the contractors of Tengizchevroil LLP. The largest shareholder of Tengizchevroil LLP is the US company Chevron Corporation, which holds a 50% stake. Barlyk Mendygaziyev has never worked in the state service and has never done business with state-owned companies.

In July 2012, Barlyk Mendygaziyev publicly opposed the construction of an oil waste yard in a specially protected natural area of West Kazakhstan region. At the public hearings, he stated that the construction was illegal and was being carried out under the patronage of the Akim (mayor) of the region, Nurlan Nogayev. Mendygaziyev also mentioned corruption during the implementation of the project. Philanthropist and eco-activist Mendygaziyev believes that, by doing so, he put himself on the wrong side of companies under the control of powerful Kazakhstani oligarch Timur Kulibayev, namely ZhaikMunai and OralOilGas. Until December 2023, Kulibayev was Chairman of Kazenergy, an association of oil, gas and energy organisations. In 2011, he headed the state fund Samruk-Kazyna, which includes national companies with a total budget of about USD 80b.

Oligarch Kulibayev is one of the most influential figures in Kazakhstan’s oil and gas industry – a key industry to the country’s economy. A Financial Times investigation published in December 2020 revealed that Kulibayev used his influence to make super-profits in the construction of a gas pipeline from Central Asia to China. Kulibayev acted as a supervisor for a number of state-owned companies that were involved in the construction of the pipeline.

The results of the FT investigation were noted by the US Congress. On 7 May 2021 Congressman Bennie G Thompson cited the Kulibayev case as an example of corruption and kleptocracy in the implementation of large-scale infrastructure projects in Central Asia. According to the congressman, due to corruption in Kazakhstan, Western companies cannot compete fairly with Chinese companies, which harms US strategic interests in the region. Bennie G Thompson called for adoption of the Countering Russian and Other Overseas Kleptocracy (CROOK) Act, which aims to help civil society activists in authoritarian states.

According to Mendygaziyev, in 2012–13 Akim Nurlan Nogayev helped implement the interests of oligarch Kulibayev in the oil and gas sector of the West Kazakhstan region. Mendygaziyev prevented Akim Nurlan Nogayev, acting in the interests of oligarch Kulibayev, from executing his criminal plans by raising the issue of large-scale environmental pollution and corruption in the regional authorities. Mendygaziyev was then subjected to prosecution, which he points out was backed by Kulibayev and Nogayev.

The Kazakhstani law enforcement agencies fabricated charges against Mendygaziyev for alleged “non-payment of taxes”. The anti-corruption agency, tax inspection, prosecutor’s office, department of sanitation and fire department came to KSS with inspections. As a result of political persecution, Mendygaziyev was arbitrarily arrested and kept in detention from 22 July 2013 to 17 September 2013. The case received publicity, which caused Mendygaziyev’s release from custody, but a Kazakhstani court imposed a fine and a one-year ban on entrepreneurial activity.

In 2014, there was another episode of pressure on Barlyk Mendygaziyev’s business. According to Mendygaziyev, the head of the board of the National Chamber of Entrepreneurs of Kazakhstan “Atameken” Ablay Myrzakhmetov demanded that Barlyk stop engaging in eco-activism, sell all his business to him and leave Kazakhstan. Mendygaziyev refused. After that, KSS building LLP, a company belonging to the KSS group, came under attack. In 2015, KSS building LLP’s main client came under pressure from the government of Kazakhstan to cease its co-operation with KSS building LLP. As a result, KSS building LLP was forced into bankruptcy. At the time, the Chairman of the Atameken was Timur Kulibayev. Thus, Mendygaziyev emphasises, oligarch Kulibayev destroyed part of his business.

In 2016, the company held an IPO, which resulted in 100 per cent of the company’s shares being distributed among its 120 employees [The market value was about $40 million]. Mendygaziyev was forced to resort to such a move to prevent attempts by oligarchs close to Kazakhstan’s top leadership to take over his business. Since then, Mendygaziyev has been an investor in KSS and a consultant to the company. Mendygaziyev was forced to leave Kazakhstan. He currently resides in the United States.

