May 01--An Austrian judge ruled Thursday that billionaire Ukrainian industrialist Dmytro Firtash will not be extradited to Chicago to face sweeping corruption charges alleging an $18.5 million international bribery scheme.
Firtash, 49, has been fighting attempts by U.S. prosecutors to bring him back to Chicago since his arrest in Vienna in March 2014 on charges he and five co-defendants conspired to pay bribes to secure licenses to mine minerals in India. The controversial oligarch was released on a staggering $174 million bond but ordered to stay in Austria as the extradition proceedings moved forward.
After a lengthy hearing in Vienna, Judge Christopher Bauer denied extradition, saying the prosecution of Firtash, who has long aligned himself with leaders friendly to Russian President Vladimir Putin, appeared to be politically motivated.
Firtash, one of Ukraine's most influential oligarchs, was arrested amid the political upheaval in Ukraine last year that led to Russia's seizure of the Crimean Peninsula. Federal prosecutors have said the charges were filed under seal in 2013 in Chicago and had nothing to do with events in Ukraine.
A spokeswoman for U.S. Attorney Zachary Fardon in Chicago had no comment after the ruling was announced. But Peter Carr, a spokesman for the U.S. Department of Justice in Washington, said the agency was "disappointed with the court's ruling" and had filed an appeal.
Lawyers for Firtash issued a statement saying he "welcomes and feels vindicated" by the decision.
"I have already expressed my confidence in the Austrian justice system on several occasions," Firtash said in the statement. "Today, this confidence has proven to be justified."
The judge ruled that Firtash's bond will remain in place, but he is free to travel outside Austria as long as he returns for any required court appearances. Firtash said in the statement he will "initially remain in Vienna to wait for the judgment to become final."
According to an indictment unsealed here in April 2014, Firtash and his co-defendants believed the India mining project would generate more than $500 million annually from the sale of titanium products to Chicago-based Boeing Co. and other businesses.
Boeing, which was identified in the charges only as Company A, said it never followed through on the purchases. The company has not been accused of any wrongdoing.
Shortly after his arrest, Firtash posted a YouTube video calling the case "absurd and unfounded."
"Ukraine has become the battlefield for the two biggest global players of Russia and the U.S., and I have ended up in the center of this political power play," Firtash said in the video. "The accusations leveled against me in the recent public statement released by the U.S. Department of Justice are completely absurd and unfounded. I am sure that all of these false allegations will be dismissed."
Firtash and his co-defendants -- who include his longtime business associate as well as a member of the parliament in India -- were charged with racketeering conspiracy, money laundering conspiracy and interstate travel in aid of racketeering. The most serious charges carry maximum penalties of 20 years in prison on each count.
The indictment seeks forfeiture from Firtash of all interests in his international conglomerate Group DF and its assets, including 14 companies registered in Austria, 18 companies in the British Virgin Islands and more than 100 other businesses from Cyprus to Switzerland.
The indictment also seeks the forfeiture from all six defendants of almost $10.6 million -- the amount of bribes actually doled out, according to prosecutors.
The five other defendants remain at large.
jmeisner@tribpub.com