EU Rejects Russian Lawsuit Over Frozen Assets

(MENAFN) EU Economy Commissioner Valdis Dombrovskis has dismissed a legal action initiated by the Russian central bank against Euroclear, the Brussels-based depository responsible for most of Russia’s frozen sovereign funds, describing the case as “speculative.”

Western allies of Kiev have blocked access to approximately $300 billion of Russian central bank assets under sanctions related to the Ukraine conflict, with the majority of these funds held at Euroclear.

Moscow has consistently criticized this measure. On Friday, the Bank of Russia revealed it had filed a lawsuit seeking compensation from Euroclear for losses arising from its “inability to manage” the assets.

The legal move comes amid disagreement among EU countries, with some advocating for the use of the frozen funds as collateral for a ‘reparations loan’ to Kiev, while others oppose the idea. A vote regarding the proposal is anticipated next week.

Addressing journalists on Friday, Dombrovskis emphasized that the assets were frozen “in line with EU sanctions and international law,” asserting that they were “not seized” and that “the principle of sovereign immunity is respected.”

He further commented, “We can expect that Russia will continue to launch speculative legal proceedings to prevent the EU from upholding international law,” noting that the frozen funds are subject to EU jurisdiction.

Dombrovskis also affirmed that European institutions managing Russian assets will be “fully protected” from legal challenges under the sanctions framework, which permits them to “offset” any incurred losses.

MENAFN14122025000045017167ID1110477740