UK and Russia's Emerging Tycoon Abramovich Sanctioned... Chelsea Sale Suspended

Roman Abramovich, owner of Chelsea Football Club in the English Premier League (EPL) and a Russian oligarch [Image source=EPA Yonhap News]

[Asia Economy Reporter Jeong Hyunjin] Roman Abramovich, the owner of the English Premier League (EPL) club Chelsea, has been added to the UK's sanctions list related to Russia's invasion of Ukraine, BBC and other outlets reported on the 10th (local time).

According to the reports, the UK Treasury announced asset freezes on seven Russian oligarchs, including Abramovich, on the same day. Due to these sanctions, Abramovich will be unable to conduct transactions with individuals or companies in the UK, and his entry and stay in the UK are also prohibited. The UK Treasury described Abramovich as a "pro-Kremlin oligarch (newly wealthy) with close ties to Russian President Vladimir Putin and a prominent Russian businessman," explaining that through this relationship, he has received material benefits from President Putin or the Russian government.

With this measure by the UK government, Abramovich's plan to sell Chelsea is expected to be thwarted. The government stated that Chelsea will be allowed to continue playing matches, employees will receive their salaries, and those who have already purchased tickets will be able to attend games. However, new ticket sales are prohibited, and sales of goods within the club are also banned.

Abramovich's assets are estimated to be worth about ?9 billion (approximately 14.5 trillion KRW). He is the major shareholder of the steel giant Evraz. Under mounting pressure from sanctions, Abramovich announced on the 2nd that he would sell EPL club Chelsea and establish a charitable foundation to donate the net proceeds to victims of the Ukraine war.

UK Prime Minister Boris Johnson stated, "There can be no safe haven for those who support the vicious attack on Ukraine," adding, "Today's (10th) sanctions are the latest measure demonstrating the UK's unwavering support for the people of Ukraine." He emphasized, "We will relentlessly pursue those responsible for civilian massacres, hospital destructions, and illegal occupations of independent allies."

Meanwhile, following the UK government's sanctions announcement, Evraz's stock price plunged 16% on the UK stock market.