In a recent development, My.Games, a popular gaming company, has divested its creator support platform, Boosty, following allegations that it was being used to violate international sanctions on Russia. An investigation by Dutch outlet Nieuwsuur revealed that creators on the platform were soliciting cryptocurrency donations and using the funds to support Russian war efforts. This revelation has raised concerns about the company’s involvement in activities that could have serious legal implications.
**Background: My.Games and Boosty’s Ties to Russia**
Before the divestiture of Boosty, My.Games was part of VKontakte (VK), a Russian internet giant. However, in 2022, Alex Chachava, who is not on any sanctions list, purchased the company for $642 million. This move allowed My.Games to relocate from Russia to Amsterdam and continue its operations. Despite this change, the company still has ties to Russia, as its parent company, CEBC, is based there.
**My.Games Sells Boosty to Cypriot Businessman Pavel Kharaneka**
Elena Grigorian, the CEO of My.Games, announced that the company has finalized the sale of Boosty to Pavel Kharaneka, a Cypriot businessman and the founder of Broadsmart Group. This sale is part of a larger restructuring process initiated by My.Games in 2023, which involved spinning off non-game development and publishing businesses to CEBC. Grigorian stated that the sale aligns with the company’s commitment to focus its resources on creating exceptional gaming experiences for players worldwide.
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**Denial of Allegations and Response from My.Games**
My.Games has vehemently denied the allegations of sanctions violations. In an email to GamesBeat, the company highlighted its compliance with international laws and its cooperation with law enforcement agencies when necessary. It emphasized its sanction screening procedure, anti-money laundering policy, and anti-corruption policies as evidence of its commitment to following the law.
My.Games also clarified that it had terminated its relationship with Kirill Fedorov, the creator mentioned in the allegations. The company pointed out that Fedorov did not disclose the purpose of the funds on the Boosty platform but rather on Telegram. My.Games maintains that it has not been contacted by law enforcement or undergone any investigation.
**Potential Legal Consequences and My.Games’ Response**
While the Dutch Financial Intelligence Unit is reportedly aware of the accusations, it is yet to be confirmed whether this will lead to further investigations or the imposition of sanctions. My.Games and its subsidiaries deny any involvement in illegal activities, including the alleged undervalued sale of My.Games and any connections between Chachava’s family and Vladimir Putin or VK CEO Vladimir Kirienko.
To protect its business reputation, My.Games intends to take legal action and has already sought advice from legal advisers. The company is prepared to defend itself and ensure that its name is cleared of any wrongdoing.
In conclusion, the divestiture of Boosty by My.Games in light of the allegations of sanctions violations has raised serious concerns about the company’s involvement in illicit activities. The partnership between GamesBeat and Lil Snack offers an exciting opportunity for gamers to engage with unique gaming experiences. As the situation unfolds, it remains to be seen how My.Games will navigate the potential legal consequences and protect its reputation in the gaming industry.
