Russian authorities conducted a raid on a property company owned by the wife of Moscow's former mayor in connection to an investigation into alleged embezzlement and misuse of city funds related to a $440 million land deal. The raid on Inteko, a property developer, marks the beginning of scrutiny on the business empire of Yelena Baturina, the wife of ousted Moscow mayor Yuri Luzhkov. OMON riot police and individuals in plain clothes arrived at the office and took the management with them, according to an anonymous Inteko employee. Additionally, police searched Bank of Moscow and the homes of its bank directors as part of the embezzlement probe. Investigators suspect employees at Bank of Moscow and Premiere Estate used a 13 billion roubles ($444 million) loan to embezzle funds that ultimately went into Baturina's personal account. The removal of Luzhkov and the appointment of Mayor Sergei Sobyanin, who is allied with Prime Minister Vladimir Putin, resulted in capital outflows from Russia and a decrease in the value of the rouble. This change also led to shifts in ownership of assets controlled by the city, such as Bank of Moscow, which state-controlled VTB is attempting to acquire. Baturina, who has a controlling stake in Inteko, was involved in a land deal that sparked a probe in December, where a 13 billion rouble loan was used to purchase land from her debt-ridden company. Inteko and Baturina were not named as suspects in the investigation, and there was no suggestion of any wrongdoing on their part. Baturina criticized the raid, saying it was a tactic to put pressure on her and her company, Inteko. The spokesman for Inteko also stated that there are no criminal cases against the company or its employees and leadership. Baturina, whose wealth was estimated at $1.1 billion this year, and Luzhkov have faced allegations of corruption, which they have denied. Businessmen believe corruption is most prevalent in the construction sector, where decisions from the mayor's office play a significant role. Despite accusations that his wife received preferential treatment during his time as Moscow's mayor, Luzhkov has denied these claims. The presence of riot police with automatic weapons at Baturina's company suggests that her business empire is being targeted by powerful groups within the elite, following Luzhkov's confrontation with Kremlin chief Dmitry Medvedev. Going against the Kremlin is extremely risky for any wealthy individual in Russia, as they often end up losing their wealth, being prosecuted, and eventually leaving the country. President Medvedev has pledged to enhance the business environment and protect property rights, but investors believe that the main obstacle for businesses in Russia is the inconsistent enforcement of laws.