Putin has signed a decree according to which Russia can temporarily take over the assets of foreign companies.
President of Russia Vladimir Putin has signed the decree under which Russia has taken over the assets of the energy company Fortum in Russia, the news agencies write Reuters (you will switch to another service) and Tass (you switch to another service).
According to the decree that entered into force on Tuesday, Russia can temporarily take over the assets of foreign companies if Russian assets are seized abroad. Countermeasures have been implemented for Fortum and its former subsidiary Uniper, which was sold to the German state last year.
The decree states that the shares of the companies have been temporarily placed in the possession of the Russian State Real Estate Agency. The regulation is justified by the fact that Russia must take urgent countermeasures to the actions of the United States and other parties considered “unfriendly and contrary to international law”, which, however, are not defined in more detail.
The takeover is temporary
The decree does not change the ownership, and the property is not taken from the owners, the Russian state news agency Tass reports that the real estate agency verified.
– The asset takeover is temporary and it means that the original owner no longer has the right to make management-related decisions, the agency said.
– The administrator is given powers that allow it to ensure the efficiency of the company’s operations, taking into account their importance for the Russian economy, it added.
According to Tassi, the agency manages 98 percent of Fortum’s Russian operations and nearly 84 percent of Uber’s Russian subsidiary Unipro.
According to the agency, other companies can also be added to the list as needed.