Russian version

Comrade Stalin and the economic security of Russia

Having joined the social democratic movement during winter of 1897/98, Joseph Dzhugashvili (aka Soso, aka Koba, aka Stalin) at the end of November 1901, on behalf of the Tiflis Committee, headed to Batum to create a social democratic organization.

At that time, Russia (Baku-Batum) produced and processed 11.2 million tons of oil, which accounted for 53% of world oil production. The great Rockefeller controlled only 40% of the world's oil production and processing.

During the Joseph Dzhugashvili’s active revolutionary work in the Caucasus before 1908, cardinal changes took place in the oil industry.

Oil production and refining not only did not grow, but even decreased by 2.6 million tons down to 8.6 million tons, despite the fact that world oil production had increased over the same period from 21 up to 35 million tons. Thus, Russia’s share in the global oil business had decreased by as much as 28%, down to 25%, while the share of Mr. Rockefeller (USA) had increased by 28%, up to 68%. 1

Oil production in Russia and the USA in 1900 - 1909

Accordingly, due to the loss of Russia's position in the world oil market, Rockefeller's income from 1901 to 1908 in oil production alone (excluding refining) had increased from $9 million a year to $17.6 million a year. Rockefeller's total additional income in oil production alone (excluding refining) is ranged from 70 to 80 tons of gold. Taking into account processing into kerosene, this amount can be safely tripled.

Did Rockefeller pay anyone for lowering the productivity of the oil fields in Russia? And is there a connection between the Comrade Stalin’s revolution business and such a huge failure of the Russian economy in the field of oil production and refining?

The year 1901 is notable for being the year when Russia came out on top in the world in terms of oil production. Russian oil accounted for almost half of England's imports, one third of Belgium's, and three-quarters of France's. Moreover, Russia became the main supplier of oil and oil products to the Middle East.2 In the previous 1900 year, in order to control the export of kerosene, a cartel agreement arose between the “Partnership of Br. Nobel” and the Rothschild association “Mazut”. The alliance was held together by the task of resisting to the worldwide expansion of “Standard Oil”. General manager of the “Partnership of Br. Nobel” Gustav Ternuddk shared his plans in his letter: «At present, the situation is such that the market of the Russian Empire depends entirely on us, and we are seriously thinking about ousting the Americans not only from Europe, but from Asia as well.» 3

According to United States Congress records, John D. Rockefeller had been providing financial support to Lenin and Trotsky from the early years of the 20th century and increased it after the failure of the 1905 revolution.4.

Only three months after the appearance of Stalin in Batum, the Rothschild oil plant inexplicably caught fire. How could it happen? Stalin was hired to work for the Rothschilds at their oil storage facility with a salary of six abazes per day (1 ruble 20 kopecks). Stalin laughed, almost sang: “I work for the Rothschilds!” On January 4, 1902, Stalin rejoiced: “My storage caught fire!” 5.

The next day, the Rothschild workers demanded an increase in wages. “Stalin participated in the delegation that met with the Rothschild manager, the Frenchman François Jeune. This was Stalin's first meeting with a European entrepreneur. But there are evidences that from then on, Stalin secretly kept in touch with Rothschild managers – this was the beginning of his murky and very profitable relations with the oil magnates. The Rothschilds, of course, knew that it was arson, and Jeune refused to pay the surcharge. Stalin succeeded in the provocation: he called for a strike.” 6.

After that, Joseph Stalin organizes demonstrations and strikes in Batum against two of the three largest oil magnates – Mantashev and Rothschild, who reduced the oil refining volume. 7 8

As a result of strikes and economic sabotages, oil production and refining in Russia (Baku-Batum) decreased to 10.9 million tons in 1902, or by 5% down to 48% of world production. 9 Unclear, how much it corresponded to the workers’ interests, but it was obviously vital to Rockefeller's interests. His global market share jumped by 8% up to 48%.

It is worth to specify that Stalin did not actively oppose the largest oil tycoons, the Swedes Nobels. Some researchers believe that the Nobels paid off Stalin with money, even call the figure of 50,000 rubles.10 Others think that the Nobels were so close to the highest authorities in Russia, and personally to Alexander III, who personally petitioned to the Kaiser of Germany “Cousin Willy” about the protection of the Nobels' kerosene in the German market, moreover the Tsarist secret police was providing the economic security of the Nobels. Thus, it is quite possible that Stalin, in parallel with the secret police, “worked” for the Nobels himself, causing problems for his competitors in the Russian market, which spawned the version of Stalin’s cooperation with the secret police. While he carried out the orders of Rockefeller-Lenin-Trotsky, the Nobels were neither left out.