2. Mendygaziyev’s human rights and opposition activities

In March 2020, Barlyk Mendygaziyev founded Freedom Kazakhstan Foundation, which was officially registered in the USA on 1 September 2020. The purpose of the organisation is to provide financial and legal assistance to victims of political repression in Kazakhstan and to promote the inclusion of high-level Kazakhstani officials and members of Nursultan Nazarbayev’s family on the list of sanctions under the Magnitsky Act. Freedom Kazakhstan Foundation, with funds donated by Mendygaziyev, provided financial assistance to help pay attorneys’ fees for politically persecuted individuals. It has also paid fines imposed on participants of peaceful assemblies and provided financial support to the families of political prisoners.

In addition, Barlyk Mendygaziyev has been involved in raising awareness about human rights violations, large-scale corruption schemes and corporate raids in Kazakhstan during meetings and events with members of the EU states, members of the European Parliament, US congressmen and senators, and representatives of international human rights organisations.^1,2,3,4

Mendygaziyev has publicly expressed his support for the peaceful opposition movements Democratic Choice of Kazakhstan (DCK) and Koshe Partiyasy (“Street Party”). The Kazakhstani authorities labelled these movements “extremist”, accusing them of “inciting social discord”, “forming a negative image of the authorities” and “provoking protest sentiments”. The Kazakhstani court passed the verdicts secretly, without the right of defence or appeal. Over 10,000 supporters of DCK and Koshe Partiyasy across Kazakhstan have been persecuted since 2017. In its resolutions, the European Parliament has repeatedly recognised the peaceful nature of the activities of DCK and Koshe Partiyasy and condemned the political persecution of activists of these movements.^1,2,3 The US State Department’s 2023 country reports on the human rights practices in Kazakhstan notes that among the political prisoners in Kazakhstan there are members of the DCK and Koshe Partiyasy. The same report indicates that Kazakhstan has resorted to selective justice against Bekizhan Mendygaziyev and other relatives and colleagues of Barlyk Mendygaziyev in order to pressure him in this way.

3. Criminal prosecution in retaliation for human rights work

Barlyk Mendygaziyev’s human rights, charity and opposition activities caused another politically motivated persecution.

On 6 November 2020, armed persons in masks and not displaying signs of identification broke into the territory of KSS in Aksay. They are presumed to have been officers of the Ministry of Internal Affairs and National Security Committee (KNB). In the absence of attorneys, searches were conducted and computers, company seals, documentation, as well as money of KSS and its employees, were seized.

After that, it became known that the Economical Investigate Department (DER) of the Financial Monitoring Agency of the Republic of Kazakhstan started an investigation on suspicion of “tax evasion” (Article 245 Part 3 of the Criminal Code) and “management of an organised criminal group” (Article 262 Part 1 of the Criminal Code). According to the KNB and DER, Barlyk Mendygaziyev “organised a criminal group”, “which included” his relatives, employees of KSS and business associates.

The persecution was initiated by the head of Kazakhstan’s National Security Committee (KNB), Karim Massimov, who threatened Mendygaziyev. Through an intermediary – businessman Bergey Ryskaliyev – Massimov demanded that Mendygaziyev renounce his public and charity activities and publicly “repent”. Otherwise, as Ryskaliyev reported, KSS would be destroyed, the company’s employees and Barlyk’s relatives would be imprisoned, and he would be extradited from the United States. Mendygaziyev firmly refused to comply with Massimov’s conditions.

On 26 October 2020, a Kazakhstani court arrested Barlyk Mendygaziyev in absentia, and on 7 November 2020, the Kazakhstani authorities put him on an international wanted list. In December 2020, Interpol removed the Red Notice against Barlyk Mendygaziyev and removed him from the wanted list. This was followed by a court decision in absentia in Kazakhstan to revoke Mendygaziyev’s Kazakh citizenship. According to Mendygaziyev, based on this decision, a takeover of the agricultural lands of KSS Farming was conducted in favour of Timur Kulibayev’s companies ZhaikMunai and OralOilGas.

Notably, the KNB and DER linked the current case against Barlyk Mendygaziyev to a previous prosecution he faced back in 2013. The indictments noted that after his conviction in 2013, Barlyk Mendygaziyev “did not draw the proper conclusions for himself” and “consciously decided to continue engaging in criminal activity”. It should be noted that the sentence received by Barlyk Mendygaziyev in 2013 was cancelled three years later. However, eight years later, the Kazakhstani authorities decided to use this conviction as an aggravating circumstance in a new political prosecution.

