Moscow may seize private US assets in Russia if US seizes frozen reserves, says Putin ally

[BumRushDaShow]

Source: Reuters

April 27, 2024 9:47 AM EDT Updated 6 hours ago


MOSCOW, April 27 (Reuters) - Russia may respond to any U.S. confiscation of its currency reserves frozen in the West by seizing the assets, including property and cash, of U.S. citizens and investors in Russia, Dmitry Medvedev, a senior security official, said on Saturday.

The U.S. House of Representatives has passed a bill allowing the Biden administration to confiscate Russian assets held in American banks and transfer them to Ukraine, something the Kremlin has said would be illegal and trigger retaliation. In response to Russia's war in Ukraine, the United States and its allies prohibited transactions with Russia's central bank and finance ministry and blocked about $300 billion of sovereign Russian assets in the West, most of which are in European not American financial institutions.

The Group of Seven (G7) major democracies is also looking at what it may be able to do around the frozen Russian assets. Medvedev, a close ally of President Vladimir Putin and the deputy chairman of Russia's Security Council, said on Saturday that Russia would not be able to retaliate in kind against any U.S. seizure of its reserves.

"The reason is clear - we do not have a significant amount of American state property, including money, rights and other US assets. Therefore, the answer can only be asymmetrical. It is not a fact that it will be any less painful," Medvedev wrote on his official Telegram channel. "We are talking about the foreclosure, for example by a court decision, on the property of private individuals located in the jurisdiction of Russia (money, real estate and movable property in kind, property rights)."

Read more: https://www.reuters.com/world/europe/moscow-may-seize-private-us-assets-russia-if-us-seizes-frozen-reserves-says-2024-04-27/

[pecosbob]

1. They began doing this some time ago IIRC.

[Yo_Mama_Been_Loggin]

61. That's my understanding

[Irish_Dem]

2. Any American who still has private financial assets in Russia has been very foolish.

[Earth-shine]

3. We can't let politics interfere with the potential for profits.

I suppose they thought by staying they would reap tremendous gains, when everyone else (like McDonalds) was pulling out and eating the loss.

[Irish_Dem]

5. Right, most companies left and absorbed the cost.

[OnlinePoker]

33. I'd love it if DJT got caught up in this. n/t

[oldsoftie]

49. Oh how SWEET that would be! But Putin would give him a pass.

That wouldnt look obvious at all would it?

[BumRushDaShow]

7. Don't be surprised if wealthy ilk like former ExxonMobil CEO and SOS Rex Tillerson

has assets in Russia.

Rex Tillerson’s potentially huge conflict of interest over Russia and oil, explained

By Brad Plumer@[e-mail] Updated Dec 14, 2016, 12:43pm EST


On Tuesday, Donald Trump tapped ExxonMobil CEO Rex Tillerson to be his secretary of state. And one eyebrow-raising aspect of this pick is that Exxon could potentially have billions of dollars at stake in one of the biggest foreign policy decisions Trump will consider over the next few years — whether to maintain sanctions on Russia. Exxon, the world’s largest oil company, has long had its eye on Russia’s vast oil and gas deposits.

Between 2011 and 2013, Exxon signed a series of deals with the Russian state-owned oil giant Rosneft to explore the Black Sea, develop shale resources in western Siberia, and — most importantly — drill for oil in the Arctic, one of the biggest untapped fossil fuel resources left in the world. For Exxon, which famously missed out on the massive US fracking boom, these deals were crucial for the company’s future. “Arctic oil in particular would’ve been a game changer for Exxon,” says Fadel Gheit, an oil analyst at Oppenheimer & Co. The company hoped this would be a decades-long investment worth many billions. But Exxon’s Arctic dreams fell apart in 2014, after the Obama administration slapped sanctions on Russia’s oil industry over Russian incursions into Ukraine.

Despite having just made a tantalizing oil discovery in the Kara Sea, Exxon was forced to stop work — and exploration in the Russian Arctic has been on hold ever since. At the time, Tillerson told shareholders that he was opposed to targeted sanctions on Russia: “We do not support sanctions, generally, because we don’t find them to be effective unless they are very well implemented comprehensively,” he said in May 2014. His new boss appears to agree: Reince Priebus, Trump’s incoming chief of staff, recently said Trump was not yet sure whether he’d keep those Russian sanctions in place.

