His first marriage was to Yelizaveta Stepanovna (maiden surname unknown), with whom he had three daughters: Vera, Tatyana, and Elena.

His second marriage was to Maria Ivanovna Chronovskaya, who bore him a daughter who died in infancy [1] two sons, Leonid and Nikolai.

On the night of January 25–26, 1918, at a secret meeting of the Siberian Regional Duma, he was elected in absentia and without his consent to be the Minister of Railways in the center-left anti-Bolshevik government of Peter Derber.

In April 1918, at a meeting of shareholders of the Chinese Eastern Railway (CER), he was elected a member of the provisional board of the CER, was a member of the so-called "Business Cabinet" headed by General Dmitry Horvat as Minister of Communications (Railways).

He was considered one of the most competent members of the government of Alexander Kolchak, but had little interest in political issues.

However, according to historians, a dual power arose between Ustrugov and the American engineer Stevens, which had a negative effect on the work of the railway.

On February 15, 1938, he was sentenced by the Military Collegium of the Supreme Court of the USSR to be shot on charges of espionage and participation in a counter-revolutionary organization.

On the same day, he was shot and buried at the Kommunarka shooting ground located southwest of Moscow.