Prosecution of Barlyk Mendygaziyev’s relatives and colleagues

From November 2020 to May 2021, investigators and KNB representatives, without identifying themselves, interrogated KSS employees without the presence of defence attorneys and referred to them as “members of a criminal group”. The interrogations were conducted even at night. KSS employees were forced to give false testimony against themselves and Barlyk Mendygaziyev, and were intimidated that their families would face criminal prosecution or physical danger if they refused. Criminal cases were initiated against Barlyk Mendygaziyev’s colleagues – Natalia Dauletiarova, Baurzhan Jusupov and Rinat Batkayev.

The authorities completely paralysed the activities of KSS. KSS bank accounts were frozen: the company could not pay contractors, remit taxes or pay salaries.

On 17 May 2021, Atyrau City Court No. 2 sentenced Natalia Dauletiarova and Baurzhan Jusupov to five years of restriction of liberty, and Rinat Batkayev, Dauletiarova’s assistant, to three and a half years of restriction of liberty. They were found guilty of “tax evasion” (Article 245 of the Criminal Code) and/or “issuing false invoices” (Article 216 of the Criminal Code). They were also charged with “organisation and participation in an organised criminal group” (Article 262 of the Criminal Code), but the court acquitted them of these charges. However, on 26 July 2021, the Atyrau Court of Appeal overturned the decision of the court of first instance and found Dauletiarova, Jusupov and Batkayev guilty also of “organisation and participation in an organised criminal group” and replaced the restriction of liberty with real prison sentences. Jusupov was sentenced to five and a half years’ imprisonment, Dauletiarova to seven years’ imprisonment and Batkayev to five years’ imprisonment.

A politically motivated criminal case was also fabricated against Barlyk Mendygaziyev’s older brother, Bekizhan Mendygaziyev. Bekizhan provided supply services for KSS, including food deliveries. He also made money transfers at Barlyk’s request to pay politically motivated fines issued for participation in peaceful assemblies and to support the families of political prisoners. During Bekizhan’s interrogations, secret services, police and prosecutors asked about these money transfers.

In November 2020, during a search in the temporary accommodation room at KSS, police allegedly “found” a bag of marijuana in one of the work jackets. Investigators stated that this jacket “belonged to Bekizhan Mendygaziyev“. During the search, no one was present in the room except police and KNB officers. A team of six investigators from Atyrau, Uralsk and Astana was set up to prosecute Bekizhan Mendygaziyev in the case of the allegedly found bag of marijuana. The number of investigators involved was grossly disproportionate for this type of case and confirms the political motivation of the prosecution.

In June 2021, Bekizhan Mendygaziyev faced new political charges of “participation in an organised criminal group” (Article 262 Part 2 of the Criminal Code), “tax evasion” (Article 245 Part 3 of the Criminal Code), “money laundering” (Article 218 Part 3 of the Criminal Code) and “invoicing without actually performing work” (Article 216 of the Criminal Code). It is noteworthy that Bekizhan Mendygaziyev did not have any labour relations with KSS, nor did he have any tax reporting authority.

On 3 June 2021, Bekizhan Mendygaziyev was arbitrarily detained. On 5 June 2021, he was placed by a court ruling in the pre-trial detention facility, where he was kept under arrest for more than one and a half years. The court ignored the fact that Bekizhan has chronic hepatitis C, kidney failure, chronic colitis and an intervertebral hernia. Since November 2020, Bekizhan has been hospitalised twice as his health deteriorated due to numerous interrogations and pressure from the KNB and the DER.

The trial of Bekizhan Mendygaziyev was conducted with an accusatory bias, without ensuring the right to a fair and independent trial. As a result, Bekizhan Mendygaziyev was found guilty of all politically motivated charges. The case with a bag of marijuana planted by police officers was dropped. On 19 December 2022, Bekizhan Mendygaziyev was sentenced to five years and one month in prison.

The European Parliament, in its resolution dated 20 January 2022 on the situation in Kazakhstan, recognised Bekizhan Mendygaziyev, Natalia Dauletiarova, Baurzhan Jusupov and Rinat Batkayevas political prisoners and called for their immediate release. The case of Bekizhan Mendygaziyev is also mentioned in the written declarations of PACE deputies dated 27 June 2022, 17 October 2023, 2 October 2024 and 5 February 2025 calling for the release of political prisoners of Kazakhstan. The case of Bekizhan Mendygaziyev is mentioned in the 2023 Country Reports on Human Rights Practices in Kazakhstan as an example of transnational repression by the Kazakhstani authorities.

