US starts a new 'cold war' over Magnitsky affair: Furious Russia vows to list Americans blocked from entering country, after US votes to name and shame corrupt officials

Russian Ministry of Foreign Affairs described 'biased approach' as 'nothing but a vindictive desire to counter Russia in world affairs'

Sergei Magnitsky: The lawyer tasked with investigating the alleged fraud against Hermitage. Died in prison in 2009 after he was beaten and prison officials refused him treatment for a medical condition. (AP)

One of Russia's top foreign policy officials responded furiously and promised that Russia would indeed answer with its own list of Americans to be banned from entry to Russia.

"The reciprocal list will be fairly significant, if we name those behind Guantanamo, Abu-Ghraib, and the CIA secret jails, Mikhail Margelov, the chairman of the Foreign Affairs Committee of Russia's Federation Council.

"The list will include those who have violated human rights [in the Middle East], and that would be according to global opinion, and not just the opinion of this Mr Browder, who some experts feel is simply using the Magnitsky List as a diversion."

However, according to a poll by the Levada Centre, an independent Russian polling agency, 39 percent of Russians who had heard about the Magnitsky Act approved of it, rising to 45% among Muscovites.

Yesterday the US Senate voted to name and shame Russian officials involved in corruption and to forbid them from travelling to America or investing there.

The overwhelming vote in favour of the new law prompted a furious response from Moscow – as well as demands from two former British Foreign Secretaries, Sir Malcolm Rifkind and David Miliband, for a similar ban to be introduced by the UK.

The Russian Ministry of Foreign Affairs hit back, describing the “biased approach” as “nothing but a vindictive desire to counter Russia in world affairs”.

The Ministry published a series of furious remarks on its official Twitter feed: “It is perplexing and preposterous to hear human rights complaints from the US, where torture and kidnapping are legal in the 21st century. Apparently, Washington has forgotten what year this is and still thinks the Cold War is going on.

“The US decision to impose visa and financial sanctions on certain Russian citizens is like something out of the theatre of the absurd. Obviously, US passage of the ‘Magnitsky Law’ will adversely affect the prospects of bilateral cooperation.”

Sir Malcolm and Mr Miliband sit on opposite sides in the House of Commons, but both believe Britain needs to take a much more public stance against corruption and human rights abuses in Russia.

The American bill, which was passed by 92 to 4 votes in favour, is dubbed the “Magnitsky Law” – named after Sergei Magnitksy, a Moscow lawyer who died in Russian custody in 2009 after alleging that a circle of interior and tax ministry officials had conspired in a $230 million tax fraud scam.

Earlier this year, British MPs overwhelmingly passed a motion calling on the Government to bring in a British equivalent of the US legislation. But it has been fiercely resisted by Foreign Office officials, who fear that a public banned list would upset relations with Moscow.

But with President Obama now likely to sign the new law into effect today, British politicians are putting renewed pressure on Downing Street to act against corrupt officials who enjoy their ill-gotten wealth in London with few consequences.

In an interview with The Independent, Sir Malcolm Rifkind said Russian officials who are known to be corrupt should be banned. “The argument is that these individuals are criminals or are linked to criminal organisations and they have quite expensive lifestyles which they can’t fully enjoy in Russia,” he said. “Half the satisfaction they achieve is by being able to travel to a number of western countries. It’s affecting them where it hurts.”

He continued: “It’s not an action against the Russian government, because in theory they ought to be equally adamant to get hold of the people responsible for defrauding the Russian taxpayer and Russian government of billions of roubles.”

Mr Miliband, meanwhile, said Britain should at least explore the feasibility of a banned list now that Washington has passed its own law. “The Magnitsky case was a human tragedy but also raised profound questions for the Russian state,” he said.

“The Bill going through the US Congress about human rights abuses around the world - not just in Russia - should rouse the British government to look at what can be done here to follow suit.”

During the debate on Capitol Hill, Senators John McCain and Ben Cardin, a senior Republican Democrat duo who have pioneered so-called Sergei Magnitsky Rule of Law Accountability Act, explained why a banned list was needed.

The act itself would normalise America’s trade relations with Russia, but allow certain officials to be blocked if they were involved in corruption or human rights abuses. Senators Cardin and McCain ideally want the law to apply to all countries but the House of Representatives have only voted in favour of it affecting Russia.

“There are still many people who look at the Magnitsky Act as anti-Russia,” said McCain. “I disagree. I believe it is pro-Russia. I believe it is pro-Russia because this legislation is about the rule of law and human rights and accountability, which are values that Russians hold dear.”

Moscow, however, has responded furiously to the bill and has threatened to bring in its own banned list of US officials involved in human rights abuses such as Guantanamo Bay.

But Dominic Raab, the Tory MP, who has led calls for a British version of the Magnitsky Act, says the UK can no longer afford to be afraid of Russian reprisals. “It shouldn’t be viewed as a controversial request,” he said. “What we are asking for is a piece of legislation that stands up for human rights in Russia and says you can’t have blood on your hands and then come to Britain to buy up properties and shop for Christmas on the Kings Road.”

Magnitsky case: the key players

Sergei Magnitsky

The lawyer tasked with investigating the alleged fraud against Hermitage. Died in prison in 2009 after he was beaten and prison officials refused him treatment for a medical condition.

Dmitry Klyuev

Russian businessman, former owner of a bank that received the money from the tax rebates. Denies all knowledge of the fraud.

Bill Browder

American-born British founder and CEO of Hermitage Capital; has fought tirelessly in favour of a “Magnitsky list”.

Andrei Pavlov

The lawyer that Hermitage Capital says gave Klyuev legal support in a number of fraudulent deals. He denies this, and says he is friends with Klyuev.

Olga Stepanova

Stepanova was in charge of Tax Office 28 in Moscow, where she authorised $230m tax rebate. Bought luxury property despite her modest official salary.

Vladlen Stepanov

Businessman. He claims no involvement in fraud, says he divorced Stepanova several years ago and all money he has is his own. Partners with Alexander Perepilichnyy.