Finland orders seizure of Russian assets at request of Ukrainian oil and gas company

A Finnish court has ordered the seizure of Russian assets in Finland worth tens of billions of euros after ruling in favour of Ukraine's state-owned oil and gas company, Naftogaz.

The court's decision followed a 2023 ruling by the Permanent Arbitration Court based in The Hague which ordered Russia to pay roughly €4.6bn in compensation to the company after seizing its assets illegally during the 2014 occupation of Crimea.

“Since Russia refuses to voluntarily pay Naftogaz the funds stipulated by The Hague ruling, we continue to use all available mechanisms to recover them. Today, we are one step closer to restoring justice. At the same time, we are taking active steps to enforce the arbitration award in other target jurisdictions involving Russian assets,” a statement from Naftogaz Group Board Chairman and CEO Oleksiy Chernyshov said.

According to local media, the properties seized include the Russian Centre of Science and Culture in Helsinki, along with four other Russian-owned buildings in the Åland Islands.

A property in a Russian Federation-owned seaside site in Kirkkonummi, which many Russian diplomats use for recreation, was also taken, according to local reports.

The Kremlin says it is filing a legal challenge against the court's ruling.

"Of course, we will dispute this in court. Naturally, the Russian Federation will defend its property interests, so we will use all legal mechanisms to protect our interests," Kremlin spokesman Dmitry Peskov told reporters.

Naftogaz also noted that any remaining interest on Russia’s outstanding obligations will continue to accrue until full payment is received.