SINGAPORE / ASTANA — A multimillion-dollar corporate structure linked to one of Kazakhstan’s most prominent businessmen is raising questions about the effectiveness of the Central Asian republic’s foreign asset disclosure laws, at a time when the government is pledging major reforms to increase financial transparency and rebuild public trust.
Public records and information show that Dinmukhamet Idrisov, a long-time figure in Kazakhstan’s oil and industrial sectors, has established an intricate corporate network in Singapore, including a holding company capitalized at over $170 million. The company, Dragon Fortune Pte Ltd, is part of a larger constellation of offshore entities that also span subsidiaries, real estate holdings, and investments in Turkey.
At issue is whether these foreign holdings align with Kazakhstan’s updated legal framework, particularly the 2022 Law on the Return of Illegally Withdrawn Assets, which requires citizens to declare significant offshore wealth — even if held through family members or proxies. While there is no public indication of wrongdoing, the case reflects the tensions between Kazakhstan’s efforts to modernize its financial governance and the legacy structures built during decades of loosely regulated capital flight.
A Discreet Offshore Footprint
Dragon Fortune Pte Ltd was incorporated in Singapore in January 2013. According to public filings, it was initially 100% owned by Idrisov himself, a businessman who rose to prominence through contracts supplying equipment to Kazakhstan’s oil sector. In 2018, ownership was formally transferred to his son, Zharmukhamed Appaz, now 30, who also holds roles in several other affiliated companies.
The company’s activities are largely opaque. It has no operational website, and corporate documents reviewed by The Post indicate that Dragon Fortune and its subsidiaries — including Dragon Fortune Management, Dragon Fortune Logistics, and Kaplankaya Holdings Pte Ltd — do not report commercial revenue. Yet the capital behind Dragon Fortune is substantial: over $172 million in issued and paid-up capital.
One of the company’s most visible investments is in the Six Senses Kaplankaya, a high-end resort development on Turkey’s Aegean coast. Dragon Fortune reportedly owns a 25% stake in the holding company behind the project. Local records in Singapore and Turkey show that the resort venture has struggled financially in recent years and remains only partially complete.
Other assets include residential addresses on Singapore’s exclusive Sentosa Island, where Idrisov, his wife Magda Idrissova, and their son are registered as residents. However, neither of the two properties are listed under the family’s names in official ownership records, suggesting they may be leased or held through intermediaries.
Kazakhstan’s Legal Reform Push
In January 2022, following widespread unrest across the country and the political sidelining of many members of the former presidential family, President Kassym-Jomart Tokayev announced a sweeping campaign to reform Kazakhstan’s financial and political system.
A centerpiece of that agenda was the adoption of the Law on the Return of Illegally Withdrawn Assets, aimed at increasing transparency around foreign holdings and recovering funds deemed improperly transferred abroad. Under the law, Kazakh citizens are required to declare foreign-held assets exceeding $1 million, even if these are owned through relatives or nominee structures.
The law also established an Asset Return Commission, tasked with identifying undeclared offshore holdings and pursuing legal means to repatriate them, if deemed illicit or non-compliant.
“The country is moving from a personalized economy to a rules-based one,” Tokayev said during a national address in mid-2023. “We cannot build a just society without accountability.”
So far, the Commission has focused on high-profile targets, including the now-imprisoned Kairat Satybaldy and business groups linked to the Nazarbayev family. But observers say the real test lies in whether the law can be applied broadly — including to foreign-registered companies whose linkages are less direct, but still traceable.
“The challenge is proving control,” said a legal analyst in Astana familiar with Kazakhstan’s enforcement efforts. “If a citizen’s son owns a $170 million company abroad and that company received capital from Kazakhstan, the state will need to assess whether it qualifies as a reportable asset.”
Corporate Structures and Related Loans
Adding complexity to Dragon Fortune’s profile is a $5.1 million loan issued in 2018 by Kazakhstan Utility Systems, a domestic utility company partially owned by the Ordabasy Group, which is chaired by Idrisov. The loan was provided at a 2% interest rate and extended multiple times through 2022, according to financial ratings reports by Fitch.
Regulators have not commented publicly on the loan, and there is no public record of repayment. However, financial analysts say related-party transactions of this nature are likely to come under increased scrutiny under new asset disclosure rules.
“It’s not about whether the loan was illegal. It’s about whether it reflects a deliberate transfer of capital from domestic regulated entities to offshore family-owned firms,” said a compliance officer at a Eurasian development bank.
Proxy Management and Transparency Questions
The operations of Dragon Fortune are overseen in Singapore by Shingis Madakhmetov, a Kazakh national with previous experience in Kazakhstan’s energy sector and private banking. He is listed as director in several companies linked to the family and is believed to manage day-to-day affairs.
Under Kazakhstan’s new asset rules, use of proxies — even those without direct financial gain — does not exempt a citizen from disclosure requirements. However, legal scholars point out that enforcement is still developing, and many cases hinge on proving beneficial ownership, a legal term that implies not just technical ownership, but effective control.
“In this case, the state would need to demonstrate that Idrisov, despite the formal transfer of shares to his son, continues to influence or benefit from the structure,” said a former senior official in Kazakhstan’s Ministry of Justice.
Singapore’s regulatory authorities have not indicated any investigation into the companies involved, and Dragon Fortune remains in good standing with local business registries. Singapore’s policies allow for exempt private companies to maintain minimal public disclosures, provided they meet regulatory standards.
Balancing Reform and Reputation
For Kazakhstan, the case of Dragon Fortune highlights a broader dilemma: how to encourage foreign investment, protect capital flows, and promote financial openness — while also upholding new standards for transparency and rule of law.
President Tokayev has staked much of his political credibility on moving the country away from opaque oligarchic systems toward a market-based economy governed by institutions. But offshore structures like Dragon Fortune — even if legal — test the country’s capacity to enforce its new rules consistently and without bias.
“The question isn’t whether people like Idrisov can have foreign holdings,” said an economic policy advisor close to the government. “It’s whether those holdings are declared, compliant, and aligned with the spirit of the reforms.”
As Kazakhstan continues to rebuild its institutions and court foreign partners, such questions are likely to become more frequent — and harder to avoid.
About author: Rana Maqsood, Frelance writer based in Pakistan.
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