A Russian court has ordered the seizure of $439.5 million in funds from Russian bank accounts frozen by JPMorgan Chase & Co., the largest US financier, after the invasion of Ukraine, according to court filings.
Wednesday’s court ruling came after state-owned VTB Bank filed a lawsuit with the St. Petersburg Arbitration Court after the Russian bank was hit with sanctions following the invasion.
JPMorgan declined to comment on the Russian court’s interim measures.
VTB had no immediate comment Wednesday. The company had previously declined to comment on its legal dispute with JPMorgan Chase.
A Russian court has ordered the seizure of all funds in JPMorgan’s Russian accounts and “movable and immovable assets,” including shares in the bank’s Russian subsidiary, according to a court order issued by the St. Petersburg and Leningrad Region Arbitration Court. Ta.
The judgment noted that the court did not take away securities or property held by JPMorgan or the jpmorgan.ru domain.
The next hearing in the Russia case is July 17th.
JPMorgan filed its own lawsuit in New York last week seeking to block VTB’s efforts.
JPMorgan said in a complaint filed in federal court in Manhattan that VTB’s attempts to recover funds in Russia were a “clear violation” of an agreement to resolve disputes in New York.
JPMorgan said in a filing that U.S. law prohibits it from releasing the $439.5 million and that Russia’s second-largest bank, VTB, would seek to seize foreign assets if it wins the Russian lawsuit. It pointed out.
The paper said VTB’s outlook was positive after a Russian court granted relief to at least six other Russian banks in the US and Europe, which were required to comply with sanctions laws.
“JPMorgan therefore immediately faces a Russian judgment that will seize its assets without a timely and reliable remedy simply because it is complying with U.S. law,” JPMorgan’s lawyers said at the time. Stated.
The Russian court’s ruling comes shortly after President Joe Biden signed into law a foreign aid bill that requires U.S. government officials to locate and seize Russian assets in the United States or use them as aid to Ukraine. It gave him new powers to acquire Russian state assets from European allies.
The Biden administration says it is already preparing a $1 billion military aid package for Ukraine — two U.S. officials said the bill is the first source of information. Reuters.
This includes additional ammunition for vehicles, Stinger air defense rounds, high-mobility artillery rocket systems, 155-millimeter artillery shells, TOW and Javelin anti-tank rounds, and other battlefield-ready weapons, officials said. on condition of anonymity.
But before the Biden administration can send more aid, the bill must first jump one last hurdle: final approval in the Senate, where passage is almost certain.
Biden is pushing Congress to pass an even larger $60.8 billion aid package for Ukraine, but the effort has stalled after House Republicans refused to advance the bill for months.
In response to the expected new US aid, Russian Defense Minister Sergei Shoigu said on Tuesday that the Russian government would “intensify attacks on logistics centers and storage bases for Western weapons” in Ukraine, according to the ministry’s Telegram channel. “I will.”
“Needless to say, we understand the importance and urgency and are doing everything we can to respond quickly,” he added.
with post wire
