The United Kingdom on Wednesday gave Russian oligarch Roman Abramovich a final 90 days to transfer 2.5 billion pounds ($3.33bn) from the sale of Chelsea Football Club to Ukraine for humanitarian causes, or face potential legal action.
Abramovich Given Final Warning on Chelsea Sale Proceeds
The UK sanctioned Abramovich following Russia’s invasion of Ukraine in 2022, leading to the sale of the Premier League football club and a freeze on the sale proceeds.
The UK government wants the funds used exclusively for humanitarian efforts in Ukraine, aligning with a broader European initiative to hold Moscow accountable for the costs of the war.
Representatives for Abramovich were not immediately available for comment. He has previously expressed a desire for the funds to benefit all victims of the conflict.
Should Abramovich fail to release the funds within the 90-day timeframe, the government stated it is prepared to pursue legal action to enforce a 2022 agreement.
“It’s unacceptable that more than 2.5 billion pounds [$3.33 bn] of money owed to the Ukrainian people can be allowed to remain frozen in a UK bank account,” Finance Minister Rachel Reeves said.
Prime Minister Keir Starmer announced the UK will issue a licence to release the funds, allowing for their transfer to a new charitable foundation.
“We will consider any proposal from Mr Abramovich to make use of this clear legal route to establish the foundation and transfer the funds under the terms of the licence,” Reeves said in a statement to parliament.
European Union leaders are scheduled to review proposals on Thursday regarding the use of immobilized Russian sovereign assets to support Ukraine’s budget and defence needs – a move strongly opposed by Moscow.
Under Abramovich’s ownership, Chelsea experienced its most successful period in history before the club was sold to a consortium led by US investor Todd Boehly and private equity firm Clearlake Capital in May 2022.
The proceeds from the sale remain frozen in a British bank account and cannot be accessed or utilized without a licence from the Office of Financial Sanctions Implementation.
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