Crimea 'Nationalizes' Yalta Film Studios

The authorities in Russian-annexed Crimea said Friday they have nationalized film studios in the Black Sea resort of Yalta, famous for Soviet productions including Andrei Tarkovsky's classic "Solaris".

Crimea's State Council, the ruling regional body, passed a resolution saying the studios have been incorporated "into the property of the republic." 

It said this was "due to the necessity of their future use for the needs of the Crimean Republic."

Since Russia's annexation of Crimea from Ukraine a year ago, hundreds of businesses and enterprises have been taken over by the Russian state. These include previously Ukrainian state-owned and privately held entities.

The old Soviet Yalta film studios had been privatized by Ukraine, then sold to a Russian company, in 2003. In 2010 the studios were sold to two Russian bankers and film producers, Sergei and Andrei Arshinov.

The Arshinovs have disputed Crimea's right to nationalize the studios, which the brothers valued at $45 million. When Crimea's authorities last year ordered the forced buyout, they offered just $250,000 in compensation.

After Crimea's annexation, Russian President Vladimir Putin called for the Crimean authorities to revive the studios, while saying they should "compensate somewhat if possible," the owners and "come to an agreement in a civilized way." 

Kremlin-connected, Oscar-winning Russian director Nikita Mikhalkov also backed the takeover.

"Maybe you can't shoot New York in Crimea but you can shoot everything else.... You can shoot everything here: sea, mountains, fields and steppes and waterfalls," Mikhalkov said, quoted by RIA Novosti news agency.

Yalta film studios opened in 1917 and grew into a major Soviet film-making base. The studios include a pool to shoot aquatic scenes and have a large collection of classic cars but are in much need of renovation.

Tarkovsky shot sci-fi masterpiece "Solaris" in Yalta in 1972. The studios were also used to make a large number of Soviet comedies and fantasy films, with directors attracted by Crimea's wild scenery and sunny climate.

In recent years, the film studios fell into disrepair and struggled to survive, although they were used by the makers of hit Russian films including Fyodor Bondarchuk's 2005 Afghan war drama "Company 9."