U.S. Attorney General, Pam Bondi, has made a significant policy shift on her first day in office under President Donald Trump’s administration. The move involves closing a special unit dedicated to confiscating the assets of Russian oligarchs, marking a significant change in international law enforcement priorities.
The unit, known as KleptoCapture, was hailed as a major success during the previous administration under President Joe Biden. The Justice Department reported that in just one year, the task force had secured nearly $700 million in assets from Russian enablers and charged over 70 individuals for violating international sanctions and export controls against Russia. The task force was established following Russia’s full-scale invasion of Ukraine in 2022.
KleptoCapture made early headlines by securing a warrant to seize two aircraft owned by Roman Abramovich, indicating the Biden administration’s determination to take swift and firm action against Russian billionaires with links to the Kremlin. Other oligarchs, including oil and metals trader Viktor Vekselberg, saw their yachts seized.
However, Bondi has announced a significant shift in strategy and mindset. Resources previously allocated to seizing oligarch assets and enforcing sanctions will now be redirected towards the “total elimination of Cartels and TCOs”, referring to transnational criminal organizations.
The change does not necessarily mean that wealthy Russians can breathe a sigh of relief. Bondi has not stated that ongoing cases initiated by KleptoCapture will be abandoned. These cases are likely to continue, but without a dedicated special unit. Similarly, new cases may still be initiated.
Andrew Adams, the inaugural leader of KleptoCapture and currently with the Washington, D.C.-based law firm Steptoe, expressed that there would unlikely be a sudden influx of sanctioned oligarch wealth into the U.S. However, he predicted a significant slowdown in charges against facilitators specifically linked to Russia.
This policy shift points to a re-prioritization towards tackling drug cartels, a key issue in Trump’s election campaign. Trump has issued an executive order labeling the cartels as terrorist organizations.
Along with KleptoCapture, Bondi has also discontinued the Foreign Influence Task Force, established during Trump’s first administration to counteract disinformation campaigns aimed at undermining democracy. Another discontinued program is the Kleptocracy Asset Recovery Initiative, set up in 2010 to confiscate assets owned by corrupt foreign officials.
The elimination of such initiatives has drawn criticism from anti-corruption groups. Gary Kalman, the U.S. executive director of Transparency International, warned that this move would significantly weaken the U.S.’s ability to combat transnational corruption. He added that it leaves victims of corruption worldwide with incomplete justice.
