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Putin's People · Catherine Belton
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Putin's People

Catherine Belton

How the KGB Took Back Russia and Then Took On the West

33 min
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About the book

📖 “Putin's People - Catherine Belton” is a detailed analysis of the rise of Vladimir Putin and his close associates from the ranks of former KGB officers. The author, an experienced investigative journalist, reveals how this group gained power, took control of the Russian economy, and subsequently expanded its influence to the West. The book offers an in-depth look at the links between politics, business, and the secret services in modern Russia.

About the author

Catherine Belton is a British journalist and writer who worked as a Moscow correspondent for the Financial Times. During her time in Russia, she gained extensive contacts and a deep understanding of the local political and economic scene. Her book Putin's People was named one of the best books of the year by several media outlets and sparked a wide debate about Russia's influence on international politics.

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Summary and key ideas

Book summary prepared by ReWio. Original book author: Catherine Belton.

Introduction

The book Putin's People: How the KGB Took Back Russia and Then Took on the West by Catherine Belton presents a fascinating look at the rise of Vladimir Putin and his inner circle of former KGB officers. Belton reveals how this apparatus of power used the chaos following the collapse of the Soviet Union to consolidate control over key institutions, the economy, and the media, turning Russia into an authoritarian state with global ambitions. Through examples of corruption, media manipulation, hybrid warfare and the use of compromising materials, the author paints a disturbing picture of how power structures can outgrow democratic mechanisms and dominate society. The book is a warning not only for Russia, but also for Western democracies, which are under constant pressure from this sophisticated system.

Putin's rise to power

When the Soviet Union collapsed, Russia found itself in chaos. The economic crisis, political instability and the desperation of ordinary people created a breeding ground for those who were able to exploit the situation to their advantage. Vladimir Putin, a former KGB agent, was one of them. His path to power was not accidental. It was the result of a carefully planned strategy supported by his allies among the ranks of former intelligence officers. In the 1990s, when Boris Yeltsin was struggling for political survival, Putin was subtly building his reputation. Working in Leningrad (later St Petersburg) as head of foreign relations allowed him to get to know influential businessmen and politicians. After moving to Moscow, he became part of the team that ran the FSB intelligence service, the successor to the KGB. Here he began to use the methods he had mastered from his days in the KGB - collusion, manipulation and creating a network of loyal allies. The year 1999 was a turning point. When Yeltsin stepped down as president, Putin, until then a relatively unknown figure, was appointed as his successor. The move shocked many. Why did Yeltsin choose Putin? The answer lies in his ability to appear inconspicuous while gradually consolidating his power. In addition, Yeltsin and his entourage needed someone to protect them from prosecution and guarantee the continuation of their interests. Putin took advantage of his position and quickly gained control of the Russian government. He knew exactly where the weaknesses in the system were and focused on strengthening them. With the support of loyal oligarchs who had made their fortunes in the chaos of the 1990s, he began to remake Russia in his own image. He presented himself to the public as the man who would bring stability, restore national pride and improve the lives of ordinary citizens. His tactics were sophisticated. Not only did he consolidate his power, but he also eliminated political rivals. A significant moment was the arrest of Mikhail Khodorkovsky, one of Russia's richest men, who dared to criticise Putin. This move sent a clear signal: no one is untouchable. Vladimir Putin has succeeded in doing what others have failed to do - he has transformed Russia into a centralised state where all power flows directly from him. His rise has been a demonstration of how the system can be manipulated, how crises can be exploited and how power can be built on the ruins of a crumbling empire. This story is also a warning - it shows how easily democracy can be overthrown if the wrong people take over.

