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Russia warns US and Europe over reports Ukraine may get its seized assets
(www.theguardian.com)
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this post was submitted on 22 Dec 2023
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This is the best summary I could come up with:
The Kremlin has threatened Europe and the US with “serious consequences”, including tit-for-tat financial seizures or even a break in diplomatic relations, if Russian assets held abroad are given to aid the Ukrainian budget and war effort.
A spokesperson for Vladimir Putin told reporters on Friday that if the Biden administration and European leaders planned to seize Russian central bank assets believed to be in excess of $300bn (£236bn) that were frozen after Moscow launched its full-scale invasion of Ukraine in February 2022, they should “realise that Russia will never leave those who do it alone”.
In an indication that European nations may be ready to sign on to the strategy, prosecutors in Germany said this week that they were applying to confiscate more than €720m (£624m) from the Frankfurt bank account of a Russian financial institution.
The US Treasury secretary, Janet Yellen, said the US would “not hesitate to use the new tools provided by this authority to take decisive and surgical action.” It would also affect the exports of diamonds and seafood, both of which originate in Russia but are mostly processed outside of the country.
Sergei Ryabkov, a deputy foreign minister, said he did “not want to dwell on negative scenarios”, but suggested that an asset seizure could serve as the “trigger for a possible outbreak of confrontation that may potentially lead to breaking off relations”.
The Ukrainian government had previously called on its supporters in the west to seize Russian assets to create a reconstruction fund for Ukraine, but the Biden administration has demurred, with Yellen saying in 2022 that the seizure was “not something that is legally permissible in the United States” without an act of Congress.
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