Russia is set to seize $440 million from the largest United States bank, JPMorgan. Specifically, a Russian court ordered the seizure after a lawsuit from lender VTB. The lawsuit was filed in order to recover losses connected to the US-based bank.
The court has reportedly ordered the complete seizure of all funds that JPMorgan holds in the country. However, they will not seek the confiscation of securities or property. Moreover, Moscow’s decision took place after the US Senate passed legislation sending seized Russian assets to Ukraine as part of its $95 million security assistance package.
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Russian Court to Seize $440 Million From JPMorgan
Since the invasion of Ukraine first took place in early 2022, the United States and Russia have been firmly in opposition. The situation led to sanctions being placed on Moscow. In turn, the prominent rise of the BRICS economic alliance took place with Russia firmly leading the charge.
Now, an interesting development has taken place involving both sides. Specifically, Russia is set to seize $440 million in funds from the largest US bank, JPMorgan. Indeed, the action is connected to a lawsuit filed by lender VBT to attempt to “recover losses ” from the US-based bank, according to a report from The Financial Times.
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The VTB lawsuit was followed by a JPMorgan Chase lawsuit in the United States. Specifically, the US bank sought the US court to stop the asset seizure from taking place. The bank called the action a violation of previous agreements between both banks that had taken place prior.
The decision from Russian courts followed what the country perceived as “illegal actions” from the United States. Specifically, the US Senate passed legislation sending seized Russian assets to Ukraine as part of its security assistance. The development led Russian lawmakers to seek the confiscation of Western assets in the country.
The development is another aspect of the continually troublesome exit that US banks have had from the Russian market. JPMorgan Chase was one of many who sought to end Russian operations amid the Ukraine invasion. Now, both sides are continually embroiled in the legislative battle.