Taking control of the economy

One of Vladimir Putin's most significant actions after coming to power was to secure control of the Russian economy. This transformation was not just about economic strategies, but above all about power plays that transformed Russia's economic elite into a group of loyal allies. Key to this plan was the removal of independent oligarchs and their replacement by those who were willing to serve the interests of the state - or, more precisely, the interests of Putin himself. In the 1990s, during Boris Yeltsin's reign, a generation of oligarchs emerged who took advantage of the chaos of privatisation to acquire vast fortunes. Names like Mikhail Khodorkovsky, Boris Berezovsky and Vladimir Gusinsky were synonymous with quick riches and political influence. However, these businessmen did more than Putin could afford to tolerate - some of them publicly criticised the government, others tried to fund the opposition. Putin's response has been ruthless. In 2003, Khodorkovsky, then Russia's richest man and owner of oil giant Yukos, was arrested on tax evasion charges. His company was subsequently broken up and its most valuable assets ended up in the hands of state-owned Rosneft, run by Igor Sechin, one of Putin's closest allies. This process not only removed one of the most influential oligarchs, but also sent a clear message to the entire business elite: loyalty to the Kremlin is not an option, but a necessity. While some were removed, others found their way to Putin and his circle. Roman Abramovich, famous for his ownership of Chelsea football club, is one example of an oligarch who has understood the rules of the new game. Abramovich and others have become part of Putin's "economic court" where their wealth was conditional on their loyalty and willingness to support state interests. Under Putin's leadership, key sectors of the Russian economy - energy, banking and the media - have come under the control of either the state or oligarchs close to the Kremlin. Companies such as Gazprom and Rosneft have become instruments of political influence, not only in Russia but also on the international stage. Gazprom, for example, uses its dominant position in supplying gas to Europe as a lever for geopolitical bargaining. This model of controlling the economy has had a double effect. On the one hand, it has provided Putin and his allies with enormous wealth, which they have been able to use to maintain their power. On the other, it has created a system in which any economic resistance to the regime is virtually impossible. Entrepreneurs had to choose - be part of the system or risk their wealth, their freedom and sometimes even their lives. The takeover of the Russian economy was more than just an economic move. It was both a strategic move to secure political control and proof that power in Putin's Russia flows from the top down, with only one man making the rules. This process shows how an authoritarian regime can use economic levers to consolidate its dominance - and how quickly economic freedom can turn into a tool of political manipulation.

Corruption and organised crime

Putin's Russia is an example of a country where corruption is not just a side-effect of power, but an integral part of it. Since he came to power, a system has developed in which the boundary between the state and organised crime is virtually non-existent. This symbiosis has not only guaranteed the loyalty of important actors, but has also given the regime the tools to assert its power at home and abroad. In the 1990s, when Russia was undergoing a chaotic transformation from a planned economy to a market economy, corruption became the main way of 'slipping through the system'. Many former KGB agents, including Putin, used their connections to control key sectors of the economy. A system emerged where loyalty was rewarded with access to resources, while resistance meant financial, political or physical destruction. Organised crime was more than a passive observer in this system. On the contrary, it became a partner of the government. The Russian mafias, which gained enormous influence during the 1990s, found common ground with the state. The state gave them protection and access to public resources in exchange for loyalty and services that official institutions could not perform. For example, money laundering through Western banks became one of the main tools of the Russian regime to maintain its wealth and power. One of the most famous cases that illustrate this connection is the murder of investigative journalist Anna Politkovskaya in 2006. Politkovskaya had long exposed the links between the state, the security services and the mafia. Her death was a clear warning to other journalists and activists that the interests of the state take precedence over truth and justice. Corruption and cooperation with criminal structures are not limited to Russia. The Kremlin has managed to penetrate the West, where it uses corrupt practices to gain influence. Money laundering through London real estate or investments in Western businesses is not only an economic strategy, but also a way of undermining Western democratic systems. This approach has not only financial but also geopolitical objectives, because destabilising the West strengthens Putin's position at home. One of the tools used by the Putin regime to maintain this system is the so-called 'kompromat' - the collection of compromising material on political leaders, businessmen and other influential figures. These materials can be used to blackmail or discredit inconvenient individuals, thereby ensuring absolute control over all layers of society. Corruption and organised crime have thus become more than just a problem in Russia. They are the basis of a regime that realises that without them, its power could not survive. This model shows how a country that prioritises power and control over justice and transparency can create a system where no one is safe - neither at the top nor at the bottom of the social hierarchy.

