Support The Moscow Times!

Tour Agency Bankruptcy Leaves 25,000 Russians Stranded Overseas

Some hotels have already begun evicting Labirint travel agency clients. Hoyasmeg / Flickr

A major Russian travel operator has suspended operations, citing a "negative political and economic situation" and leaving an estimated 25,000 clients stranded overseas, after Western nations tightened sanctions on Moscow for its meddling in the Ukrainian crisis.

Labirint travel agency said in a statement it could not withstand the combined effect of sluggish booking on foreign travel, provoked in part by the deepening rift between Moscow and the West and the erosion of Russians' purchasing power caused by a sharp weakening of the Russian ruble, and a government recommendation to ban foreign travel for military servicemen and law enforcement employees.

Some hotels in Spain and Greece have already begun evicting Labirint clients, a spokeswoman for Russia's state travel watchdog Rosturism, Irina Schegolkova, told Interfax.

An association of Russian tourism agencies set up to provide emergency travel assistance, Turpomosch — which translates as "Tour Help" — said it would try to "evacuate" all of Labirint's clients who are stranded abroad, but it remained unclear if the association could raise enough funds to bring home an estimated 25,000 people, Irina Tyurina, a spokeswoman for the Russian Travel Industry Union, was quoted as saying by Itar-Tass.

Scores of other customers have paid Labirint for booking future tours and will now have to seek refunds. But Tyurina said it was not yet clear how many people may be affected.

Labirint said that it was also forced out of business by an "unresolvable conflict" with Orenburg Airlines — which on Friday cut ties with another travel operator with which Labirint is affiliated, Ideal Tour, Itar-Tass reported.

Orenburg Airlines is also the company that was to take over some routes of Russia's low-cost carried Dobrolyot, which suspended operations this weekend after the European Union slapped sanctions on it in late July in connection with the Ukraine crisis.

See also:

Neva Travel Agency Bankruptcy Leaves Thousands Stranded

Sign up for our free weekly newsletter

Our weekly newsletter contains a hand-picked selection of news, features, analysis and more from The Moscow Times. You will receive it in your mailbox every Friday. Never miss the latest news from Russia. Preview
Subscribers agree to the Privacy Policy

A Message from The Moscow Times:

Dear readers,

We are facing unprecedented challenges. Russia's Prosecutor General's Office has designated The Moscow Times as an "undesirable" organization, criminalizing our work and putting our staff at risk of prosecution. This follows our earlier unjust labeling as a "foreign agent."

These actions are direct attempts to silence independent journalism in Russia. The authorities claim our work "discredits the decisions of the Russian leadership." We see things differently: we strive to provide accurate, unbiased reporting on Russia.

We, the journalists of The Moscow Times, refuse to be silenced. But to continue our work, we need your help.

Your support, no matter how small, makes a world of difference. If you can, please support us monthly starting from just $2. It's quick to set up, and every contribution makes a significant impact.

By supporting The Moscow Times, you're defending open, independent journalism in the face of repression. Thank you for standing with us.

Once
Monthly
Annual
Continue
paiment methods
Not ready to support today?
Remind me later.

Read more