A fresh legal confrontation is brewing between Russian billionaire Roman Abramovich and the British government after his legal team warned that the £2.35 billion generated from the sale of Chelsea FC remains his property and could become the subject of a major court battle.
According to reports, Abramovich’s lawyers have sent a strongly worded message to the government led by Prime Minister Keir Starmer, asserting that the frozen funds legally belong to the Russian oligarch through his company Fordstam Limited. The legal team argued that there is no valid legal basis for the UK to confiscate the money, warning that Abramovich is prepared to challenge any such attempt in court.
Frozen funds since the Chelsea sale
The controversy traces back to 2022, when Abramovich was forced to sell Chelsea following sanctions imposed by the United Kingdom after Russia’s invasion of Ukraine. The club was eventually purchased by a consortium led by American investor Todd Boehly for about £2.5 billion.
However, the proceeds from that sale have remained frozen in a British bank account for nearly four years, as authorities and Abramovich disagree on how the money should be used.
At the time of the sale, Abramovich publicly pledged that the funds would be donated to humanitarian causes linked to the war in Ukraine. But negotiations with the British government have stalled over who should benefit from the money and under what conditions it should be released.
Dispute over how the money should be used
The UK government insists the money must be directed exclusively to victims inside Ukraine, supporting reconstruction and humanitarian efforts caused by the war.
Abramovich’s legal team, however, maintains that the funds were intended to assist all victims of the conflict, potentially including people affected on both sides of the war. This disagreement has become the central obstacle preventing the funds from being distributed.
Lawyers representing Abramovich stressed that although the assets are frozen due to sanctions, they remain the property of Fordstam Limited, a company fully owned by the billionaire. They also criticized what they described as “politically charged statements” by government officials regarding the handling of the funds.
Possible legal showdown
The escalating rhetoric suggests that the standoff could soon move into the courts. The British government has warned that legal action could be taken if Abramovich does not comply with demands to release the money for Ukraine-related humanitarian purposes.
In response, Abramovich’s lawyers have made it clear that any attempt to confiscate the funds will be vigorously contested, potentially triggering a high-profile legal battle involving sanctions law, international finance, and humanitarian commitments tied to the war.
With billions of pounds still frozen and both sides standing firm, the dispute threatens to become one of the most complex legal cases involving sanctioned assets since the start of the war in Ukraine. _futnews24
