This will result in further debasement of the Ruble, and ultimately represents another self-inflicted wound for the Kremlin's economy.
There is logic to it, though: a lot of wealth Russians are pissed off because Putin's genocidal war is costing them money. By purchasing shares of the companies from them at above-market prices, Putin is essentially compensating the Russian elite for the costs of the sanctions. In doing so, he will further erode the living standards of ordinary Russians, and also erode his ability to feed and arm his genocidal army.
In authoritarian politics, this kind of a move makes sense, because the elites must be compensated in exchange for their ongoing support. The other people? They don't matter. They are not keys to power.
It is also worthwhile noting that one trillion rubles is roughly one billion dollars. Before trading was stopped, $200 billion dollars of market cap was wiped out.
Eventually the markets will re-open. Foreigners will be prohibited from selling. The Kremlin will try to use one billion dollars worth of Rubles to prop up the markets. I wouldn't rule out further manipulation such as a high volume of wash trades or who knows what else.
It is vital to cut off oil purchases from Russia to drain Putin of his access to foreign currency. The idea is absolutely not to hurt the Russian people, it is to starve Putin's killing machine.