Two RT Employees Charged in $10 Million Covert Propaganda Scheme

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Tejaswini Deshmukh
Tejaswini Deshmukh
Intrigued by the intersection of finance and technology, I delve into the latest RegTech advancements. With a keen eye for unraveling the complexities of compliance, I dissect current financial news and frauds.

In a significant move to counter foreign influence in American media, the U.S. Department of Justice (DOJ) has unsealed an indictment against two RT employees, Kostiantyn Kalashnikov, 31, and Elena Afanasyeva, 27. These individuals are charged with conspiring to violate the Foreign Agents Registration Act (FARA) and conspiring to commit money laundering. The indictment alleges that the two RT employees secretly funneled nearly $10 million to a U.S.-based online content creation company to spread pro-Russia propaganda aimed at U.S. audiences.

A Covert Influence Operation by RT Employees

The indictment, filed in the Southern District of New York, accuses the RT employees of orchestrating a sophisticated and covert operation to influence American public opinion through RT, a Russian state-controlled media outlet. Funded and directed by the Russian government, RT has long been considered a tool for Kremlin propaganda. The two RT employees are accused of covertly financing a Tennessee-based company, known as “U.S. Company-1,” which produced thousands of videos aimed at intensifying divisions within the United States.

Since November 2023, U.S. Company-1 has posted nearly 2,000 videos on social media platforms like YouTube, TikTok, Instagram, and X, gaining over 16 million views on YouTube alone. These videos discuss sensitive political topics such as immigration, inflation, and other domestic and foreign policy issues. While the content varies, much of it aligns with the objectives of the Russian government and RT, aiming to sow discord in American society.

Manipulating the U.S. Media Ecosystem

To carry out their covert campaign, the RT employees used false identities and operated behind the scenes at U.S. Company 1. Kalashnikov, one of the RT employees, posed as an outside editor, managing content, supervising funding, and overseeing hiring processes. Meanwhile, Afanasyeva, another RT employee, used fake personas like Helena Shudra and Victoria Pesti to direct the production and dissemination of hundreds of videos. The indictment reveals how these RT employees provided instructions to U.S. Company-1 staff, often pushing narratives that favored Russian interests. For instance, after a terrorist attack in Moscow in March 2024, Afanasyeva allegedly directed the company to blame Ukraine and the United States, challenging mainstream media reports.

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The secretive nature of this operation is highlighted by the fact that U.S. Company-1 never disclosed its funding sources or its relationship with RT. The company and its founders did not register with the U.S. Attorney General as an agent of a foreign principal, as required by FARA.

Financial Maneuvering and Money Laundering Charges Against RT Employees

The indictment also describes a complex financial scheme involving the use of shell companies in Turkey, the United Arab Emirates, and Mauritius to funnel nearly $10 million to U.S. Company 1. The funds, representing almost 90% of the company’s bank deposits, were often disguised as payments for electronics and other goods. For example, a $318,800 wire transfer from a shell company in Turkey in March 2024 was labeled as a purchase of iPhone 15 Pro Max devices.

This financial maneuvering forms the basis of the money laundering charges against the RT employees. If found guilty, they could face a maximum of five years in prison for conspiring to violate FARA and up to 20 years for conspiring to commit money laundering. Both RT employees are currently at large.

U.S. Officials Condemn Actions by RT Employees

U.S. officials have strongly condemned this latest example of foreign interference. The seriousness of the charges was emphasized by Attorney General Merrick B. Garland, who stated, “Attempts by an authoritarian regime to exploit our country’s free exchange of ideas in order to covertly further its own propaganda efforts will not be tolerated by the DOJ.” Deputy Attorney General Lisa Monaco emphasized the Justice Department’s commitment to uncovering and combating foreign malign influence campaigns carried out by individuals such as these RT employees.

FBI Director Christopher A. Wray further highlighted the threat posed by such covert operations, describing them as “attacks on our democracy.” Assistant Attorney General Matthew G. Olsen of the DOJ’s National Security Division stressed the importance of protecting America’s open society from foreign exploitation by RT employees and other foreign actors.

The indictment of the two RT employees marks a significant step in the U.S. government’s efforts to combat foreign interference in its media ecosystem. As the legal proceedings unfold, they will test the U.S. judicial system’s ability to hold accountable those who attempt to manipulate public opinion and undermine democratic processes. This case also highlights the ongoing need for vigilance in protecting American society from covert influence operations led by foreign state actors.

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