U.K. Freezes Up To $13 Billion Of Assets Of Two Business Partners Of Roman Abramovich

Topline

The United Kingdom sanctioned two longtime business associates of Russian billionaire Roman Abramovich on Thursday, freezing up to $13 billion in assets connected to the pair, as countries continue to crack down on the Russian elite over Russia’s invasion of Ukraine.

Key Facts

U.K. Foreign Secretary Liz Truss said the government will freeze the assets of Eugene Tenenbaum and David Davidovich–the largest asset freeze action in the country’s history.

The U.K.’s Foreign Office said Tenenbaum has described himself as one of Abramovich’s closest business associates, and serves as a director at Chelsea F.C., the soccer team Abramovich put up for sale last month.

Tenenbaum took control of Evrington Investments Limited, an investment company with links to Abramovich, on the day Russia invaded Ukraine, according to corporate filings reviewed by the FCO office.

Davidovich, a former billionaire, took over Evrington Investments from Tenenbaum last month, according to the FCO office, and also faces a travel ban.

Forbes reports Davidovich is Abramovich’s “much lower-profile right-hand man,” and has worked with Abramovich for years.

Big Number

106. That’s how many Russian oligarchs, their associates and members of their families the U.K. has sanctioned since February.

Key Background

Abramovich, worth about $8.3 billion by Forbes’ estimates, has faced sanctions over his ties to Russian President Vladimir Putin. Though Abramovich has denied that he’s close to Putin’s inner circle, he attended peace talks between Russia and Ukraine last month, where he was reportedly poisoned. Abramovich was sanctioned by the U.K. and the E.U. last month, upending his plans to sell Chelsea F.C. Four finalists are reported to be in the running to purchase the team, valued at about $3.2 billion, and bidding is expected to end on April 18, when the advisor on the sale will present the Premier League and U.K. government with a single offer.

Tangent

The sanctions against Tenenbaum and Davidovich came in coordination with the Channel Island of Jersey’s actions against Abramovich on Wednesday, the U.K.’s Foreign Office said. The Jersey Royal Court froze assets valued at about $7 billion which are “suspected to be connected” to Abramovich himself that are either located on the island or are owned by entities incorporated in Jersey.

Crucial Quote

“We are tightening the ratchet on Putin’s war machine and targeting the circle of people closest to the Kremlin,” Truss said in a statement. “We will keep going with sanctions until Putin fails in Ukraine. Nothing and no one is off the table.”

Further Reading

Roman Abramovich Has $7 Billion In Suspected Assets Frozen In Jersey (Forbes)

Source Close To Roman Abramovich Confirms He Was Poisoned While Helping Negotiate In Ukraine (Forbes)

UK Sanctions Roman Abramovich And Six Other Russian Oligarchs, Freezes Assets Including Chelsea FC (Forbes)