Italy's £26m quandary: maintaining moored Russian oligarchs' yachts
In Italian ports, seven yachts owned by Russian oligarchs are moored. These assets have been immobilised since the start of the conflict in Ukraine. They cannot be confiscated, and their upkeep is expensive. The Italian government has already spent approximately £26 million on this.
Russian yachts moored in Italian ports form part of the immobilised assets due to European sanctions imposed on Russia immediately after the conflict in Ukraine began.
It appears that holding and maintaining these luxury boats comes at a high cost. The Italian state treasury is footing the bill, and the amounts run into millions.
"The Italian government spent about €32 million (£26 million) over two years on the upkeep of the seized yachts of Russian oligarchs. The Italian Ministry of Finance was responsible for all maintenance costs, including docking fees. In total, there are seven such vessels," reports the Nexta agency on the X platform.
Confiscated Russian yachts - the Italian government covers all expenses
Each luxury boat incurs significant maintenance costs. According to France 24, the Italian government takes care of it all. The docking fee is around £9,900 in winter and £24,600 in summer. Furthermore, the cost of electricity the port provides averages £8,240 per month. Additionally, there are fees for insurance, fuel, and the annual necessity to check and maintain the yacht's engines, which can cost up to £41,000 at a time.
Confiscation and sale not possible
The Italian government would prefer to officially confiscate the yachts of Russian oligarchs with the intention of reselling them. Unfortunately, legally, the status of these vessels is clear - they remain the property of their original owners.
What we have is a temporary immobilisation. These assets haven't been confiscated. Permanently immobilising them would pose legal challenges because it would infringe on fundamental human rights, including the right to property. No state can arbitrarily take possession of private property - said Andrea Saccucci, defender of Russian oligarchs.
The Kremlin is clear on its stance and threatens legal action against attempts to seize assets belonging to its citizens. Thus, the Italians and other European nations find themselves in a challenging situation.
