In a significant legal development, the UK Supreme court has ruled against Georgian businessman Irakli Rukhadze, the owner of the Georgian pro-government TV channel Imedi, ordering him to pay $170 million for his involvement in a ‘commercial conspiracy.’
The court found that Rukhadze had been operating unchecked in the UK for years while allegedly disseminating pro-Russian propaganda in Georgia.
British Member of Parliament James MacCleary expressed outrage over the revelations, stating, “A huge scandal—a man running pro-Russian propaganda in Georgia was able to operate in the UK unchecked for years. Now, the UK Supreme Court has ruled against him, ordering him to pay $170 million for ‘commercial conspiracy.’ Time to sanction Rukhadze and his oligarch boss Ivanishvili.”
Rukhadze is an outspoken supporter of the ruling Georgian Dream party. Since 2012, Imedi has been broadly supportive of the government, and in recent years has refused to criticize the ruling party.
This development comes amid increasing scrutiny of Bidzina Ivanishvili, the founder and honorary chairman of Georgia’s ruling Georgian Dream party. In December 2024, the United States imposed sanctions on Ivanishvili, accusing him of undermining democracy in Georgia to the benefit of Russia. US Secretary of State Antony Blinken stated that Ivanishvili’s actions were detrimental to Georgia’s democratic processes and its Euro-Atlantic aspirations.
Following the US sanctions, MP James MacCleary introduced an Early Day Motion in the UK Parliament, calling for similar measures against Ivanishvili. The motion highlighted concerns over Georgia’s democratic backsliding and the increasing use of excessive force against peaceful protesters. It condemned Ivanishvili’s role in facilitating Russian influence in Georgia and urged the UK government to impose sanctions to demonstrate a firm stance against such actions.
In a joint letter published on January 30, 2025, US Congressman Joe Wilson and MP James MacCleary urged the UK government to sanction Ivanishvili and suspend the UK’s strategic partnership with Georgia. They emphasized that Ivanishvili’s Georgian Dream party has undermined democratic institutions, allowing Georgia to drift further into Russian influence.
The UK Supreme Court’s ruling against Rukhadze has intensified calls for action. MP MacCleary’s recent statement underscores the urgency of addressing the influence of individuals like Rukhadze and Ivanishvili, who are perceived as threats to democratic values in Georgia.
As the situation develops, all eyes are on the UK government’s response to these calls for sanctions and the broader implications for UK-Georgia relations.
Background
Irakli Rukhadze is a Georgian businessman and investor with dual Georgian and United States citizenship. He has been deeply involved in various sectors, including real estate, media, and finance, primarily focusing on the Caucasus region. Rukhadze served as CEO of Caucasus Advisors, LLC, managing the Caucasus Fund, LLC—a $100 million investment fund operating in Georgia, Azerbaijan, and Armenia. He also held a directorial position at AEGIS, the management company for Commonwealth Property Investors, LLC, a notable US-Russian real estate investment firm.
In Georgia, Rukhadze’s business ventures are extensive. He owns TV Imedi, a pro-government media outlet, aligning editorially with the ruling Georgian Dream party. Through Hunnewell Partners, an asset management firm he co-founded, Rukhadze has acquired significant stakes in several major Georgian companies, including Liberty Bank, Rustavi Metallurgical Plant, Magticom, and Heidelberg Cement.
The legal challenges faced by Rukhadze stem from the aftermath of Georgian billionaire Badri Patarkatsishvili’s sudden death in 2008. Patarkatsishvili’s assets, managed by Salford Capital Partners International (SCPI), became the focal point of recovery efforts. Rukhadze, alongside business partners Benjamin Marson and Igor Alekseev, held managerial roles at SCPI, thereby bearing fiduciary responsibilities. However, in 2018, an English court found that they had engaged in a “commercial conspiracy” by sidelining SCPI and establishing Hunnewell Partners to appropriate the asset recovery project for personal gain.
This misconduct led to significant financial gains for Rukhadze and his partners, enabling substantial investments in Georgian enterprises. Consequently, the English court ordered them to compensate the companies Revoker LLP and Recovery Partners GP Limited for the lost opportunity to execute the billion-dollar asset recovery project. The total compensation, including accrued interest and legal fees, exceeds $170 million. Despite appeals, the Court of Appeal upheld the verdict in March 2023, and reports indicate that Rukhadze has commenced payment of the imposed compensation.
Header image: Imedi owner Irakli Rukhadze. Screenshot via RFE/RL.
