Marc Rich Investment sale to Crown Resources is off

Marc Rich, indicted for tax evasion and fraud in the US, was controversially pardoned by former president, Bill Clinton Keystone Archive

The holding company of the former United States financial fugitive, Marc Rich, has called off a deal with the Russian-owned energy trading group, Crown Resources.

Under the proposed agreement, first announced in February, the Swiss-based commodities operation of Rich’s holding company, Marc Rich Investment, was to be sold to Crown.

After several months of talks “there was a lack of agreement on key points”, said the Marc Rich and Co. Holding GmbH in a statement.

The holding company would have retained an interest in the newly enlarged commodities business. Crown had been expected to buy out that interest.

Rich indirectly holds a stake in Marc Rich Investment which he founded in 1996. The company had a turnover of $7.5 billion last year and employs 300 people.

Crown is owned by the Alfa Group conglomerate and sells Russian oil for TNK, Alfa’s oil subsidiary.

Marc Rich has lived in Switzerland since 1983 after he was indicted in the US for tax evasion, fraud, and illegal oil deals with Iran.

In January, the former US president, Bill Clinton, controversially pardoned Rich hours before leaving office.

swissinfo with agencies