Baku oil rigs had burnt even before Stalin's arrival in Batum. In 1897-1899, 50-60 rigs burned every year. And in 1900, 318 towers burned down, which is 5 times more than in previous year. It didn't sound like a safety precautions issue anymore. And in 1901 a direct economic sabotage took place – the oil tank guard in Baku set fire to oil with a torch. The fire lasted 5 days and caused the Nobel company a loss of about 1.5 million rubles.11 257 rigs burned down. After that, Comrade Stalin came to Batum.

And while the first fire at the Rothschild oil plant on January 4th, 1902, according to Konstantin Kandelaki, was personally carried out by Stalin, then later Stalin formed a very branched and well-organized criminal group engaged in murders, extortion (racketeering), and mainly, ideological and economic sabotage (specifically arsons of oilfields). This organized crime group had several dozen active leaders, among which the most famous were Kandelaki, Ordzhonikidze, Kalinin, Rosenfeld (Kamenev), Kirov, Shaumyan, Krasin, Litvinov, Kamo, Voroshilov and later Beria.12

Ideological sabotage in form of distribution of subversive leaflets with demands of higher wages for workers led to mass strikes followed by decrease in oil production in Russia (Baku-Batum), which again was beneficial to Rockefeller (USA). At the same time, these ideological sabotages created strong support among the population, which helped in harboring members of the Stalin’s organized crime group from the police and organizing further economic sabotages in form of oil fields arsons.

It is worth mentioning the very low performance of the police and gendarmes, that, on the one hand, were incapable of liquidating the Stalin’s organized crime group, and on the other – covering arsons for bribes from competing oil owners. Police officers, due to their low financial situation, did not value their official position and very easily parted with it.13 Cossacks were used by the police almost exclusively in dealing with demonstrations and did not make a significant contribution to the fight against Stalin's organized criminal group. The oil owners hired Chechens to protect the oil fields, but it did not save them from fires.14

In 1903 the Rothschilds completed the oil pipeline from Baku to Batum. Oil and its products were exported from Russia to almost all countries of the world: mostly to Great Britain, then to the East Indies, Germany, Egypt, Turkey, France. And in the same year, immediately after negotiations with the Nobels and the Rothschilds in Paris, riots and sabotages organized by Rockefeller broke out in Baku, during which, first of all, the Rothschilds’ towers and oil refining were burned. A fire broke out at the Bibi-Heybat fields, which destroyed most of the fields and more than 25 million poods of oil. 188 towers burned down. Stalin was one of the organizers of these uprisings. So, almost without a doubt, he had certain obligations to Rockefeller.

Oil production in Baku decreased down to 10.3 million tons, reducing down to 41% of world production. But Rockefeller's share of the world market rose to 50%.

In 1904 Stalin organizes a grand strike of oil workers in Baku.15

“After the business part of the meeting (December 28) was over,” M. Sargsyan (Minas), a member of the strike committee, recalled, “the representative of the Central Committee told us that two days after his arrival, some two people appeared at his hotel and, calling themselves representatives of the Br. Nobel company, they frankly declared: “We know that you are a representative of the Central Committee of the RSDLP; We offer to deposit 30,000 rubles in favor of the organization with your assistance on the condition that the strike be extended for another one and a half to two weeks.” It goes without saying that the comrade categorically refused this proposal, saying that they were mistaken and that he had no connection with any organizations whatsoever. On the same day, the comrade moved to another hotel, where, after two days, the same two subjects again appeared with the same purpose, and this time they offered 50,000 rubles.

The damage from the fires of 1904 was enormous for most industrialists, but the Nobels had huge for that time storage facilities for kerosene and oil products far away from Baku, fully replenished before the end of navigation and, accordingly, the start of the strike.16

In February 1905, without any significant reason, the first Armenian-Tatar (Azerbaijani) massacre broke out in Baku. This did not bring any benefit to either side, but created objective prerequisites for setting fire to the enterprises of one of the largest oil industrialists, the Armenian Mantashev. And Jewish pogroms, accordingly, created a pretext for arson of the Rothschild enterprises. This brought minimal harm for the Swedes Nobels, and even helped them to eliminate competitors. At the same time, Rockefeller, who received new markets for products in Europe and Asia, benefited the most from the economic sabotages of the competitive war in Baku.

In the same 1905, after just 10 years of construction, the Trans-Siberian Railway in its version with the CER was completed. In 1895, Alexander III entrusted its construction to Witte precisely for the purpose of exporting Russian kerosene to China, which was the main market first of all for the Rockefellers, and secondarily for the Rothschilds-Samuels-Deterings.

