Vladimir Putin and his associates are using Britain’s taxpayer-funded courts and civil service to “pursue and intimidate opponents,” activists have cautioned.
Following the sanctions imposed on Russians after the Ukraine invasion, these individuals can still settle legal disputes in the High Court, raising concerns that substantial payouts awarded by judges could potentially finance the Kremlin’s military activities.
Even more concerning is that the Treasury permits sanctioned Russians to pay their £1,500-per-hour legal fees using frozen assets.
Despite the government’s strong stance on sanctions, it has increased civil servants by 100 to expedite legal permissions for rogue Russians seeking to spend their seized millions since the conflict began.
This occurred as Kremlin critic Bill Browder urged lawmakers to introduce a law allowing millions in frozen Russian assets to be seized and used for Ukraine’s war effort instead of being paid by UK taxpayers.
“Should Vladimir Putin’s legal rights to his money be more important than the rights of UK taxpayers? I don’t think so, and I doubt any of you would hear objections from your constituents if you had that conversation,” Mr. Browder told MPs.
Experts cautioned that “Kremlin-controlled companies and oligarchs” are using Britain’s courts at the taxpayer’s expense to litigate freely. One family being sued for £670 million in the High Court by a Russian bank claimed that respected British institutions are being utilized by Putin to punish and intimidate dissidents.
Boris Mints has stated that “Putin’s Russia actively exploits the British justice system to pursue and intimidate its opponents,” this serves to underscore the potential for those
‘While those subject to tough sanctions must be able to challenge these measures and defend themselves in court, they shouldn’t be allowed to litigate at leisure using frozen funds.
‘The Government must introduce stronger safeguards to ensure our taxpayer-funded court system doesn’t entertain commercial lawsuits that ultimately service Russian interests. With other sectors closed to Russian business, there’s a real risk that those subject to sanctions decide to invest in the prospect of a high-value award that comes with the coveted seal of the English courts.’
HM Treasury said: ‘The law requires OFSI’s decision-making to carefully balance the fundamental right to legal representation and the aim of the sanctions regime.
‘A quarter of fees paid under the General Licence were incurred before sanctions were applied. A large part of the remainder will have been to allow sanctioned persons to challenge the restrictions placed on them. To deny people lawyers in such cases would arguably be more suited to Russia than the UK.’
‘Thieves and corrupt officials for years have used the British system of justice to sue and put pressure on people who prior to those cases had impeccable reputation in Russia and abroad. [I am a] UK taxpayer and I believe that such expenses are not justified.’
