a minute agoEC plans seizure of Russian assets for Ukraine reconstruction
Periskopi(4 years ago)
(4 years ago)The luxury of the Russian oligarchs who have been seized under EU sanctions can be confiscated to finance Ukraine's post-war reconstruction. The European Commission has proposed this a new plan, which raises a host of legal questions. EU countries have seized and frozen almost 10 billion euros in physical assets. [...]
The European Commission has proposed this a new plan, which raises a host of legal questions.
EU countries have seized and frozen almost 10 billion euros in physical assets. They have also blocked financial transactions worth 196 billion euros.
European Commission President Ursula von der Leyeen, Baltic states and Slovakia are among those who have expressed their support for the proposal, arguing that those responsible for the damage must pay the big bill, instead of the EU carrying the burden.
Didier Reynders, the European Justice Commissioner said: “So the total amount of money will be placed in a common fund for Ukrainian victims and probably to participate in the first steps in the reconstruction of Ukraine, but, of course, you must have a transfer of ownership from freezing to seizure. Under judicial decision it will be able to organise”.
The proposal unveiled Wednesday is only the first step. The European Parliament and the Council of the EU must negotiate and think the draft initiative before adopting a final version.
A debate has also surfaced over the future of Russian Central Bank currency reserves. An estimated 283 billion euros are globally frozen.
It is a legally complicated process because, at the moment, Russian state-owned assets are protected under international law.