On 7 February 2023, the appellate court of the Atyrau Regional Court, in violation of the right to a fair and independent trial, upheld the sentences of Bekizhan Mendygaziyev. According to Kazakhstani law, he has been eligible for parole since 2023. This was yet another confirmation that in fact the Kazakhstani regime was using Bekizhan Mendygaziyev as a hostage to have influence over Barlyk Mendygaziyev.

Political persecution of other relatives of Barlyk Mendygaziyev

Apart from Bekizhan Mendygaziyev, other relatives of Barlyk Mendygaziyev have faced political persecution and pressure.

• On 21 December 2020, police officers and armed officers of special police units searched the houses and flats of Barlyk Mendygaziyev’s brothers Kalyk and Erik Mendygaziyev. The formal basis for the searches was a fabricated criminal case of alleged “theft of ten horses”. At the same time, the police refused to inspect the premises where horses could be kept, but did search the rooms in the house, including wardrobes and under beds. Kalyk was additionally accused of “stealing 300 metres of electric cable“. Both fabricated cases were incredibly absurd: Kalyk Mendygaziyev’s property was searched while he was in hospital. Kalyk Mendygaziyev’s wife, children and grandchildren were pressured. Due to a serious illness, Kalyk was practically blind at the time, both of his legs were amputated, and he was wheelchair-bound. The police interrogated Kalyk directly in the hospital, which can be regarded as ill-treatment and torture. Political persecution, pressure by the secret services, and endless interrogations in the hospital became decisive factors in the significant deterioration of Kalyk Mendygaziyev’s health and, in March 2023, led to his death.
• Arman Mendygaziyev is the nephew of Barlyk Mendygaziyev, who was in charge of material supply coordination for KSS shift workers. The DER stated that he was “involved in criminal acts” that had been “committed by Barlyk Mendygaziyev and Bekizhan Mendygaziyev”. On 3 June 2021, Arman’s house and car were searched without court authorisation, and his phone was seized. A politically motivated investigation was launched against Arman on charges of “participation in an organised criminal group” (Article 262 of the Criminal Code), “tax evasion” (Article 245 of the Criminal Code) and “money laundering” (Part 3, Article 218 of the Criminal Code). However, the case was later closed.
• Bulat Dushanov is the nephew of Barlyk Mendygaziyev’s wife, who was in charge of logistics at KSS. On 24 June 2021, DER officers subjected Bulat Dushanov to interrogation, demanding he testify against Bekizhan Mendygaziyev, saying that in 2019 Bulat allegedly transported illegal cash for Bekizhan.

New charges against Barlyk Mendygaziyev

In April 2024, the Department of Economic Investigations for the Atyrau region reopened the pre-trial investigation against Barlyk Mendygaziyev. The “new investigation” is in fact a reopened criminal case on the old charges (of “establishment of an organised criminal group” – Article 262 of the Criminal Code and “tax evasion” – Article 245 of the Criminal Code), which was initiated against Barlyk Mendygaziyev, his relatives and colleagues back in 2020. However, this time another charge was added – “money laundering” (Article 218 of the Criminal Code). This was intended to achieve the prosecution of Barlyk Mendygaziyev in the US through the abuse of FATF mechanisms, in particular on anti-money laundering within the framework of Kazakhstan’s international co-operation with the EU and the US. The Kazakhstani authorities are unfairly using their own fully state-controlled law enforcement and judicial systems to fabricate trials, which are then transferred to Western jurisdictions. This method is referred to as “injustice laundering” and is widely used by the Kazakhstani authorities to carry out transnational repression.

The criminal prosecution was reopened on the basis of the testimony of former KSS director Bauyrzhan Jusupov and other employees of the company. In 2021, Jusupov, as well as other colleagues of Mendygaziyev, was sentenced to 5.5 years in prison on trumped-up charges. However, he later co-operated with the investigation and was released early. In fact, Jusupov was blackmailed into giving false testimony against Barlyk Mendygaziyev. The case file states that Barlyk Mendygaziyev involved Jusupov in an organised criminal group and “guided his actions”.

