While I love the concept, I don't think your Gremlin is quite, I dunno, Soviet enough. Yeah, he has a hammer and sickle on one arm but he needs something more. Maybe a hat with ear flaps and some vodka? I'm not really sure what it needs exactly, but something is definately lacking.
THIS is excellently hilarious... or hilariously excellent. Looks great on the shirt, too... and the shirt looks great on Gorby... so, a winner all the way around. Is it available as pajama set? That would rock! $5
Deadpuppy, I tried the hat first, but finally I liked the spot in the head instead. And dont forget the fist, but maybe is only a little detail. But I agree with your idea, another detail(s) would be uppering the level. Anyway, I like it only with these little details.
This makes me think of that really old Warner Brothers cartoon called "Russian Rhapsody"... It was made during WWII, and it featured a bumbling/shortfused Hitler as a character. The gremlins in the cartoon did a song and dance number called "Gremlins from the Kremlin"... http://youtube.com/watch?v=4xs8TVkJSUc (It's kind of surreal to watch.)
It's done with 5 colours, but can be printed in 4, changing the light red by the light green, as you can see in Gorbachov's tee.