Fridman battles Luxembourg over £12.8 billion asset freeze
Russian businessman Mikhail Fridman believes that Luxembourg's freezing of his assets as part of the implementation of EU sanctions is akin to illegal appropriation. He is demanding compensation for his holdings from the Luxembourg government.
Russian billionaire Mikhail Fridman, through his representatives, has approached the Luxembourg government with a proposal to negotiate an amicable resolution of the dispute over compensation for assets which he claims were "confiscated" by that country, reports the "Vedomosti" daily.
If the Luxembourg government refuses, Fridman is prepared to file a claim with international arbitration.
Two sources who had access to the notice's contents conveyed information on this matter to Vedomosti. Fridman's legal team sent the notice to the Luxembourg authorities back in February, but they have yet to receive a response. The billionaire believes that Luxembourg's freezing of his assets as part of the implementation of EU sanctions is equivalent to illegal expropriation.
Almost £12.8 billion in compensation
Fridman demands that Luxembourg pay compensation amounting to £12.8 billion (1.4 trillion rubles). This figure is based on his estimates of the total value of frozen assets in that country.
This is an approximate value because, due to the sanctions, Fridman is unable to use valuation experts from the European Union. Additionally, his Luxembourg-based companies are prohibited from providing him with any financial information.
Targeted by the West
In April, the EU Court ruled that Russian oligarchs Peter Aven and Mikhail Fridman were unjustly placed on the sanctions list by the Council following Russia's invasion of Ukraine, and their names should be removed from the list. Both are shareholders of Alfa Group, which owns Alfa Bank, one of the largest banks in Russia.
The Council decided to place both businessmen on the list right after Russia invaded Ukraine, considering them to be linked with Vladimir Putin and circles close to the Russian president. According to the Council, they provided material or financial support to Russian decision-makers and supported Kremlin actions directed at Ukraine.
The financial assets of Aven and Fridman were frozen after they were placed on the sanctions list.