Foreign influence

Following the consolidation of power in Russia, Vladimir Putin and his regime have turned their attention abroad. Foreign influence has become an important tool to strengthen Russia's position as a global power. Whereas during the Cold War the Soviet Union used ideology to export its influence, Putin's regime has deployed a more sophisticated strategy - a combination of economic leverage, disinformation campaigns and direct interference in democratic processes. One of the main methods of spreading influence is the use of energy resources as a political weapon. Gazprom, Russia's state-owned energy giant, is not only a business entity, but also a tool for the Kremlin to influence European countries. Germany, for example, which is one of the largest consumers of Russian gas, has faced long-term political pressure to support projects such as Nord Stream 2, which increases its dependence on Russia. The energy dependence of countries thus allows Moscow to advance its geopolitical interests while undermining solidarity within the EU. Another key tool is disinformation. Russian media such as RT (Russia Today) and Sputnik systematically spread propaganda aimed at dividing society and undermining trust in democratic institutions. Disinformation campaigns often target sensitive issues such as migration, racial issues or electoral processes and support extremist groups and populist leaders who have the potential to destabilise the political system. Direct interference in electoral processes is another tool used by the Putin regime to influence political developments in the West. The most notorious case is Russia's interference in the 2016 US presidential election. Through cyber-attacks, leaks of sensitive information and coordinated campaigns on social media, Moscow managed to sow doubts about the integrity of the electoral system and polarise American society. The Putin regime is also investing in 'soft power', where it is seeking to forge ties with political, economic and cultural leaders in the West. Through financial support, donations and investments, he is building influential networks that help him advance his interests. London, often referred to as 'Londongrad', is one of the main places where the Russian elite invest their money and gain access to Western circles. Part of this strategy is to support separatist movements and conflicts that weaken international institutions such as NATO and the EU. An example is Russia's support for the Catalan independence referendum, which was accompanied by massive disinformation campaigns on social networks. In this way, Moscow is deliberately undermining the unity of the West and strengthening its position on the international stage. However, the foreign influence of the Putin regime does not only serve to weaken its opponents. It also strengthens its domestic legitimacy. Propaganda portrays Russia as a strong country that is defying the 'corrupt West' and returning to the forefront of world politics. This narrative maintains popular support and diverts attention from internal problems such as corruption, economic stagnation and human rights abuses. The strategic expansion of foreign influence is proof that the Putin regime is willing to cross borders and use all available means to further its goals. This tactic, which combines hard power with sophisticated manipulative tools, shows how a modern authoritarian state can adapt to a globalised world and reshape it to its advantage.

Russia's renewal of power

When Vladimir Putin came to power, Russia was a country in deep decline. The collapse of the Soviet Union in 1991 left the economy in ruins, the political structure shattered and national pride trampled. The restoration of Russia's power became the central theme of his government, using a combination of authoritarian governance, economic consolidation and an aggressive foreign policy. One of the first steps was the consolidation of central power. Putin systematically limited the autonomy of the regions that had created their own power centres during the 1990s. He introduced a system of 'verticals of power' in which governors were directly appointed by Moscow, effectively eliminating any form of regional independence. By taking this step, Putin ensured that his government would be unified and centralized. Economic recovery was the second pillar of his strategy. Using the revenues from the sale of oil and gas, which had seen huge price rises under his rule, he was able to stabilise the economy and create a semblance of prosperity. These resources were subsequently used to finance major projects such as the 2014 Winter Olympics in Sochi, which served as a showcase for the 'new' Russia on the global stage. However, the restoration of power was not just about internal changes. Putin's regime has actively sought to restore the international influence that Russia lost after the fall of the Soviet Union. One of the key steps was the creation of the Eurasian Economic Union, which was intended to serve as a counterweight to the European Union. At the same time, Russia has become an active player in global conflicts, from the war in Syria to the annexation of Crimea in 2014. These steps were intended to show that Russia was once again capable of influencing world events. The annexation of Crimea was a particularly symbolic moment. For Putin, it was not just about geographical gain, but about the restoration of Russia's historical and cultural identity. Propaganda in the media portrayed the move as a return of Russia to its imperial roots, sparking a wave of national pride. The Western sanctions that followed were presented in Russia as further evidence that the West was trying to undermine the greatness of the Russian nation, thereby strengthening support for Putin at home. Putin also restored control over the Russian military, which had been in a state of disrepair after the fall of the Soviet Union. Investments in modernising the military arsenal and increasing the defence budget have shown that Moscow is ready to confront the West not only economically but also militarily. Military exercises and shows of force, such as the deployment of troops in Ukraine, have reinforced Russia's image as a great power. Part of this renewal has also been an ideological transformation. Putin and his regime have created a narrative in which Russia has become the defender of 'traditional values' against the 'decadent West'. This ideological framework has allowed him not only to mobilise support at home, but also to build alliances with far-right and conservative groups around the world. Russia's restoration of power has been one of Vladimir Putin's greatest achievements. However, this process was built on authoritarian practices, restrictions on citizens' rights and an aggressive foreign policy. Although it has brought a short-term sense of national pride and stability, its long-term consequences are questionable - from economic stagnation to Russia's growing isolation on the global stage. This return to empire shows how delicate the balance between power and freedom can be.