Other managers of the company were also pressurised. In June 2024, Salavat Tashtemirov, one of the owners and head of KSS, reported that he and company employees were again summoned for questioning by the KNB and DER as witnesses in the criminal case. According to Tashtemirov, police officers threatened to deprive him of parental rights to his four adopted children if he did not co-operate with the KNB.

Thus, the charges against Barlyk Mendygaziyev are based on witness statements obtained as a result of threats, pressure and criminal prosecution (as in the case of Bauyrzhan Jusupov). Such evidence cannot be considered unbiased.

It should be noted that the materials of the criminal case indicate that Barlyk Mendygaziyev is a citizen of the Republic of Kazakhstan, although this is not the case. In 2020, a court decision was taken in absentia in Kazakhstan to deprive Barlyk Mendygaziyev of Kazakhstani citizenship due to the fact that he had previously obtained Russian citizenship.

In September 2024, the Atyrau Regional Prosecutor’s Office filed a motion to seize funds from the accounts of Barlyk Mendygaziyev, his wife and two daughters from accounts in US banks. However, the court dismissed the motion until a judgement is passed in the criminal case. In 2021, the Kazakhstani authorities already tried to freeze the bank accounts of Barlyk Mendygaziyev and his family members in the United States, but the US Department of Justice rejected the request.

4. Illegal takeover of KSS with the participation of Chevron Corporation oil company

Illegal takeover of KSS property

Since January 2017, KSS has been a contractor of Tengizchevroil LLP (“Tengizchevroil”), handling automated cleaning of oil reservoirs and processing of oil sludge and oily water at the Tengiz field [The Tengiz field has been developed since 1993 by the joint venture Tengizchevroil, whose shareholders are Chevron (50% of shares), ExxonMobil Kazakhstan Ventures Inc (25%), KazMunayGas (20%) and LUKArco (5%)]. Barlyk Mendygaziyev and KSS invested financial (more than USD 15 000 000) and material resources in the construction of an industrial depot on the territory of the Tengiz field.

As stated by KSS [Attachment 1], in early April 2023, with the participation of the global energy corporation Chevron Corporation, which owns 50% of the shares of Tengizchevroil, the largest oil producing company in Kazakhstan, representatives of Tengizchevroil took over the property and equipment of KSS, which was located on the territory of the industrial depot of KSS. The takeover was carried out in the interests of West Dala and Expert Diagnostics. West Dala is owned by Tolegen Balgimbayev, son of former Prime Minister of Kazakhstan Nurlan Balgimbayev. Also by means of bribing KSS engineers, the business process for automated cleaning of oil tanks and processing of oil sludge and oily water developed by KSS Company was stolen. KSS management decided to dismiss these engineers, but immediately afterwards, Salavat Tashtemirov, the director of KSS, came under pressure from the police and the authorities of the Burlin District of West Kazakhstan region. Following the theft of KSS property and process technology, its leading specialists were employed by West Dala. This happened through the mediation of Tengizchevroil.

KSS states that Tengizchevroil has not yet fulfilled its contractual obligations to KSS. In order to drive KSS into bankruptcy and not fulfil its contractual obligations Tengizchevroil filed a civil lawsuit against KSS in December 2022 in the Atyrau Regional Court. As of April 2023, when the illegal takeover of KSS’s industrial depot and property took place, the court had not yet passed a final judgement. It was not until August 2023 that a politically motivated judgement was handed down on the appropriation of KSS’s industrial capacity. KSS reportedly repeatedly warned Tengizchevroil against taking over KSS’s industrial facilities without a final court judgement. It is likely that Tengizchevroil was certain that the court decision would be favourable for them, which may indicate a criminal conspiracy with the Kazakhstani authorities. In fact, KSS was purposefully driven into bankruptcy to facilitate its illegal takeover in the interests of West Dala.

It is worth noting that before Barlyk Mendygaziyev fell out of favour with the Kazakhstani authorities and the politically motivated prosecution was initiated against him, Tengizchevroil characterised KSS as “a reliable professional contractor in the field of automated cleaning of oil reservoirs and oil sludge processing” and had no complaints about KSS’s performance [Attachments 2, 3].

After Tengizchevroil unilaterally terminated its contract with KSS, Tolegen Balgimbayev’s company West Dala was awarded the tender to process oil sludge and oily water. According to KSS, West Dala specified in its bidding documents the list of technical staff and equipment that actually belonged to KSS. Tengizchevroil ignored these facts and awarded the contract to West Dala [Attachment 1]. According to West Dala, they have been co-operating with Tengizchevroil, providing waste management services since 2012.