The potential conflicts of interest here are considerable: Tillerson himself owns $218 million in Exxon stock and a pension reportedly worth $70 million, though it’s not clear what he’ll do with those investments once he joins the Trump administration. What we do know is that Tillerson could soon find himself in a position of influence over the sanctions question — and that lifting them could prove a major boon to Exxon. It’s conceivable Tillerson could stay impartial and judge the issue purely on its policy merits, but this conflict will be looming in the background.

(snip)

https://www.vox.com/energy-and-environment/2016/12/14/13940866/trump-rex-tillerson-sanctions-russia

[Irish_Dem]

10. So Tillerson wants to see the war stopped and Russia win.

How much money has Tillerson funneled to Trump?

The oligarchs only care about money and power.

[BumRushDaShow]

14. I haven't heard him mentioned in the news lately

so I expect he is doing all kinds of stuff behind the scenes.

[Traurigkeit]

17. Rex is rich x times over. Losing anything is chump change for the ------e and deserves the result due to his greed

[Irish_Dem]

27. For many rich people, wealth is an addiction.

No amount of money is ever enough.

[BigmanPigman]

36. The only decent thing he did was to call tRump

"A fucking moron".

[Warpy]

4. You mean like the fleet of Boeing passenger planes? Already stolen

Perhaps it's machinery they count on for transport and fuel extraction and refining, already stolen and partially blown up.

Or mayvw it's all the mall favorites from McD's to US retail clothing stores--nope, already sold for pennies on the dollar, names changed.

It rather beggars the imagination to come up with something left for Putin to steal, either from his own people or from the US and its NATO allies.

We can hurt him one hell of a lot more than he can hurt us and he knows it.

[paleotn]

53. Yep. There ain't a hell of a lot left the Russkies haven't already stolen.

Those leased airliners owned by western leasing companies, even if the war ended today they're still a total write off. No way Russian airlines could maintain them properly through sanctions and what maintenance documentation there is can't be trusted. They'll never be certified as air worthy again outside of Russia. A total loss.

[Warpy]

60. Incidents resulting in canceled flights are on the rise there

but the Russians are doing maintenance on the planes, although not to Boeing standards, they don't have enough parts for that.

Little stuff is going wrong, like LCD screens or overhead lights not working., that's what the passengers are seeing.

Engines aren't falling off yet. Pilots have the last say in whether or not a plane takes off, so if something fails the pre flight safety check, the flight is canceled. That's what is increasing now.

Eventually, some routes will be cancelled completely. Taking the train would be an option, but trains are now military. In addition, locomotives will be the next failure point as most of them were imported and there are no spare parts there, either.

Russia is falling apart but they are doing the most necessary maintenance on things like planes.

[LiberalFighter]

6. I'm okay with Americans losing assets in Russia.

[Igel]

11. Does it matter that some will be refugees?

Or corporations with contracts, which Our Democracy specifically exempted from having to sever economic ties? Keep in mind that last bit was passed by a (D) Senate and signed by President Biden.

They could have been immunized by overriding contract law and forced out, but that's now how 2/3 of the deciding authorities voted.

I was anti-Putin when most were pro-"reset". The '80s didn't want their foreign policy back; the '80s foreign policy wanted to be reincarnated in a slightly new form. And in 2009, 2010, 2011, this was butt-obvious. to those with a clue but not a fellow-traveler crew.

ATACMs should have been shipped to Ukraine in 2014.

Options: Veto this measure and uphold (D) decisions from a few years ago or sign it, make some of us glad, and say "we" were wrong.

BTW, in 2014-15 I was promised that the sanctions against Russia might not free Crimea quickly--it would take years--but they would bring Russia to heel and withdrawal. Personally, a decade is a fairly long time. Unless the speaker in this case meant "within centuries."

Sometimes I hope for a "modern heavy bombardment". Were I to have operational control over where the meteoroids splatted down.

[erronis]

31. I'm interested in your various points but I wish for a more in-depth description

My ability to analyze short items without background information is lacking. If you have any further published information I'd really like to see it.

[oldsoftie]

50. Amen! I cringed when Obama said that to Romney. And Romney has been proven right.

I never could understand the willingness to give someone like PUTIN any benefit of the doubt. He never hid his disdain for the US or his anger at the dissolution of the USSR. Same with John McCain; in 2015 he told us exactly what Putin was going to do and he was right about ALL of it

[JoseBalow]

8. Seems like a good trade for $300 Billion in Russian assets.

Who are these "U.S. citizens and investors" that have "property and cash" in Russia?

