of relatives living in villages who took them in. Former Minister of the Chemical and Oil Refining Industry of the USSR Salambek Khadzhiyev was appointed leader of the officially recognized Chechen government in November 1994. The conflict ended after the Russian defeat in the Battle of Grozny of August 1996. Interwar period (1996–1999) According to Russian sources, after the Russian withdrawal, crime became rampant, with kidnappings and murders multiplying as rival rebel factions fought for territory. In December 1996, six Red Cross workers were killed, resulting in most foreign aid workers leaving the country. Parliamentary and presidential elections took place in January 1997 in Chechnya and brought to power Aslan Maskhadov. The elections were deemed free and fair, but no government recognized Chechnya's independence, except for the Islamic Emirate of Afghanistan. According to a 1997 Moscow Times article, ethnic Russian refugees were prevented from returning to vote by threats and intimidation, and Chechen authorities refused to set up polling booths outside the republic. Maskhadov sought to maintain Chechen sovereignty while pressing Moscow to help rebuild the republic, whose formal economy and infrastructure were virtually destroyed in Russia's war against Chechen independence from Moscow. In May 1997, the Russia–Chechen Peace Treaty was signed by Maskhadov and Yeltsin. Russia continued to transfer funds for schools and hospitals in Chechnya and paid pensions to its residents. Some of this money was stolen by the Chechen authorities and divided between the warlords. Nearly half a million people (40% of Chechnya's prewar population) have been internally displaced and lived in refugee camps or overcrowded villages. The economy was destroyed. Two Russian brigades were stationed in Chechnya and did not leave. Maskhadov made efforts to rebuild the country and its devastated capital Grozny by trading oil in countries such as the United Kingdom. Chechnya had been badly damaged by Russia's war against the newly formed republic's independence, and the economy was in shambles. According to Russian sources, Aslan Maskhadov tried to concentrate power in his hands to establish authority, but had trouble creating an effective state or a functioning economy. Maskhadov requested $260 billion in war reparations from Russia to rebuild infrastructure destroyed in heavy Russian fighting, an amount equivalent to 60% of the Russian GDP. The war ravages and lack of economic opportunities left numbers of armed former guerrillas with no occupation. Machine guns and grenades were sold openly and legally in Grozny's central bazaar.