According to KSS, in the two and a half years after Tengizchevroil unilaterally breached the contract, West Dala did not actually process oil sludge and oily water, but simply buried these hazardous toxic oil sludges near the settlements of Kulsary and Dossor in the Atyrau region. At the same time, as KSS notes, West Dala provides processing services for oil sludge at prices inflated by at least 50 per cent compared to KSS. One example of an improper and dangerous approach to oil waste disposal was recorded in October 2023 – journalists and Kazakhstani officials recorded on video that oil waste was simply poured onto the ground near the village of Kulsary in the Atyrau region.

The tragic incident that occurred in February 2023 at the Tengiz field is a vivid example of West Dala’s violations of safety standards for oil waste management. At that time, a tanker of one of West Dala’s vacuum truck exploded while transporting oil sludge. As a result, one worker died and another was seriously injured. West Dala confirmed that the incident occurred “at the waste management facility“.

Unfortunately, the global energy company Chevron Corporation, which owns a 50% stake in Tengizchevroil, Kazakhstan’s largest oil production company, and in fact has become involved in the transnational prosecution of Mendygaziyev and his associates, has not commented on the illegal takeover of KSS property and equipment organised by Tengizchevroil. In addition, it is not publicly known whether Chevron Corporation has conducted an independent investigation into possible environmental violations by West Dala during the processing of oil sludge and oily water and the disposal of toxic oil industry waste near the Kulsary and Dossora communities in the Atyrau region.

It is also worth mentioning that the development of the Tengiz oil and gas field, which is Kazakhstan’s second-largest oil reserve, is linked to a major corruption scandal involving former Kazakh President Nursultan Nazarbayev and former Prime Minister Nurlan Balgimbayev. The scandal became internationally known as “Kazakhgate”. In 2003, US law enforcement agencies accused American businessman James Giffen of paying bribes to Nursultan Nazarbayev and Nurlan Balgimbayev in the early 1990s to secure oil production contracts at the Tengiz field for the benefit of Chevron Corporation. One could argue that Kazakhgate gained momentum when Nurlan Balgimbayev’s son’s company obtained contracts from Tengizchevroil under dubious circumstances.

Illegal takeover of KSS

After the property and production facilities of KSS were illegally taken over, the process of the takeover of the company’s legal structure was started. According to Barlyk Mendygaziyev, the current management of the company – Salavat Tashtemirov (director), Orynai Dzhusupova, Baurzhan Dzhusupov, Saule Almukhambetova, Khalida Mustafaeva, Gulnara Usmanova, Venera Bialieva – are engaged in this process. They operate under the pressure and cover of the National Security Committee (KNB) and the Department of Economic Investigations (DER).

Particularly, the company’s management forged documents and forged signatures of shareholders in order to carry out illegal re-registration of the company. Thus, on 10 June 2024, an extraordinary general meeting of the company’s shareholders was allegedly held. The outcome of the meeting was that the general voting of shareholders made two decisions: to change the legal address of the company (from Almaty to Aksay) and to amend the company Charter.

However, in fact, there was no meeting of shareholders, and their signatures under the minutes of the meeting were forged. This became known only in December 2024, when the shareholders of the company received the minutes of the meeting. After that, they submitted a statement to the Police Department of West Kazakhstan region, where they indicated that they had not known about nor participated in the meeting on 10 June 2024 and that their signatures were forged. The shareholders asked to initiate a pre-trial investigation into the actions of the company’s management. However, on 15 January 2025 the police department left this application without consideration on the grounds that “the fact of forgery was not established”.

On 26 January 2025 the shareholders’ attorney requested that the Republican Chamber of Forensic Experts of the Republic of Kazakhstan conduct a specialised technical examination of the minutes of the shareholders’ meeting KSS dated 10 June 2024 to determine whether there were signs of document assembly from multiple sources. The expert came to the conclusion that the document was assembled from parts of different documents,i.e. forged. On the basis of this conclusion, on 20 February 2025, the Aksay Police Department opened a criminal case against the management of KSS on suspicion of “document forgery” (Article 385 of the Criminal Code). The shareholders of the company also filed a private lawsuit against the management of KSS. On 25 February 2025, the court initiated proceedings on the lawsuit.

