A company co-owned by UK Conservative Party Senior Treasurer Mohamed Mansour is suspending its business activities in Russia after British media reported that the firm was supplying machinery to the Russian oil and gas industry.
(Bloomberg) — A company co-owned by UK Conservative Party Senior Treasurer Mohamed Mansour is suspending its business activities in Russia after British media reported that the firm was supplying machinery to the Russian oil and gas industry.
Mansour, an Egyptian billionaire who Prime Minister Rishi Sunak appointed to his Tory Party role in December, is the chair and co-owner of Mantrac, a global Caterpillar equipment dealer that has been operating in Russia through a subsidiary.
A Mantrac spokesperson told Bloomberg that the unit, Mantrac Vostok Ltd., has scaled back its operations significantly and is now in the process of suspending all business activities in Russia, in compliance with applicable laws. The firm is working through the appropriate next steps, the spokesperson added.
The winding down of Mantrac’s Russian operations removes a potential source of embarrassment for Sunak, who while Chancellor of the Exchequer last year had urged companies to “think very carefully” about how their investments might help President Vladimir Putin’s regime. The Mirror reported earlier this year that Mansour’s company had made “millions” from its Russian operations.
A Conservative Party spokesperson did not immediately respond to a request for comment.
Mantrac is one of the world’s biggest Caterpillar construction equipment dealerships. It forms part of the Mansour family conglomerate which originated as a cotton exporter in 1952 and has since diversified into real estate, technology, manufacturing and food services, including the franchise for all McDonald’s Corp. restaurants in Egypt.
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Mansour’s family wealth was valued at $6.8 billion in November, according to the Bloomberg Billionaires Index. He has been running the conglomerate since his father’s death in 1976. The Mansours do much of their investing through a London-based family office, Man Capital.
His role with the Conservative Party is focused on fund-raising ahead of a general election due in Britain by January 2025. Mansour agreed to underwrite several millions of pounds of donations to help the party out of a funding black hole, people familiar with the matter told Bloomberg earlier this year. He had previously donated some £600,000 ($750,000) to the party via his company Unatrac.
–With assistance from Mirette Magdy.
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