Mishustin Mikhail Vladimirovich

Biography

Mikhail Mishustin was born on March 3, 1966 in Moscow.

In 1989 he graduated from the Moscow Machine Tool Institute (now Moscow State Technological University "STANKIN") with a degree in computer-aided design systems, in 1992 - graduate school of this institute.

1992: Director of the Test Laboratory of the International Computer Club

From 1992 to 1995, he was the director of the test laboratory of the International Computer Club, a non-profit organization that actually brought such multinational technology giants as Apple, Intel, Hewlett-Packard, IBM, Motorola and others to the Russian market.

December 1993 - co-founder of Intelligent Systems.

1996: Chairman of the Board of the International Computer Club

In 1995-1996, he served as deputy general director of the International Computer Club, chairman of the board of the International Computer Club.

Mikhail Mishustin was in those years personally familiar with Stephen Jobs (Apple), Bill Gates (Microsoft), Alan Ashton (Word Perfect), Jim Kavanaugh (IBM), Philip Kahn (Borland), Steve Appleton (Micron Technology), Greg Herrick (Zeos) and some of them were friends.

1998: Deputy Head of the Tax Service of Russia

In August 1998, he was appointed deputy head of the State Tax Service of Russia.

1999: Deputy Minister of the Russian Federation for Taxes and Duties

In 1999-2004 - Deputy Minister of the Russian Federation for Taxes and Duties.

2004: Head of the Real Estate Cadastre Agency

From 2004 to 2006, he headed the Federal Agency for the Cadastre of Real Estate.

In 2007-2008, he led the Federal Agency for the Management of Special Economic Zones.

2008: President of UFG Group. The combined income of the family over several years in tens of millions of dollars

In March 2008, he was appointed president of the UFG group of companies (OFG Invest), one of the largest companies operating in Russia in the field of asset management, direct investment, as well as mutual investment funds in conjunction with Deutsche Bank.

Mishustin became president of UFG Capital Partners and managing partner of UFG Asset Management, which are part of the UFG group of companies. As a partner, he was introduced to the owners with a share of 25% in the funds already created at that time, and when creating new funds, he also became a founder with a share of 25%.

The partners then developed joint plans for the future development of the business. It was decided that in addition to participating in the development of existing areas, Mikhail Mishustin will also oversee the expansion of UFG's international presence, the development of venture capital investment and technological investments, as well as infrastructure and agricultural projects.

One of the projects led by Mikhail Mishustin was the agricultural project in Bryansk "UFG Agro Partners," in which the company began investing in May 2008. There was an abandoned land overgrown with shrubs. And for several years, 38 thousand hectares have organized high-tech agricultural production of wheat, barley, soybeans. The company was one of the largest taxpayers in the region and one of the key businesses creating jobs. More than $30 million of investments were invested in the project, a grain dryer was built, equipment was purchased, advanced Western agricultural technologies were introduced, thanks to which it was possible to more than triple the yield per hectare compared to the yield of agricultural land in the region. Advanced soil-saving technologies for plowing land and crop rotation were used. Subsequently, in 2014, the business was sold to one of the largest Russian agricultural holdings in Russia with an increase in the project cost in ruble equivalent almost twice. The project successfully realized its potential, laid down by partners at the stage of its formation in 2009.

In April 2008, Mikhail Mishustin established a family trust for the beneficial ownership of all his assets related to UFG. The beneficiaries of the trust were Mikhail Mishustin and his family. This is common practice for partners of large investment companies around the world.

Through this trust, Mishustin owned 25 percent shares in funds already created at the time of his arrival and, when creating new funds, became the founder with a share of also 25%.

His remuneration as a key leader in 2009, for example, amounted to about 79 million rubles, or about $2.5 million, which he declared in 2010. It is important to note that most of this remuneration is bonuses for transactions that, if successful, are significantly higher than salaries. This is a common practice for investment companies.

In March 2010, Mikhail Mishustin accepts an offer to return to public service and fulfills the requirement for civil servants to have no commercial participation in private companies, transferring 100% of the trust's property to his wife Mishustina Vladlena Yurievna with an obligation to UFG partners to sell these assets.

("In connection with the passage of civil service, a civil servant is prohibited from: participating in the management of a commercial or non-commercial organization, with the exception of the following cases" - paragraph 1.3 of Article 17 of the Federal Law "On the State Civil Service of the Russian Federation" dated 27.07.2004 No. 79-FZ)

However, the crisis continued, and it was impossible to sell all assets at a time in 2010. In this regard, UFG partners agreed with Mishustin that she would buy out shares as they had buyers who satisfied UFG partners.

