Russian billionaire loses case against UK sanctions body
Mikhail Fridman cannot spend thousands of pounds a month on the upkeep of London mansion
26 October 2023 - 17:41
bySam Tobin
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Chairman of the supervisory board of Alfa Group consortium Mikhail Fridman in Moscow on March 16, 2017. File Picture: REUTERS/Sergei Karpukhin
London — Sanctioned Russian billionaire Mikhail Fridman cannot spend thousands of pounds a month on the upkeep of his London mansion, containing a £44m art collection, London’s high court ruled on Thursday.
Fridman took Britain’s Office of Financial Sanctions Implementation (OFSI), to court after it refused to allow him to spend £30,000 a month to prevent Athlone House, which he bought for £65m, from falling into disrepair.
The 59-year-old also wanted to spend £1,850 a month on communications systems, which Fridman said regulate Athlone House’s telephones, IT, lighting, heating and security.
His lawyers said that Athlone House is “a unique property with unique needs ... not least in the light of its art collection”.
Fridman also wanted to be allowed to spend money on nonsecurity staff, including a driver — which he had said he was refused on the grounds he can take public transport.
However, he dropped his claim to be able to pay a driver after leaving Britain for Israel and then Russia shortly before last week’s hearing.
The OFSI said it had already licensed Fridman to meet arrears and make one-off payments totalling about £1.4m, plus future payments of £760,000 a year.
In a written ruling on Thursday, judge Pushpinder Saini dismissed Fridman’s case against the OFSI, saying its decision was lawful.
Fridman’s lawyers had told Saini that he wishes to be able to return to Britain, but Saini said in his ruling that Fridman’s return “will not be possible” as he is effectively subject to a travel ban.
Fridman’s London-based lawyers did not immediately respond to a request for comment.
A British government spokesperson welcomed the judgment on Thursday, which it said showed that “our financial sanctions licensing regime works”.
Athlone House, in north London, was raided by Britain’s National Crime Agency in December, which is the subject of a separate legal challenge by Fridman.
The Russian billionaire, whose net worth is estimated by Forbes magazine at $12.8bn, has been subject to British sanctions since March 2022, a month after Russia invaded Ukraine.
His designation under Britain’s sanctions regime was updated in September to remove a reference to him being a “pro-Kremlin oligarch”.
Support our award-winning journalism. The Premium package (digital only) is R30 for the first month and thereafter you pay R129 p/m now ad-free for all subscribers.
Russian billionaire loses case against UK sanctions body
Mikhail Fridman cannot spend thousands of pounds a month on the upkeep of London mansion
London — Sanctioned Russian billionaire Mikhail Fridman cannot spend thousands of pounds a month on the upkeep of his London mansion, containing a £44m art collection, London’s high court ruled on Thursday.
Fridman took Britain’s Office of Financial Sanctions Implementation (OFSI), to court after it refused to allow him to spend £30,000 a month to prevent Athlone House, which he bought for £65m, from falling into disrepair.
The 59-year-old also wanted to spend £1,850 a month on communications systems, which Fridman said regulate Athlone House’s telephones, IT, lighting, heating and security.
His lawyers said that Athlone House is “a unique property with unique needs ... not least in the light of its art collection”.
Fridman also wanted to be allowed to spend money on nonsecurity staff, including a driver — which he had said he was refused on the grounds he can take public transport.
However, he dropped his claim to be able to pay a driver after leaving Britain for Israel and then Russia shortly before last week’s hearing.
The OFSI said it had already licensed Fridman to meet arrears and make one-off payments totalling about £1.4m, plus future payments of £760,000 a year.
In a written ruling on Thursday, judge Pushpinder Saini dismissed Fridman’s case against the OFSI, saying its decision was lawful.
Fridman’s lawyers had told Saini that he wishes to be able to return to Britain, but Saini said in his ruling that Fridman’s return “will not be possible” as he is effectively subject to a travel ban.
Fridman’s London-based lawyers did not immediately respond to a request for comment.
A British government spokesperson welcomed the judgment on Thursday, which it said showed that “our financial sanctions licensing regime works”.
Athlone House, in north London, was raided by Britain’s National Crime Agency in December, which is the subject of a separate legal challenge by Fridman.
The Russian billionaire, whose net worth is estimated by Forbes magazine at $12.8bn, has been subject to British sanctions since March 2022, a month after Russia invaded Ukraine.
His designation under Britain’s sanctions regime was updated in September to remove a reference to him being a “pro-Kremlin oligarch”.
Reuters
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