Manipulation of the media

One of Vladimir Putin's most important strategies in consolidating power has been the control of the media. Under his leadership, the Russian media has become a powerful propaganda tool that shapes public opinion, eliminates opposition and creates an image of a state that serves only one leader. The manipulation of the media was gradual but systematic, making it a key weapon in his authoritarian regime. At the turn of the millennium, when Putin took power, the media environment in Russia was relatively diverse. There were several independent TV channels, such as NTV, which openly criticised the government and raised sensitive political issues. However, soon after Putin took office, the process of 'taming' the media began. NTV, owned by oligarch Vladimir Gusinsky, became the first target. After a series of allegations of tax evasion and financial fraud, Gusinsky was forced to sell his company to state-controlled Gazprom. The move was a warning to all other media owners. Gradually, all the main TV channels came under the control of the state or oligarchs loyal to Putin. An example is the case of ORT TV (now Pervyi kanal), which was taken over by Roman Abramovich, another Kremlin ally. This has created an information monopoly in which the state has absolute control over the content that reaches the public. Television, as the most important source of information for the majority of Russians, has become the main instrument of manipulation. However, control has not been limited to television. The state has also started to interfere in the print media and online space. Independent newspapers such as Novaya Gazeta, which have maintained a critical stance, have faced constant threats, ranging from lawsuits to violent attacks on journalists. The Internet, which initially acted as a platform for alternative voices, has become another target for censorship. Through laws on 'extremism' and 'child protection', the government began to block websites and interfere with social networks. Manipulating the media was not just about censorship. Putin's regime actively created narratives that served its interests. The official media presented an image of Putin as a strong leader, protecting Russia from "enemies" in the West and restoring national pride. The theme was often foreign enemies who were allegedly undermining Russia's stability. This narrative has helped distract attention from internal problems such as corruption and economic stagnation. One of the most prominent propaganda tools has been disinformation campaigns. Through platforms such as RT (Russia Today) and Sputnik, which target foreign audiences, the Kremlin has disseminated narratives that have polarised society and undermined trust in democratic institutions. This tactic has been effective not only at home but also abroad, where Russian disinformation has influenced elections, supported extremist groups and undermined the unity of Western countries. Media manipulation has been one of the main pillars of the Putin regime. It allowed him not only to consolidate power, but also to create an alternative reality in which the image of Russia and its leader was constantly improved. This system shows how the control of information can serve to entrench authoritarian rule - and how the absence of a free media can lead to a loss of truth and accountability.

The use of compromising material

One of the most powerful tools of Vladimir Putin and his regime is the use of compromising material, known as 'kompromat'. This tactic, inherited from the days of the KGB, plays a key role in maintaining control over political opponents, businessmen and even foreign actors. Kompromat is not just about gathering scandalous information - it is a system that undermines trust, eliminates opposition and secures loyalty. Even during his time in the KGB, Putin learned that compromising information can be more powerful than any direct threat. This tactic developed especially during his rule, when it became an essential tool in controlling the elites. Russian oligarchs, who built up vast fortunes during the wild 1990s, were the first targets of this system. The regime systematically collected documents on their financial operations, tax evasion or personal lives, which could be used at any time to blackmail them. One of the most famous cases is the fate of Mikhail Khodorkovsky, the owner of the oil giant Yukos. When Khodorkovsky dared to criticise Putin and support the opposition, the state used a series of charges against him, including tax fraud. This case has not only destroyed one of the most influential oligarchs, but has also sent a clear signal to others: no one is untouchable. Compromise is not limited to the domestic environment. The Putin regime is also using this tactic on the international stage. For example, there are well-known cases where the Russian secret services have attempted to compromise foreign politicians or diplomats through secretly recorded meetings or forged documents. This practice serves not only to blackmail, but also to destabilise political systems in other countries. The use of compromising material relies on a sophisticated intelligence system that ranges from traditional surveillance methods to modern cyber tools. Cyber-attacks on government institutions, political parties or the media have given the Kremlin access to vast amounts of sensitive information. This material is subsequently used to influence public opinion or as leverage in geopolitical negotiations. This tactic is also linked to propaganda. Compromising material is often published through pro-Russian media or anonymous leaks, thereby deliberately destroying the careers and reputations of inconvenient individuals. This practice was evident, for example, during the 2016 US presidential election, when leaked emails from the Democratic Party sparked scandals that helped polarise society. In the domestic context, kompromat also serves to maintain loyalty among Putin's allies. It creates an atmosphere of fear where no one can be sure that their past will not one day be used against them. This system effectively eliminates any hint of resistance because everyone knows that the slightest act of disobedience can lead to his destruction. The use of compromising materials is a symbol of how the Putin regime has transformed traditional instruments of power into modern weapons of authoritarian control. This system is not only about manipulating individuals, but also about creating an atmosphere where fear and insecurity serve to maintain power. It shows that in an authoritarian state, truth and transparency have no place when power interests are on the table.

