Kremlin Pledges Legal Action over Planned EU Transfer to Ukraine of Interest Accrued on Frozen Assets

A Yars intercontinental ballistic missile system drives out of a military shelter during, what Russia's Defense Ministry called, planned exercises of the Strategic Missile Forces in the Irkutsk region, Russia, in this still image from video released July 23, 2024. Russian Defense Ministry/Handout/Reuters
A Yars intercontinental ballistic missile system drives out of a military shelter during, what Russia's Defense Ministry called, planned exercises of the Strategic Missile Forces in the Irkutsk region, Russia, in this still image from video released July 23, 2024. Russian Defense Ministry/Handout/Reuters
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Kremlin Pledges Legal Action over Planned EU Transfer to Ukraine of Interest Accrued on Frozen Assets

A Yars intercontinental ballistic missile system drives out of a military shelter during, what Russia's Defense Ministry called, planned exercises of the Strategic Missile Forces in the Irkutsk region, Russia, in this still image from video released July 23, 2024. Russian Defense Ministry/Handout/Reuters
A Yars intercontinental ballistic missile system drives out of a military shelter during, what Russia's Defense Ministry called, planned exercises of the Strategic Missile Forces in the Irkutsk region, Russia, in this still image from video released July 23, 2024. Russian Defense Ministry/Handout/Reuters

The Kremlin on Tuesday called a European Union plan to use interest earned on frozen Russian assets to fund military aid to Ukraine "theft" and said it would take legal action against anyone involved in the decision.

The EU's top diplomat, Josep Borrell, on Monday said that the first tranche of 1.4 billion euros in military aid for Ukraine taken from proceeds earned on frozen Russian assets would be made in early August, Reuters reported.

"Such thievish actions cannot remain without reciprocity," Kremlin spokesman Dmitry Peskov told reporters. "This money is not only essentially stolen, but will also be spent on the purchase of weapons."

"Definitely, we will work out the possible legal prosecution of those people who are involved in decision-making and the implementation of these decisions, because this is a direct violation of international law, it is a violation of property rights."

After President Vladimir Putin sent troops into Ukraine in 2022, the United States and its allies prohibited transactions with Russia's central bank and finance ministry, blocking around $300 billion of sovereign Russian assets in the West.

European Union countries are taking the interest earned on those frozen assets - essentially bonds and other types of securities in which the Russian central bank had invested - and putting them into an EU fund which will be used to help Ukraine.

15-20 billion euros

($16-$22 billion) in profits by 2027.

Putin says the West unleashed what he casts as an economic war against Russia but has touted both the resilience of the Russian economy, which grew 3.6% last year, and the failure of sanctions of stop Russian trade.

The Kremlin has repeatedly said that any seizure of its assets would go against all the principles of free markets which the West proclaims and that it would undermine confidence in the US dollar and euro while deterring global investment and undermining confidence in Western central banks.

The Russian Foreign Ministry on Tuesday said Moscow would have a tough response to Europe's use of any revenues from Russian assets, the state-run RIA news agency reported.

 

 

 

 

 



Belgian King Denounces Gaza Abuses in Unusually Direct Remarks

Belgium's King Philippe delivers a speech on the occasion of the upcoming Belgian National Day at the Royal Palace in Brussels, Belgium July 17, 2024. REUTERS/Yves Herman/Pool/File Photo
Belgium's King Philippe delivers a speech on the occasion of the upcoming Belgian National Day at the Royal Palace in Brussels, Belgium July 17, 2024. REUTERS/Yves Herman/Pool/File Photo
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Belgian King Denounces Gaza Abuses in Unusually Direct Remarks

Belgium's King Philippe delivers a speech on the occasion of the upcoming Belgian National Day at the Royal Palace in Brussels, Belgium July 17, 2024. REUTERS/Yves Herman/Pool/File Photo
Belgium's King Philippe delivers a speech on the occasion of the upcoming Belgian National Day at the Royal Palace in Brussels, Belgium July 17, 2024. REUTERS/Yves Herman/Pool/File Photo

Belgium's King Philippe described abuses in Gaza as a "disgrace to humanity" in a speech on the eve of Monday's national day, unusually direct remarks on international affairs from a monarch who traditionally avoids public politics.

"I add my voice to all those who denounce the serious humanitarian abuses in Gaza, where innocent people are dying of hunger and being killed by bombs while trapped in their enclaves," he said speaking at his palace in Brussels, Reuters reported.

"The current situation has gone on for far too long. It is a disgrace to all of humanity. We support the call by the United Nations Secretary-General to immediately end this unbearable crisis."

It was the first time Philippe has spoken out so strongly and unambiguously about a conflict in public. Belgium's federal government has been more reserved in its criticism of the conflict in Gaza.

The king's role in Belgium is limited to giving advice, support, and warnings to the government without making any political decisions.

Israel launched its assault on Gaza following an October 2023 attack on Israeli towns by Hamas-led fighters. Since then, Israeli forces have killed more than 59,000 people in Gaza, according to health officials there. Much of the territory has been laid to waste and Israel has restricted food and other supplies.

Israel denies that its forces commit abuses in Gaza and says restrictions on supplies are needed to prevent aid from being diverted by militants.