MOSCOW – Russia’s parliament, the State Duma, issued a resolution on Thursday warning that any attempts by the European Union to seize Russian assets should be met with legal action against Belgium and Euroclear, the Belgium-based depository where most of the immobilized funds are held.

The resolution comes in response to a European Commission proposal that would allow EU member states to use up to 185 billion euros ($217 billion) of the roughly 210 billion euros of frozen Russian sovereign assets to provide loans to Ukraine. The plan explicitly avoids outright confiscation of the assets, but the Russian Duma considers even this use as “effectively an illegal seizure of property.”

Proposed Legal Measures

According to the Duma, any EU attempt to utilize Russian funds can be considered “outright theft,” and should trigger a legal response. The resolution calls for claims for damages, starting with demands for the seizure of assets as a precautionary measure, targeting Euroclear and Belgium—the locations where the majority of frozen sovereign funds are held.

Furthermore, the Duma suggested that assets of non-resident individuals and companies from “unfriendly countries” could also be tapped as a source of compensation for losses incurred by Russia. This reflects a growing rhetoric by Moscow linking international sanctions and frozen assets to potential retaliatory measures.

International Context

The European Commission’s proposal to use frozen Russian assets to finance loans to Ukraine is part of a broader strategy to support Kyiv amid the ongoing geopolitical tensions in Eastern Europe. While the plan does not constitute direct confiscation, Russia perceives it as a violation of sovereign property rights.

The resolution by the Russian Duma signals a potential escalation in legal and financial countermeasures, underscoring the continuing friction between Russia and Western nations over frozen assets, sanctions, and the broader conflict in Ukraine.

Conclusion

With the State Duma calling for legal action against Belgium and Euroclear, tensions are likely to persist regarding frozen Russian funds in Europe. The resolution illustrates Moscow’s intent to safeguard its assets and potentially recover losses from foreign states and entities involved in managing or holding these funds.