Hybrid war

Hybrid warfare has become one of the main tools of Vladimir Putin and his regime in advancing power objectives on the international stage. This concept, which combines military, economic, cyber and information tactics, represents a new way to destabilize an adversary without open conflict. For Putin's Russia, hybrid warfare is an effective way to advance its interests and weaken the West while maintaining formal neutrality. One of the first prominent examples of hybrid warfare was the annexation of Crimea in 2014. Russia used a combination of unmarked military units ('little green men'), propaganda and local pro-Russian separatists to secure control of the peninsula. The Kremlin officially denied the entire operation, which prevented direct military intervention by the West. This approach showed how hybrid warfare can cross the boundaries between conventional conflict and covert operations. Another aspect of hybrid warfare is cyber attacks. Russian hacker groups such as Fancy Bear or Cozy Bear are carrying out sophisticated attacks on government institutions, infrastructure and political parties around the world. For example, during the 2016 US presidential election, cyberattacks and email leaks were aimed at undermining the democratic system and increasing the polarisation of society. Similar attacks have also hit countries such as Estonia, where Russian cyberattacks crippled critical infrastructure in 2007. Propaganda and disinformation campaigns are another key component of hybrid warfare. Russian state media, such as RT and Sputnik, along with social networks, spread fake news and polarising narratives that undermine democratic institutions and support extremist groups in Europe and America. This tactic was successfully used to manipulate public opinion during the Brexit referendum or the Catalan independence referendum. Economic pressure is also part of the hybrid strategy. Russia is using its energy dominance, particularly gas supplies, for political blackmail. The disruption of gas supplies to Ukraine in the winter of 2006 and 2009 showed how Moscow uses energy resources to advance its interests. Similarly, sanctions against states that dare to defy Russia are another way of influencing political decisions. However, hybrid warfare is not just about destabilising external enemies. The Putin regime is also using it to maintain power at home. By manipulating information and spreading nationalist narratives, the regime is able to distract the public from internal problems such as corruption and economic stagnation and to reinforce the sense of threat from the West. This fear allows the Kremlin to legitimise its authoritarian measures and maintain public support. Hybrid warfare is not just a set of tools, but a comprehensive strategy that blurs the lines between war and peace. For Vladimir Putin, it is a way of promoting his vision of a world in which Russia plays a key role. This approach shows that modern conflicts are not only won with weapons, but also with information, technology and a strategy that turns the weaknesses of the adversary to its advantage. Hybrid warfare thus represents a new way of conducting geopolitical conflicts that is as effective as it is dangerous.

Final summary

Putin's People is more than a chronicle of Putin's rule - it is a profound analysis of how modern authoritarian regimes adapt to a globalized world. Catherine Belton shows how the combination of old KGB methods and modern technology has enabled Putin to transform Russia into an instrument of his power. Control over the media, the use of compromising materials and economic leverage, as well as hybrid tactics against foreign countries represent a model that threatens not only Russia's stability but also the global order. The book is a warning of how easily democracy can be undermined if its adversaries are able to seize critical systems of power. For the reader, it is a reminder that the struggle for freedom and truth requires vigilance not only at home but also on the global stage. Do you have feedback for us? We'd love it if you let us know your opinion on our content! Just send an email to feedback@rewio.app with the title of this book in the subject line and share your impressions!

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