Overview
- The OFSI licence authorises the frozen funds to go to a new charitable vehicle for humanitarian support in Ukraine and prohibits any benefit to sanctioned individuals.
- Downing Street says Abramovich must set up the foundation and complete the transfer within 90 days or the government will seek relief through the courts.
- The proceeds have been frozen in a UK bank account controlled by Abramovich’s company Fordstam since the 2022 sale and legally remain his unless moved under licence.
- The deadlock has centered on Abramovich’s preference to aid ‘all victims’ of the war rather than Ukraine-only spending, which the new licence now stipulates.
- The UK step coincides with wider European moves to use frozen Russian assets for Ukraine, including EU proposals linked to large holdings at Euroclear.