It is worth mentioning that the Rothschilds did not like all this. They saw not so much the intrigues of Rockefeller in the arson of the oilfields, but the economic and terrorist war of the pro-Russian Nobels. Accordingly, the Rothschilds, having teamed up with the Rockefellers, began to prepare for Russia a war with Japan, openly supporting it financially.

The journal “Red Archive” contains numerous reports by Russian financial agents showing the level of resistance that attempts to obtain loans in the West encountered (for example, NNs 4, 6, 10). In the memoirs of the German ambassador in London, Baron von Eckardstein, a curious episode is cited, how in 1904 he introduced the Japanese ambassador Count Hayashi to Alfred Rothschild, who “was always glad to cross the road of Russian diplomacy”. Japan was not capable of starting a war with Russia without large financial support, and the British government refused it so as not to violate neutrality. But Rothschild “assured Count Hayashi of his sympathy”, guaranteed financial support from the House of Rothschild, and thereby enabled Japan to start a war. 17 The Rothschilds, during the Russo-Japanese War, provided Russia's adversary with unlimited credit from the banks they controlled, which allowed the Japanese to fight the war much longer than the Russian command expected. Naturally, during this period, almost all foreign loans were blocked for Russia, including, of course, Rothschilds’.18

Rockefeller stated that if the tsarist government refused to sell oil fields to the Americans, the National City Bank would provide a money loan to Japan, which would be used for purposes hostile to Russia. This was outright blackmail.19

The Russo-Japanese War of 1905 was started in order to cut off a very promising land trade route for kerosene from Russia to China.

At the moment Witte signed the Portsmouth Peace Treaty, a gigantic fire broke out in Baku, causing enormous damage. In five days, 1,429 oil rigs burned down. 58% of all wells have been decommissioned. In the memorandum addressed to the Minister of Finance of the Russian Empire, the Baku oil owners recorded the loss of “at least three-quarters of their production property, burned, damaged or stolen” and thus destroyed “at the root”.

Compared to other companies, the «Branobel» partnership suffered moderately.20

Oil production in Baku decreased down to 7.4 million tons, reducing down to 26% of world production. But Rockefeller's share of the world market rose up to 50%.

Events in Russia led to a decline in oil production, aggravating the problem of lagging oil production technologies behind Western.

According to the Department of Customs Duties, the export of oil and oil products from Russia in 1905 decreased down to 55,589 thousand poods (against 103,201 thousand in 1904). The amount of export for the same period fell from 50.612 thousand rubles down to 27.762 thousand. The total volume of crude oil exported from Russia in 1906 decreased threefold compared to pre-revolutionary times. Oil exports to France fell four times, to England – three times, to China and India – 24 times. 21 And “oil keeps burning – millions keep burning”, since “the treasury annually received 100 million rubles from the Baku fields”.22

The Rockefellers, who were competitors to the Russian oil producers, took an active part in sponsoring the Russian Revolution of 1905. As the newspaper “Rus” wrote in those days, “the riots were ripening gradually, a robber nest setting fire to the fields was created”. Boris Savinkov cited Zilliacus's words about the receipt of donations “from American millionaires in the amount of one million francs” “through him” for the “Russian revolution”. Vice-Consul of Russia in Erzurum (Ottoman Empire) at the turn of the 19th - 20th centuries, Vladimir Mayevsky, said that the Baku events were shocking “with their unexpectedness”, “strangeness and oddness”, and the vast majority “cannot understand such phenomena and their main causes”.23

Each of the 314 fires that occurred from 1900 to 1909 in the Baku region alone destroyed an average of 150 oil wells, four iron tanks, 47 wooden barrels, 1 oil barn, 11 drilling rigs and 133,000 poods of oil.

In 1906, there were 59 kerosene plants in Russia, but only 39 remained by 1910.

The revolutionary movement at the beginning of the century with the Baku region and Batumi as one if it’s main centers, where Stalin began his activities, was one of the reasons for the reduction in oil production.24

The Union of Russian Commercial Industrialists oil report stated: “The decrease in the export of oil products had a very detrimental effect on the economic situation in Russia. First of all, it was reflected in the fate of the city of Batum, the development of which was growing rapidly during the time of growth of Russian oil exports. Almost all of its factories for the manufacture of tin cans and wooden boxes had to close, steamboats arrived at the port 1-2 times per week, most of the workers and merchants left the city, and from a major commercial center it turned into a dead province”.25

On the other hand, Rockefeller's Standard Oil, taking advantage of the disorder in Russia, successfully returned markets for American kerosene that had almost been lost in the war against Russian oil.26

Although from 1905 to 1917 the Nobels managed to restore oil production in Baku to the level of 8-9 million tons per year, but during the period of the “revelry of the revolution” from 1918 to 1924, it was almost destroyed, dropping down to 3-4 million tons per year. Thus, Russia's share in world oil production dropped down to a meager 3%.

