Bramovich Challenges UK Government Over £2.5bn Chelsea Sale Funds

Roman Abramovich, the Russian billionaire, has warned the British government that he will legally contest any attempt to seize the £2.5 billion generated from the sale of Chelsea Football Club.

His lawyers insist the funds, currently frozen in a UK bank account, remain his property.

The money has been held since the club’s sale in 2022, following sanctions imposed on Abramovich after Russia’s invasion of Ukraine.

According to The Independent, lawyers from Kobre & Kim, representing Abramovich, have criticised the government of Prime Minister Keir Starmer for the delay in releasing the funds. Abramovich had previously pledged to donate these proceeds to victims of the war in Ukraine.

“The funds, although currently frozen, remain the property of Fordstam Limited, which is wholly owned by Mr Abramovich,” his lawyers stated. They reiterated that any donation would be voluntary and warned of legal action if the UK government attempts confiscation.

This dispute arises as the British government seeks to redirect the money towards Ukraine’s reconstruction efforts. Foreign Secretary Yvette Cooper expressed her frustration, stating: “This money was promised to Ukraine over three years ago. It is time Roman Abramovich does the right thing. If he won’t, we will act.”

Prime Minister Starmer had previously issued a stern warning to Abramovich in December, telling Parliament: “My message to Abramovich is clear: the clock is ticking.”

British authorities aim to ensure the funds support war victims and aid Ukraine’s rebuilding. However, Abramovich’s representatives argue that the delay is due to intricate legal complexities, including an ongoing criminal investigation in Jersey into the origin of his wealth and frozen assets linked to his trusts. In April 2022, the Royal Court of Jersey froze approximately $7 billion worth of assets connected to the billionaire.