I also note that when concluding transactions on the sale of UFG assets, it was necessary to take into account the corporate interests of the company (the buyer cannot be a completely outside party for us). This explains the fact that the sales of assets were carried out by UFG partners and/or affiliates. Despite the installment plan of payments to Vladlena Mishustina, in fact, the transfer of ownership of her shares to the company was carried out immediately in 2010. The fact that the founders and partners of the funds do not have politically significant persons is vital for compliance with internal and external requirements, as well as the standards of supervisory authorities of various states, investors and counterparties.

In 2010-2013, Vladlena Mishustin received income from the UFG trust and declared it in the amount of $11.55 million in aggregate over four years. Directly in the declaration, the amount, of course, was indicated in rubles. At the same time, the declaration was not only a requirement of Russian legislation, but also a requirement of UFG internal rules.

In 2013, a new federal law was adopted "on the introduction of additional restrictions not only on the civil servants themselves, but also on their spouses and minor children," and in this regard, Vladlena Mishustin had to transfer her trust to a third party. But under the terms of the original agreement with UFG, it could not transfer unrealized assets to an outsider to avoid risks to the UFG group as a whole. This in the practice of investment funds excludes the risks of acquiring shares by unfriendly shareholders. Therefore, the parties made an agreed decision to transfer the remaining assets to the mother and sister of her husband - Mishustina Louise Mikhailovna and Stenina Natalya Vladimirovna. In August 2013, the trust is transferred to the ownership of new beneficiaries, and they already receive income from the sale of assets.

In 2013-2015, revenues from UFG Louise Mikhailovna amounted to $11.9 million, and Natalia Stenina for the same period $10.1 million. These amounts are reflected in their declarations in rubles.

Thus, the total income of all three beneficiaries from the UFG trust for the period from 2010 to 2015 amounted to $33.55 million, which at the current exchange rate corresponds to 2.15 billion rubles. This amount does not include any other income that may have subsequently been generated from conversions due to exchange rate differences, income from deposits and possible other non-UFG investments that I cannot be aware of.

In subsequent years, no payments were made to them due to the lack of buyers for the remaining shares. Only in 2019 did the company manage to close the deal for the final sale.

In February 2009, Mikhail Mishustin entered the personnel reserve of the President of the Russian Federation.

2010: Head of the Federal Tax Service

April 6, 2010 was appointed head of the Federal Tax Service.

2011: Annual income on the declaration of 24.5 million rubles

The amount of declared income for 2011 amounted to 24.515 million rubles^[1][2].

2020

Vladimir Putin offered Mikhail Mishustin to the post of Prime Minister

On January 15, 2020, President Vladimir Putin proposed appointing Mikhail Mishustin to the post of Prime Minister. Mishustin agreed to take this post, his candidacy was submitted to the State Duma for consideration, the Kremlin press service said.

The State Duma will consider the appointment of Mishustin to the post of prime minister on January 16. On the evening of January 15, State Duma Speaker Vyacheslav Volodin convened an extraordinary meeting of the Duma Council with the participation of leaders of all factions, said Anastasia Kashevarova, adviser to the speaker. Mishustin met with members of the Council.

In addition to his rich experience in the civil service, Mikhail Mishustin is closely associated with the IT field. He was educated in this area, in the 90s he worked in IT companies, and the Federal Tax Service under his leadership turned into one of the most digital departments in Russia. A powerful technological base was created, electronic services are being developed that allow taxpayers to solve most of the tax issues remotely. Due to a number of implemented systems, the number of tax audits has decreased several times. What IT suppliers the department relied on - in a separate article.

The proposal for a new post was received by Mishustin on the same day as Dmitry Medvedev announced the resignation of the government. This happened after the president announced the changes to the constitution. Members of the government will remain under their duties until a new cabinet is formed. And Medvedev, after his resignation, will become deputy chairman of the Security Council, he will be responsible for the issues of defense capability and security of the country.

Detection of coronavirus COVID-19

On April 30, 2020, Mikhail Mishustin announced that he had been diagnosed with the COVID-19 coronavirus. The Prime Minister spoke about this during a video link with President Vladimir Putin.

It has just become known that the tests that I passed for coronavirus have tested positive. In this regard  , and in accordance with the requirements of Rospotrebnadzor, I must observe self-isolation, comply with the instructions of doctors. This must be done to protect colleagues, - said Mishustin.

According to Kommersant, Mishustin has a high temperature. The head of government himself confirmed to the publication that he feels unwell.

How Mishustin became infected is not reported. According to a Vedomosti source, the Prime Minister had direct contact  with some deputy prime ministers and ministers, in addition , technical specialists had access to his office.

The Prime Minister, who said he plans to stay in touch with the government, will be "under the supervision of doctors in one of the medical institutions," said Boris Belyakov, Mishustin's press secretary. Mishustin intends to remain "in active contact by phone and video" with colleagues and the president.