5. The international community called the Mendygaziyev case an example of transnational repression committed by Kazakhstan

The persecution of Barlyk Mendygaziyev, his relatives and colleagues has gained widespread international publicity as one of the clearest examples of transnational repression carried out by the Kazakhstani regime.

• The Mendygaziyev case is mentioned in the European Parliament resolutions dated 11 February 2021 and 20 January 2022 on the human rights situation in Kazakhstan. The European Parliament recognised the defendants in the Barlyk Mendygaziyev case – Bekizhan Mendygaziyev, Bauyrzhan Dzhusupov, Natalia Dauletiarova and Rinat Batkayev – as political prisoners and called for their immediate release.
• In the European Parliament resolution of 17 January 2024 “On the EU Strategy for Central Asia”, MEPs called on Kazakhstan to release all political prisoners. The case of Bekizhan Mendygaziyev was mentioned as an example of political repression in the country.
• The Mendygaziyev case is mentioned in the written declarations of the PACE deputies dated 27 June 2022, 17 October 2023 and 5 February 2025. In particular, in the recent declaration, PACE deputies called for an investigation into the use of Chevron Corporation for political persecution of Barlyk Mendygaziyev.
• The US Department of State, in its annual reports on the human rights situation in Kazakhstan for 2021, 2022 and 2023 noted the Barlyk Mendygaziyev case as an example of selective justice and transnational repression by the Kazakhstani authorities.
• The case of Barlyk Mendygaziyev and his brother Bekizhan in 2022 was highlighted in a parliamentary petition to the lower house of the Parliament of Canada (House of Commons) as an example of repression against human rights defenders in Kazakhstan.

Conclusions

The Kazakhstani regime is trying to block Barlyk Mendygaziyev’s human rights and opposition activities, to force him to stop supporting Kazakhstan’s civil society and to engage internationally in the defence of human rights in Kazakhstan.

In pursuit of these goals, Kazakhstan’s authoritarian regime has fabricated a criminal case against Mendygaziyev and is destroying his business in Kazakhstan. The Barlyk Mendygaziyev case is further evidence that Kazakhstan systematically abuses anti-money laundering legislation to persecute its opponents around the world. The authors of the report share the recommendation of Human Rights Watch to downgrade Kazakhstan’s status in the FATF (the international Financial Action Task Force, FATF) due to numerous cases of abuse of anti-money laundering legislation.

The US Department of State’s 2023 report on the investment climate in Kazakhstan notes that, despite institutional and legal reforms, corruption, excessive bureaucracy and arbitrary law enforcement remain a significant problem in Kazakhstan. The report also notes that it is difficult for investors to defend their interests in Kazakhstan’s courts, and that there are still instances of owners of thriving and developed businesses being forced to sell their businesses to companies affiliated with high-ranking and influential individuals. There is a continuing trend for the Kazakhstani authorities to strengthen their regulatory role in relations with investors.

In February 2025, PACE deputies called for an investigation into transnational repression organised by Kazakhstan, including the use of legal entities such as the Chevron Corporation involved in the political persecution against Barlyk Mendygaziyev.

The transnational repression of Mendygaziyev demonstrates the extremely dangerous influence and ability of Kazakhstan’s dictatorial regime, both for the United States and Western countries in general, to engage and use global companies such as Chevron Corporation for political persecution. In this way, global corporations, in exchange for access to the development and extraction of minerals in Kazakhstan, actually become hostages and accomplices to the criminal actions and corruption of the Kazakhstani regime and share responsibility for the environmental damage and related social problems.

Attachment 1. Notification letter from KSS to Tengizchevroil LLP on the situation with the illegal takeover of KSS property

Attachment 2. Evaluation of KSS as a reliable and professional contractor by Tengizchevroil LLP

Attachment 3. KSS Company’s Recognition Certificate “For Improvement of KPI Metrics”

Read also:

1. Transnational Repression against Barlyk Mendygaziyev. Political Persecution in Response to Human Rights Work and Eco-Activism. The Role of Chevron Corporation in Corporate Raiding in Kazakhstan (July 5, 2024)
2. Political Persecution of Barlyk Mendygaziyev. NSC Head Takes Human Rights Activist’s Family and Colleagues Hostage (August 11, 2021)