Case | HBS Case Collection | April 2011

Hermitage's Russian Quandary (A)

by Eric Werker, Ray Fisman and Lauren Weber


In June 2007, the offices of Russian hedge fund Hermitage Capital were raided by Moscow police; in the months that followed, Hermitage founder Bill Browder found himself banned from Russia and fending off efforts to expropriate the fund's Russian assets. This case describes the challenges faced by Hermitage in responding to these threats, and more broadly discusses the perils of doing business in a business environment with weak legal and political institutions. This case was co-authored with Columbia Business School.

Keywords: Crime and Corruption; Private Equity; Investment; Law Enforcement; Laws and Statutes; Crisis Management; Risk Management; Business and Government Relations; Financial Services Industry; Moscow;


Werker, Eric, Ray Fisman, and Lauren Weber. "Hermitage's Russian Quandary (A)." Harvard Business School Case 711-054, April 2011.