What happens to you now can happen to everyone, I always talk about it. You are a very active person, I want to thank you for the work that has been done so far. You and members of the government, the presidential administration, colleagues from the presidential administration are certainly at particular risk,  "Putin said.

Deputy Prime Minister Andrei Belousov became the interim head of the cabinet.

Mishustin turned to the Russians and asked to "take as seriously as possible" the spread of the coronavirus. He urged everyone to stay at home for the May holidays.^[3]

Scientific degree

Doctor of Economics.

2003 - defended his thesis for the degree of candidate of economic sciences on the topic "Mechanism of state tax administration in Russia"^[4].

2010 - defended his thesis for a doctorate in economic sciences on the topic "Strategy for the formation of property taxation in Russia"^[4]

Special title

Acting State Adviser to the Tax Service of the 2nd rank.

Awards, titles, diplomas

March 2011 - the laureate of the "Fame" award in the "Power" nomination^[5].

February 2012 - Crystal Tax Code Award^[6]

Lawmaking and Social Work

Mikhail Mishustin was the developer of the law on electronic digital signature.

He developed and implemented the principle of "one window."

Publications

Monographs

• Mishustin M.V. Information and technological foundations of state tax administration in Russia: Monograph. - M.: UNITY-DANA, 2005. - 252s.

• Mishustin M.V. Information and technological foundations of property tax administration: Monograph. - M.: UNITY-DANA, 2007. - 360s.

Articles

• Mishustin M.V. Methodology for calculating the cadastral value of valuation objects based on statistical modeling, g. economic sciences, 2009.

• Mishustin M.V. Individual assessment when calculating the cadastral value of a real estate object, g. economic sciences, 2009^[7]

• Mishustin M.V. "Modern information and technological support for state property management." Report at the 3rd International Conference on the Development of Large-Scale Systems MLSD, 2009, IPU RAS.

• Mishustin M.V. Monitoring of real estate markets by state cadastral bodies Bulletin of the Russian Economic Academy named after G.V. Plekhanov, 2009, No. 3^[7]

• Mishustin M.V. Real estate tax administration and tax assessment system in the region (using the example of the state of Massachusetts, USA), Economic Policy, 2008 No. 4, ANX under the Government of the Russian Federation and the Institute for Transition.

• Mishustin M.V. Institutional foundations of mass assessment of real estate for tax purposes: Bulletin of the Russian Economic Academy named after G.V. Plekhanov, 2008 No. 2.

• Mishustin M.V. The main tasks of managing the real estate cadastre, g.. Economic policy, 2007, No. 1.

• Mishustin M.V. World experience in describing and recording real estate: Economic Issues, 2006 No. 2.

• Mishustin M.V. The role of the cadastre of real estate in the modern state: Issues of Economics 2005 No. 9.

• Mishustin M.V. "Improving tax administration is a factor in increasing the efficiency of the tax authorities "//Finance, 2003, No. 6.

• Mishustin M.V. "The unified register is open and accessible "//Consultant, 2003, No. 15, p. 8-12.

• Mishustin M.V. "Informatization is a strategic approach to solving problems "//Information for Business and Life, 2003, No. 5 (6), p. 73-80.

• Mishustin M.V. "FTS as a supplier of public services "//Electronics production and trade, 2003, No. 3 (4), p. 6-9.

• Mishustin M.V. "Information service - the basis of future administration systems "//Information technologies and director, 2002, No. 2, p. 54-57.

• Mishustin M.V. "What has changed in the registration of legal entities "//Russian Tax Courier, 2002, No. 18, p. 4-9.

• Mishustin M.V. "Information service - the basis of the tax administration system "//Special issue of the iBusiness magazine, Solutions for e-government, 2002, No. 6, p. 7-10.

• Mishustin M.V. "Information service - the basis of the tax administration system "//Special issue of the iBusiness magazine, New solutions for the new economy, 2002, No. 4-5, p.^[8] for^[8].

• Mishustin M.V. "We are building a service "//CIO Head of Information Service, 2002, No. 5, p. 32-41.

• Mishustin M.V. "The tax system is the basis for building a modern state "//Business: organization, strategy, systems, 2002, No. 3, p. 60-63.

• Mishustin M.V. "Tax returns in electronic form: decisions and prospects "//Tax courier, 2002, No. 4, p. 16-21.^[9].

• Mishustin M.V. "The system of submitting tax returns in electronic form is a real step towards" Electronic Russia '"//Consultant, 2002, No. 10, p. 9-12.

• Mishustin M.V. "An effective system is a controlled system "//Corporate systems, 2002, No. 15, p. 20-23.^[10]."

Hobbies

He is fond of sports, actively playing hockey^[11][12][13].

Interesting facts

Member of the Supervisory Board of HC CSKA^[14][15].

Marital status

Married, has three sons.

Notes