A Latvian citizen is accused of selling avionics equipment to Russian companies

Oleg Chistyakov, 55, is the third person to be arrested and charged in connection with the conspiracy, which was led by a Kansas company and two US citizens.

According to the indictment, Chistyakov conspired with U.S. citizens Cyril Gregory Buyanovsky and Douglas Edward Robertson of Kansas to facilitate the sale, repair and shipment of U.S. avionics equipment to customers in Russia and other countries that operate Russian-made aircraft, including the Russian Federal Security Service (FSB).

Chistyakovs was arrested on March 19 near Riga and is still in custody, awaiting extradition. Bujanovski pleaded guilty in December 2023 to conspiracy and money laundering and agreed to forfeit more than $450,000 worth of avionics equipment.

According to the indictment, Chistyakov facilitated illegal transactions worth hundreds of thousands of dollars to funnel sophisticated U.S. aerospace technology to companies in Russia, said Matthew G. Olsen, an official in the Justice Department’s National Security Division.

“This arrest is yet another example of the Justice Department’s relentless pursuit of prosecuting those who facilitate Russian aggression, including those involved in support networks that facilitate Russian hostilities.”

According to court documents, after Russia invaded Ukraine in February 2022 and despite additional US economic countermeasures against Russia, Chistyakov and his associates continued to smuggle and export sophisticated avionics equipment to companies in Russia without the necessary US Commerce Department licenses.

Chistyakov, operating from Latvia, cooperated with Bujanovski and Robertson through their US company KanRus Trading Company Inc. (“KanRus”) to circumvent US export laws by purchasing avionics equipment from US companies for customers in Russia.

Chistyakov allegedly acted as an intermediary for KanRus, requesting offers, negotiating prices and delivery terms, and facilitating payments between KanRus and customers in Russia.

Chistyakov and co-conspirators concealed their illegal activities, including preparing false invoices, transferring goods through third countries such as Germany and the United Arab Emirates (UAE), using bank accounts in third countries such as Kazakhstan, Kyrgyzstan and the UAE, and exporting goods to intermediary companies, which then re-exported the goods to the final destinations.

Chistyakov is charged with one count of conspiracy, two counts of violating the Export Control Reform Act, multiple counts of smuggling goods from the United States, conspiracy to commit international money laundering, and two counts of international money laundering.

If convicted, he faces a maximum sentence of five years in prison for conspiracy, 20 years in prison for each export control charge, 10 years in prison for each smuggling charge and 20 years in prison for each money laundering charge.

The case is being investigated by the FBI and the Department of Commerce’s Office of Export Assurance. Procedural actions were carried out in close cooperation with the Latvian State Security Service and with the help of the Prosecutor General’s Office.