I guess some people want to ignore sanctions and warnings and continue to do business in Russia. Greed is a powerful drug. It's a shame that they're gonna lose some stuff.

[LakeArenal]

15. I believe I saw a KFC there recently.

[JoseBalow]

20. I'm guessing they calculated that it's a risk worth taking

I say fuck them for their greed and for contributing to the Russian economy. I certainly won't feel bad for them if they lose their stuff.

[LakeArenal]

22. They must not have pulled out when sanction were first ordered.

I enjoy this you tube show.

?si=-Y8bMFCzqEMzwGqx

[Farmer-Rick]

52. One of the benefits of all those free market exploits

Was that it would make countries interdependent and reduce the risk of war........

So, how did that work out? Not so well.

Laissez-faire economics has always been a con the filthy-rich used to extract riches from the masses.

[ancianita]

37. Here's a list of sanctioned banks & Biden's E.O two yrs ago, that bans Americans from doing business in Russia.

You're right. It's likely a good trade.

https://home.treasury.gov/news/press-releases/jy0705

IMPLEMENTING EXPANSIVE NEW EXECUTIVE ORDER

Today President Biden is issuing E.O. of April 6, 2022, “Prohibiting New Investment in and Certain Services to the Russian Federation in Response to Continued Russian Federation Aggression,” to ban all new investment in the Russian Federation by U.S. persons, wherever located, as well as the exportation, reexportation, sale, or supply, directly or indirectly, from the United States, or by a United States person, wherever located, of any category of services as may be determined by the Secretary of the Treasury, in consultation with the Secretary of State, to any person located in the Russian Federation. These prohibitions follow recently issued Executive Orders 14066 and 14068, which prohibit certain imports and exports involving Russia, and are consistent with commitments made by the G7 leaders to ensure that our citizens are not underwriting Putin’s war.

[NanaCat]

9. And? So?

Any American who still has assets in Russia knew this was a possibility. It's their own fault for not being good citizens and getting out long before now.

[Traildogbob]

12. Well this could be

Devastating for GQP Senate and Congress. Rand Paul could lose his ass.

[Evolve Dammit]

28. Now that would be so sweet. Or Ron Johnson , or MTG. Dozens more.

[LiberalLovinLug]

13. Subway, Carl's Jr., Papa John's, Costa Coffee, Burger King, and TGI Fridays

I wouldn't cater to any of these pro Putin pro war/rape/torture companies anymore.

https://www.yahoo.com/news/russians-still-enjoying-american-burgers-100645638.html?guccounter=1

A small cohort of six American fast-food chains decided otherwise. The franchises of Subway, Carl’s Jr., Papa John’s, Costa Coffee, Burger King, and TGI Fridays have continued to operate, business as usual.

Of these six, Subway and Carl’s Jr. boast a unique accolade — they are the only Western food chains to never have stopped advertising on their Russian Instagram accounts at any point since the start of the full-scale invasion, actively marketing non-stop to their 20k and 6k followers, respectively.

[BlueKota]

26. I don't eat at any of those

[ArkansasDemocrat1]

30. I already boycott them n/t

[Earth-shine]

39. Damn it! I enjoy the occassional BK burger and Subway sandwhich. I will stop. There are many other choices.

Years ago, because of their political contributions, BK was said to lean Democratic while McDs was Republican.

Thank you for this info.

[Oneironaut]

63. Aka Capitalist leeches who destroyed American small businesses and turned

US cities into cookie cutter hellholes. I hope they go bankrupt. Lol

[TeamProg]

16. Fine with me! What A-Holes put their trust in Putn's Russia anyway? nt

[Kaleva]

18. There are risks investing in a nation run by the likes of Putin

[Emrys]

19. From March 2022: "Russia plans to seize assets of western companies that pull out"

Vladimir Putin prepares economic retaliation for western sanctions, including laws to impound $10bn of leased airline jets

Russia has drawn up plans to seize the assets of western companies leaving the country as the Kremlin pushes back against sweeping sanctions and the exodus of international businesses since its invasion of Ukraine.

Announcing the move after a string of global firms said they would suspend operations in Russia this week, including McDonald’s, Coca-Cola and Pepsi, the country’s economic ministry said it could take temporary control of departing businesses where foreign ownership exceeds 25%.

