Oligarchs at the heart of Putin’s inner circle and banks which
have bankrolled the Russian occupation of Crimea have been
targeted by the first wave of UK sanctions in response to
Russia’s further violation of Ukraine’s sovereignty.
Following the Prime Minister’s announcement to the House of
Commons, Foreign Secretary is today (Tuesday 22 February) designating the initial
tranche of sanctions on Russia. The sanctions package targets
oligarchs and banks associated with the Kremlin.
Foreign Secretary said:
This first wave of sanctions will hit oligarchs and banks close
to the Kremlin. It sends a clear message that the UK will use our
economic heft to inflict pain on Russia and degrade their
strategic interests.
And we are prepared to go much further if Russia does not pull
back from the brink. We will curtail the ability of the Russian
state and Russian companies to raise funds in our markets,
prohibit a range of high tech exports, and further isolate
Russian banks from the global economy.
These will be surgically targeted sanctions that will hit Russia
hard.
Using new powers introduced on 10 February, the UK has frozen the
assets and imposed travel bans on three leading members of the
Russian elite of particular significance to the Kremlin: Gennady
Timchenko, Russia’s sixth richest oligarch, and Boris and Igor
Rotenberg, two long-standing associates of the regime.
Assets of five Russian banks involved in bankrolling the Russian
occupation have also been frozen with immediate effect. This
includes Bank Rossiya, which is particularly close to the
Kremlin, Black Sea Bank for Development and Reconstruction, IS
Bank and Genbank. The assets of Promsvyazbank, the pivotal bank
in propping up Russia’s defence sector, have also been frozen.
The UK will also sanction those members of the Russian Duma and
Federation Council who voted to recognise the independence of
Donetsk and Luhansk in flagrant violation of Ukraine’s
territorial sovereignty.
In addition, over the coming weeks we will extend the territorial
sanctions imposed on Crimea to non-Government controlled
territory in the so-called breakaway republics of Donetsk and
Luhansk. No UK individual or business will be able to deal with
this territory until it is returned to Ukrainian control.
In the event of further aggressive acts by Russia against
Ukraine, we have prepared an unprecedented package of further
sanctions ready to go. These include a wide ranging set of
measures targeting the Russian financial sector, and trade.
As part of this, should Russia not de-escalate the UK will
shortly introduce legislation which will, amongst other steps,
prevent Russia from issuing sovereign debt on UK markets. Working
with partners we will effectively be isolating Russia from the
global economy, and making it far more difficult for oligarchs
and businesses to operate outside their own borders.