Oil production in Russia, thousand tons. 1900 - 1924

Accordingly, due to the loss of Russia's position in the world oil market, Rockefeller's income from 1908 to 1920 in oil production alone (excluding refining) increased from $17.6 million a year up to $195 million a year.

Oil production in Russia, the USA and England (Rothschilds - Samuels - Deterings) for 1900 - 1924

Rockefeller's total additional income in oil production alone (excluding refining) amounted to about 1,000 tons of gold. Taking into account processing into kerosene, the amount can be safely tripled.


The Bolsheviks, represented by Lenin-Trotsky and especially Stalin, served the interests of foreign oil companies, especially Rockefeller (USA), for this purpose they carried out subversive ideological and economic activities, both against the Russian Empire and against the people of Russia, by organizing strikes and sabotages in the Russian oil industry.

It is one thing to take money from foreigners to replace the elite in the country (maybe even from less efficient to more efficient), and it is quite another thing to take money from foreigners to destroy an entire industry, moreover the most highly profitable and promising for the entire Russian economy.

This is already a crime against the well-being of all citizens of the Russian Empire, against the entire population, and not just their elite.

This is not just a betrayal of the state, it is a betrayal of the people of the state.

We can state with confidence that it was the activities of the RSDLP(b) that led to the weakening of the economy of the Russian Empire, which significantly influenced the outcome of the First World War. If the security department and the police had liquidated the Bolsheviks in a timely manner, then with a high probability in 1917 Russia would have won the war and gained the Bosphorus and the Dardanelles. There would be no civil war and tens of millions killed and repressed.

The Russian economy would now be several times stronger, which means that we would now live several times better.

PS. Questions outside of this article:

  • Holding congresses of the RSDLP(b) in London against the background of competition between England and Russia in the oil market;
  • Nationalization of the oil industry by the Bolsheviks with its actual transfer to the Rockefellers management;
  • The actual Rockefellers monopoly on the export of Russian oil in the 1930s;
  • The write-off by Litvinov, under the leadership of Stalin, of the economic claims of the USSR against the United States “arising from the actions of the US armed forces in Siberia” during the intervention in the amount of about $ 1 billion, which then amounted to about 1 thousand tons of gold;
  • The lack of the NKVD arrests of American spies on the territory of the USSR against the background of the mass capture and elimination of spies from other countries;
  • The beginning of the “great purge” of the NKVD in 1937, exactly two weeks after the death of John Davison Rockefeller on May 23rd;
  • The share of oil exports in Stalin’s USSR never exceeded 4% of export earnings;
  • A sharp increase in oil production and export in the USSR began only after the Stalin’s death;
  • A sharp decline in oil production in the Russia under Yeltsin from 570 down to 300 million tons per year, and in oil exports – from 230 down to 120 million tons per year.


(1) «The history of the development of world oil production»

(2) Evgeny Zhirnov «Kerosene Wars»


(4) Alexander Timofeev «How the Rothschilds and Rockefellers shared Russia and ... keep sharing»

(5) Simon Jonathan Sebag Montefiore «Young Stalin»

(6) Ibid

(7) Alexander Ogorodnikov "The laborer of the Revolution against the oil kings"

(8) Olga Edelman «Soso in Batum 1902»

(9) «The history of the development of world oil production»

(10) «Joseph Stalin was a crime boss nicknamed Pocky»

(11) Mikhail N. Kubeev «Fire at the Baku oil field»

(12) «The Empire of the Nobels. The story of the famous Swedes, Baku oil and the Russian Revolution»

(13) «Baku oilmen in the struggle for influence on the city police (1905-1907)»

(14) Simon Jonathan Sebag Montefiore «Young Stalin»

(15) «History lessons. General strike of 1904.»

(16) Evgeny Zhirnov "Without the assistance of the organization, the oil owners are not at all guaranteed against all sorts of surprises"

(17) Igor Shafarevich «Russophobia» Moscow, Rodina 2019 page 241

(18) Andrey G. Shavaev «Intelligence and counterintelligence». Page 100

(19) Alexander A. Fursenko «Rockefeller dynasty» Page 10

(20) Alexey Alekseev «Mind, oil and conscience»

(21) Evgeny Zhirnov «Kerosene Wars»

(22) Teymur Ataev «Year 1905. Fires in the Baku fields»

(23) Ibid

(24) Alexander Ogorodnikov «Laborer of the Revolution against the oil kings»

(25) Ibid

(26) «How Stalin worked for the Rockefellers and how it turned out for Russia»

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