Speaking in a video link with members of his government on Thursday, Vladimir Putin said the Kremlin could find legally viable ways to seize international firms. The government would push to “introduce external management and then transfer these enterprises to those who actually want to work,” Putin said. “There are enough legal and market instruments for this.”

https://www.theguardian.com/world/2022/mar/10/russia-plans-to-seize-assets-of-western-companies-exiting-country

From July 2023:

Russia Steps Up Economic War With West, Seizing Assets of Big Conglomerates
Seizures of Danone, Carlsberg’s operations sound a warning shot to Western companies looking to exit Russia

https://www.wsj.com/articles/russia-steps-up-economic-war-with-west-seizing-assets-of-big-conglomerates-e592f137

[BumRushDaShow]

21. Those were for companies

Now they are talking about "people" (investors, private U.S. citizens).

ETA - might I speculate about this guy - https://www.democraticunderground.com/?com=view_post&forum=1014&pid=3232195

[Glamrock]

23. FOX News in 3....2....1

Biden moves to destroy McDonald’s!

[Evolve Dammit]

29. He's coming after your fast food!

[blue-wave]

24. Russia and the regime in the Kremlin

are an international pariah state. It was Bill Browder who years ago brought attention to Russia's brutality. Browder's doggedness culminated in the passing of the Magnitsky Act. Now Bill Browder is advocating that the $300 billion in frozen Russian assets be released so Ukraine can use that money for its' defense. I wholeheartedly agree. Posting a video immediately after this comment in "Latest Videos" with Browder's interview for the Kyiv Post.

[orangecrush]

35. This

[BlueKota]

25. Go ahead

If they invested in Russia to begin with, they will just be victims of their own stupidity and greed.

[erronis]

32. Probably more threatening to high-value companies: Ford, Koch, semi-conductors/software etc.

Just a couple of examples of companies that profited from holdings in Germany during WW-II.

Of course semi-conductors weren't around at that time and they are incredibly difficult to control access. Software much worse.

[orangecrush]

34. Please seize the Kremlin GOP members

While you're at it Vlad

[oldsoftie]

51. Hahahahahahahahahaha

[Oneironaut]

64. He doesn't want them either, I bet.

Imagine Ted Cruz being dropped on your doorstep? Ew.

[enki23]

38. Wait, no, *do* threaten me with a good time.

.

[Turbineguy]

40. Yeah, that's always worked.

Russia doesn't have the weather to grow bananas.

[sheshe2]

41. They are going ro seize Donnie's assets?

[In Too Deep]

42. Do it.

[Shermanator]

43. If any American

has any assets in Russia, it should be seized for them being so stupid.

[Pototan]

45. I agree

Anyone who still has business, investments or property in Russia and they lose them, I really don't much give a fuck.

[Pototan]

46. self-delete (Dupe)

[RainCaster]

44. BFD, says all of America in response

We lost all that shit a long time ago, and haven't thought about it for many years. What's the big deal?

[John Shaft]

47. On my morning walk

I'll make sure to ask the homeless folks, the people sitting at the bus stop, and the people working at the gas station where I get morning coffee about their Russian investments. Give 'em a heads up.

[HAB911]

48. PLEASE!

[Chainfire]

54. Too bad, so sad.

[ToxMarz]

55. It did't take me long to confirm

I don't have any assets in Russia. Pretty sure no ones assets I give a shit about are there either.

[Bucky]

56. I don't have a lot of sympathy for those who didn't divest from Russian investments

Anyway, I imagine that, as a fraction of total wealth, the Russian 'garcs have a lot more wealth invested out of Russia then the Riches to have kept sunk into Russia. It's not a big threat.

[PortTack]

57. So what's new? Like the couple who last year sold everything they owned, including farmland and moved

Their with his young family. Moved because they wanted their children away from the LBQT community. The Russians took all their money and now their stuck their.

Ppl who lose their money..were you paying any attention to reality? As far as business owners, bankers and investors they know what Russia does!

[IronLionZion]

59. 'We want to become Russian citizens' Family with 6 Children Fled the USA

America was too woke for these idiots

These 2 claim Russia is safer for children somehow and they and the Russians share a dislike of the US government.

[IronLionZion]

58. I encourage Republicans to store their assets in Russia for safekeeping

to keep it away from the IRS, you know, since Dems are taxing them to death. Republican money will be safe in Russia.

[Oneironaut]

62. lol "'Oh no!" Just kidding - fuck 'em.

That sounds like killing two birds with one stone.

[Historic NY]

65. Too bad, they took franchises already.

They can have it all.