{"id":3532,"date":"2025-12-19T12:23:20","date_gmt":"2025-12-19T13:23:20","guid":{"rendered":"http:\/\/www.youtubexyoutube.com\/?p=3532"},"modified":"2025-12-19T13:47:15","modified_gmt":"2025-12-19T13:47:15","slug":"russia-ups-legal-risk-for-european-banks-over-frozen-assets","status":"publish","type":"post","link":"http:\/\/www.youtubexyoutube.com\/index.php\/2025\/12\/19\/russia-ups-legal-risk-for-european-banks-over-frozen-assets\/","title":{"rendered":"Russia ups legal risk for European banks over frozen assets"},"content":{"rendered":"
Moscow has pledged to widen arbitration proceedings over the freezing of its sovereign funds beyond Belgian-based depository Euroclear<\/strong><\/p>\n Russia has said it will expand its lawsuit over frozen assets beyond Belgian-based depository Euroclear to include European banks that also hold the funds.<\/p>\n Kiev\u2019s Western backers froze $300 billion in Russian central bank assets under Ukraine-related sanctions, around half of it held at Euroclear, but failed on Thursday to approve the use of the assets as collateral for a \u2018reparations loan\u2019 to finance Kiev\u2019s collapsing economy and military.<\/p>\n Some EU members intend to raise \u20ac90 billion for Kiev through common debt, passing the cost of financing Ukraine to the taxpayers. Russia, which has condemned the freeze as \u201ctheft,\u201d<\/em> said last week it is suing Euroclear for damages caused by its \u201cinability to manage\u201d<\/em> the assets.<\/p>\n As EU leaders were attempting to back the \u2018reparations loan\u2019 plan on Thursday, the Bank of Russia announced in a statement: \u201cIn view of the ongoing attempts by EU authorities to illegally seize and use the Bank of Russia\u2019s assets\u2026 [it] will claim damages from European banks in a Russian arbitration court for the illegal blocking and use of its assets.\u201d<\/em>\u00a0<\/p>\n \n Read more<\/strong><\/span><\/p>\n The move is aimed at \u201cprotecting its interests,\u201d<\/em> the regulator said, noting that the claim will cover all illegally withheld assets and lost profit.<\/p>\n The EU earlier dismissed Moscow\u2019s lawsuit against Euroclear as \u201cspeculative,\u201d<\/em> but some legal experts<\/a>\u00a0and officials warn it could damage the bloc\u2019s financial institutions if it spreads beyond Russia, triggering lengthy cross-border litigation, reputational harm, and risks to the EU\u2019s investment climate.<\/p>\n Shortly after the case was filed, Fitch Ratings put the depository on watch for a possible downgrade, citing legal and liquidity risks. Kirill Dmitriev, the Russian presidential adviser on international investment, said a downgrade could drive investors to move funds elsewhere.<\/p>\n