Switzerland recognizes illegal confiscation of assets of Russians in favor of Ukraine

The Swiss Ministry of Justice declared illegal the possibility of confiscation of Russian private assets, which are in the country’s banks, to use them in the restoration of Ukraine. Such a decision published on the website of the Federal Council (government) of Switzerland.

“A working group led by the Federal Office of Justice (FOJ) concluded that the confiscation of private Russian assets would undermine the Federal Constitution and the existing legal order,” the statement said.

However, the government also noted that, despite this decision, Switzerland will continue to support Ukraine, regardless of the decision on the frozen assets.

In addition, the Swedish Presidency of the Council of the EU announced today that the Permanent Representatives of the EU countries have agreed on the creation of a working group. It will determine the possibility of using blocked Russian private assets in accordance with European law.

Last fall, European Commission President Ursula von der Leyen suggested create a structure for managing Russian assets. According to her, the blocked funds of the Bank of Russia and the assets of Russian oligarchs confiscated due to sanctions should be combined into a fund, the funds of which should be invested, and the profit from these investments should be used for compensation payments to Ukraine. The head of the EC specified that Western countries blocked 300 billion euros of Central Bank reserves and 19 billion euros of private funds of Russian businessmen.

In early January, Russian Foreign Ministry spokesperson Maria Zakharova statedthat the Russian side is considering all existing legal mechanisms for returning access to its frozen assets and is ready, if necessary, to apply separate “compensatory measures”. She emphasized that the plans of some countries to seize Russian assets are perceived by Moscow as a “gross encroachment on sovereign property” and will cause a corresponding response.